Citigroup unsure about future of Ukraine business, wary of cyber threat

(Reuters) – Citigroup Inc. is uncertain how long it will be able to keep its operations in Ukraine running and is concerned about a cyberattack by Russia, Chief Executive Jane Fraser said in an interview with CNBC.

The bank has helped some of its 200 staff in Ukraine leave the country following Russia's invasion, Ms. Fraser said on Tuesday.

Those that remain are keeping the business going to support Ukrainian clients for as long as possible, but Ms. Fraser said it is unclear whether they will be able to keep doing so.

"This morning they opened our bank and continued helping our clients there with payroll, with food supply, with supply chains, and some of the humanitarian aid," Ms. Fraser said. "I don't think any of us know how long we will be able to keep going."

Outside of Ukraine, Ms. Fraser said the threat of cyberattacks is the bank's primary concern.

"We are certainly on high alert and putting a lot of resources around making sure that we are protecting our institutions," she added.

Ms. Fraser also said Citigroup and its clients were reducing their exposure to possible losses on Russian assets.

The bank's total exposure to Russia amounted to nearly $10 billion at the end of last year, it said on Monday, far higher than previously communicated.

"There is a big unwind going across different industries," she said. Investors and corporations are asking "where are we going to see a decoupling of the Russian capital markets, financial markets and broader economy."