Visa and Mastercard are suspending operations in Russia in response to President Vladimir Putin’s invasion of Ukraine, the companies said Saturday.
Why it matters: Sanctions and divestment from the business community have increasingly isolated Russia from the rest of the world. Businesses operating there have a limited ability to collect revenue or pay workers and suppliers.
Stay on top of the latest market trends and economic insights with Axios Markets. Subscribe for free
What they’re saying: “We are compelled to act following Russia’s unprovoked invasion of Ukraine, and the unacceptable events that we have witnessed,” Visa Chair and CEO Al Kelly said in a statement. Visa said it would cease transactions “over the coming days.”
Mastercard called the invasion “shocking and devastating” as it announced a ban similar to Visa’s.
-
“With this action, cards issued by Russian banks will no longer be supported by the Mastercard network. And, any Mastercard issued outside of the country will not work at Russian merchants or ATMs,” the company said.
-
“These have been and will continue to be very difficult days – most of all for our employees and their families in Ukraine; for our colleagues with relatives and friends in the region; for our colleagues in Russia; and for the rest of us who are watching from afar,” the company added.”
Go deeper: What global companies are abandoning Russia, and why
More from Axios: Sign up to get the latest market trends with Axios Markets. Subscribe for free
