Open a Bank Account in Russia - Updated Guide 2021
Open a Bank Account in RussiaUpdated on Tuesday 11th May 2021
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The Russian banking system has developed a lot during the last several years, as the country has become more open to foreign investments. The large number of foreign enterprisers has determined Russian banks to provide advantageous conditions for companies to obtain loans and the possibility of opening bank accounts remotely. There are over 20 large banks operating in Russia at the moment.
Our law firm in Russia can assist foreign investors setting up companies here to open corporate bank accounts in 2021.
How to open a bank account in Russia in 2021
Foreign citizens and newly registered companies are required to open bank accounts in Russia when working, respectively doing business in Russia. While foreign citizens can open current or savings accounts, many banks offer various packages for companies setting up their corporate bank accounts with them. Foreign citizens can open bank in Russia in rubles, euros or dollars, based on the following documents:
- an application form issued by the bank;
- a valid passport;
- a valid residence permit;
- proof of residential address.
For those working within a Russian company, a confirmation letter from the company may be required. However, most banks have simplified their requirements by reducing the number of documents needed when opening a bank account.
Opening a corporate bank account in Russia
All companies carrying out business operations in Russia, even through branch offices, are required to set up bank accounts. These types of accounts are primarily used for depositing the company’s share capital for incorporation and compared to current or savings accounts, the requirements for corporate bank accounts are more stringent. The following documents are necessary when setting up a corporate bank account in Russia in 2021:
- a prescribed application form;
- the applicant’s passport;
- a residence permit, if applicable;
- a statement issued by the tax authorities for carrying out business activities in Russia;
- a statement from the company’s owner confirming the opening of the account.
Foreign enterprisers can also appoint Russian lawyers or representatives who will open the account on their behalf based on a power of attorney. We can help international entrepreneurs start a business in Russia and also open a bank account in 2021.
The main laws governing banking in Russia
The first Banking Law in Russia was issued in 1990. This is the Federal Law No. 395-1 “On Banks and Banking”. The law was altered several times, with the last modification registered at the end of 2013. Other important laws on banking activities in Russia are:
- Federal Law No. 86-3 of 2002 on the Central Bank of Russia;
- Federal Law No. 40-3 of 1999 on the insolvency of financial lending institutions.
As mentioned above, the Banking Law was amended in 2013 in order to adhere to international standards and to provide easy access to the market to foreign banks. One of the most important amendments brought to the law refer to banking groups and bank holding companies, which are now allowed to be formed by others than credit institutions alone with only one of the companies required to be credit institution.
For assistance in opening any type of bank accounts in Russia, do not hesitate to contact our Russian law firm.