10 Nov 2023 09:27

CBR does not expect sanctions to affect RNRC's financial stability

MOSCOW. Nov 10 (Interfax) - The sanctions that the United Kingdom imposed against the Russian National Reinsurance Company (RNRC) this week will not affect the reinsurer's financial stability, the head of the insurance department at the Central Bank of Russia (CBR), Ilya Smirnov told reporters on the sidelines of the Finopolis forum on Thursday.

Smirnov said he "would be very surprised if the company did not expect such actions" and that he has high regard for the professionalism of RNRC's management. RNRC does not factor any payments from unfriendly countries into the conditions for its financial stability, he said.

"We as the regulator also do not factor the possibility of receiving any payments from unfriendly countries into the calculation of RNRC's financial stability," Smirnov said.

RNRC, a subsidiary of the CBR, was hit by European Union sanctions in February. After traditional western reinsurers left Russia in the spring of 2022, RNRC took over their shares in reinsurance policies and became a monopoly on the Russian market.