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Putin Lifts Limits on Foreign Bank Deposits in Russia

Putin signed a decree lifting bank deposit restrictions on foreign nationals and firms, and a law regulating cryptocurrencies in Russia.

Putin Lifts Limits on Foreign Bank Deposits in Russia

Russian President Vladimir Putin signed a decree on Tuesday lifting recently imposed restrictions on bank deposits held by certain categories of foreign depositors, effectively unfreezing their funds.

In a separate decision, Putin signed a new law introducing, for the first time, a comprehensive regulatory framework for the circulation of digital currencies, cryptocurrencies and digital rights in Russia.

The decree applies to foreign nationals as individuals, as well as to branches, permanent representative offices and other organizational units of foreign companies that are registered in the Russian Federation.

Origins of the Type C accounts

Moscow had established special Type C bank accounts in 2022 as a mechanism to restrict access to funds belonging to individuals and organizations from countries it designates as unfriendly, meaning states that imposed sanctions on Russia after the start of the war in Ukraine.

Funds belonging to foreign investors, large Western companies and institutional investment organizations were transferred into these special accounts, where they remained effectively frozen.

From June 1, 2026, bank deposits of citizens from these so-called unfriendly countries were also placed under Type C accounts, limiting their ability to withdraw or manage their funds.

What changes under the new decree

Under the new presidential decree, these restrictions no longer apply to foreign individuals, nor to deposits made by branches, permanent representative offices and other structures of foreign companies operating and registered in Russia, according to Reuters.

Under the new rules, these categories of depositors will be able to freely manage their funds and withdraw the ruble amounts credited to their Type C accounts between June 1 and the decree's effective date of August 4, 2026.

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