Visa, Mastercard suspend operations in Russia (NYSE:MA)

Visa (NYSE:V) and Mastercard (NYSE:MA) each suspended operations in Russia because of Russia’s invasion of Ukraine, they said in separate statements.

Visa (V) will work with its clients and partners within Russia to cease all Visa transactions over the coming days, it said.

“We are compelled to act following Russia’s unprovoked invasion of Ukraine, and the unacceptable events that we have witnessed,” Visa Chairman and CEO Al Kelly said in a statement. “This war and the ongoing threat to peace and stability demand we respond in line with our values.”

Mastercard’s (MA) decision to suspend operations of its network in Russia stems from its recent action to block multiple financial institutions from its payment network, as required by regulators globally, it said.

With both networks, cards issued by Russian banks will no longer be supported by their respective payment networks and cards issued outside of Russia will no longer work in the country.

Mastercard (MA) has operated in Russia for more than 25 years and has more than 200 colleagues there. “As we take these steps, we will continue to focus on their safety and well-being, including continuing to provide pay and benefits,” the company said. “When it is appropriate, and if it is permissible under the law, we will use their passion and creativity to work to restore operations.”

Visa’s Kelly said, “We regret the impact this will have on our valued colleagues, and on the clients, partners, merchants and cardholders we serve in Russia. The war and the ongoing threat to peace and stability demand we respond in line with our valued.”

Previously (March 3), London Stock Exchange, PayPal, U.K. add more financial pain for Russia

On Feb. 24, President Biden increased economic sanctions on Russia with restrictions on more Russian banks, and last week the EU was said to be set to kick seven Russian banks, including VTB, from the SWIFT global financial network.