Swedbank, one of Scandinavia’s largest banking groups, has decided not to sell its Russian business that includes a private banking operation, WealthBriefing can confirm.

A spokesperson for Swedbank in Russia told this publication that the firm decided not to sell its troubled subsidiary. After reassessing the situation the bank realised that if it gets rid of the Russian subsidiary, it may well face difficulties in re-entering the Russian market in the future.

Several media outlets had speculated that Finland’s Pojola Bank, Barclays and HSBC, as well as Russia’s MDM Bank and Alfa-Bank, were among potential buyers.

Earlier this year the bank bought back a 15 per cent stake in its Russian subsidiary from the European Bank for Reconstruction and Development that led to Swedbank’s 100 per cent ownership of the subsidiary. At present Swedbank is reviewing its business development strategy in Russia, the spokesperson said.