Create a Financial Company in Russia

The Central Bank of the Russian Federation, usually referred to as the National Bank, is the main body in charge with the authorization of financial companies operating in the country. The financial sector is one of the largest contributors to the Russian economy right next to the agricultural industry, therefore investors interested in opening a company in this country can choose the financial industry.

Starting a financial business is subject to several rules and laws imposed by the government and the National Bank. Our lawyers in Russia can offer information on these laws.

The main laws governing the Russian financial industry

Foreign investors are welcome to create credit or banking institutions, as well as insurance companies in Russia. All these types of businesses fall under several laws, among which:

• -          the Federal Law in the National Bank of Russia,
• -          the Federal Law on Banks and Banking Activities;
• -          the Federal Law on the Insurance of Household Deposits with Russian Banks.

Other laws related to the types of companies, such as limited liability and joint stock structures, are in place for opening financial companies in Russia.

Registering a financial business in Russia

The registration of financial companies in Russia falls under the Commercial Code. Foreign investors must know that the joint stock company is the only business form accepted by the National Bank for carrying out banking activities here.

Russian financial businesses are also subject to various share capital requirements, among which:

• -          180 million rubles for opening a bank;
• -          90 million rubles for opening a non-banking institution;
• -          900 million rubles for banking institutions operating foreign currencies.

Our law firm in Russia can assist foreign investors with the registration of a financial company with the local Trade Register.

Licenses for financial companies in Russia

Once the financial business is incorporated with the Russian Trade Register, it must obtain the authorization of the National Bank if it carries out banking or insurance activities. In the case of financial companies operating in the investment funds sector a special license from the Federal Financial Markets Service must be obtained.

For full information on how to set up a business in the financial sector in Russia, please contact our local attorneys.