Foreign companies that are currently leaving Russia to be urgently driven to bankruptcy

Foreign companies that are currently leaving Russia to be urgently driven to bankruptcy

Foreign companies that are currently leaving Russia to be urgently driven to bankruptcy
After the start of the special operation of the Russian Federation on the territory of Ukraine and the condemnation of the actions of the Kremlin by Western countries, international brands and foreign firms hastily began to leave Russian market .  Some companies have suspended their activities.  Many cite currency volatility, difficulties in banking due to sanctions, and risks associated with logistics.

According to Andrey Belousov, the First Deputy Prime Minister of the Russian government, many foreign corporations are forced to leave the market, as they face pressure from the regulators.  Such pressure, as a rule, has a political motivation, and it is quite difficult to resist it.  Therefore, as stated by the government press service, there are several options for solving the problems associated with a possible withdrawal of companies from the Russian market.
Some companies, according to Belousov, can continue their business activities in Russia and provide jobs for Russians.
This is acceptable if the manufacturer has the ability to provide the employees with the necessary materials, raw materials and components.

The second option assumes that the shareholders from other countries transfer their assets to Russian management, intending to subsequently return to Russia as soon as the time is favorable for this.  This decision has already been made by a number of foreign investors.
The third option for resolving the issue may be the most difficult for the business owners.
A company that has closed production in Russia and fired employees faces the risk of  getting in the list of companies, urgently driven to bankruptcy.

According to Belousov, maintaining the level of employment of citizens and their material well-being remains a priority for the executive branch.  The bankruptcy itself in such cases, as experts note, can be perceived as deliberate.

05.03.2022