In Russia, Gazprom and Sberbank refused to pay dividends. Shares of both companies fell

Shareholders of Gazprom, Russiaʼs largest corporation, have decided not to pay dividends in 2021. Following this decision, the companyʼs shares fell by more than 30% — the biggest drop since February 25, 2022.

"Shareholders have decided that in the current situation, dividends for 2021 should not be paid. Gazpromʼs priorities now are to implement an investment program, including gasification of Russiaʼs regions, and to prepare for winter. And, of course, we must be ready to fulfill the obligations to pay taxes in increased amounts, " said Gazprom Deputy Chairman of the Board Famil Sadygov.

After the announcement of the refusal to pay dividends, Gazprom shares fell by more than 30% on the Moscow Stock Exchange — from 310.82 to 207.69 rubles apiece.

A similar decision on non-payment of dividends was made by the shareholders of Sberbank (the largest Russian bank) — its shares have already fallen by 7%.

• In April, Russian Finance Minister Anton Siluanov said that the Ministry of Finance would offer state-owned banks to refuse to pay dividends for 2021. "Banks have lost a lot under the current conditions. Iʼm not talking about those banks that simply acquired the status of SDN [that is, came under sanctions], — the minister explained at the time. In 2022, due to the war in Ukraine, Sberbank came under the harshest sanctions from the United States, Britain, Japan and Canada.