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Visa and Mastercard halt their operations in Russia

Updated: Jul 25, 2024
Published: Mar 6, 2022
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As per the two separate announcements on the same day, major financial services companies Visa and Mastercard have decided to halt their operations in Russia amid the ongoing Russia-Ukraine conflict.

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Visa to suspend its services in Russia

On Saturday, Visa announced that it is starting to work on discontinuing transactions in Russia, citing the country's invasion of Ukraine. However, it added that the operation suspension would take a few days.

"Once complete, all transactions initiated with Visa cards issued in Russia will no longer work outside the country, and any Visa cards issued by financial institutions outside of Russia will no longer work within the Russian Federation," says Visa in a statement.

Visa said that it had made the decision following the "unacceptable events" that it witnessed.

It is also important to note that Al Kelly, chairman and chief executive officer of Visa Inc., added in her statement that Visa regrets "the impact this will have on our valued colleagues, and on the clients, partners, merchants, and cardholders we serve in Russia. This war and the ongoing threat to peace and stability demand we respond in line with our values."

Mastercard follows

Mastercard, on the other hand, also stated the suspension of all its network services in the country. In a statement similar to Visa, the payments giant revealed that they have been in talks with several of their employees and shareholders on the situation. Due to the feedback received from those people who are part of the organization, the firm decided to halt services in Russia. It is a fact that Mastercard has been operating in the nation for more than 25 years and have "nearly 200 colleagues there who make this company so critical to many stakeholders," the firm added.

The announcement further added that "when it is appropriate, and if it is permissible under the law, we will use their passion and creativity to work to restore operations."

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