New York: Mastercard and Visa are suspending their operations in Russia, the companies said Saturday, in the latest blow to the country’s financial system after its invasion of Ukraine.
Mastercard said cards issued by Russian banks will no longer be supported by its network and any Mastercard issued outside the country will not work at Russian stores or ATMs.
In an announcement on Visa’s website, the company says it’s working with partners in Russia to “cease all transactions over the coming days.” A separate press release from Mastercard contains a similar message, noting that it’s suspending services in Russia and that its decision wasn’t taken “lightly.” Both companies explain that any transactions made with Mastercard or Visa cards issued by banks in Russia won’t work outside of Russia, while any cards issued by banks outside of the country won’t work at Russian merchants or ATMs.
“We regret the impact this will have on our valued colleagues, and on the clients, partners, merchants and cardholders we serve in Russia,” Visa CEO Al Kelly states. “This war and the ongoing threat to peace and stability demand we respond in line with our values.”
As noted, anyone with a card issued in Russia will still be able to pay for products and services with Mastercard and Visa cards, however, neither financial company will process the transactions — Russia’s National Payment Card System (NSPK) will have to handle them instead.
