Top global financial firms exit Russia as economy slumps

Moscow

FROM Franklin Templeton Investments to BNP Paribas SA, global financial firms that once pushed to expand in Russia are pulling out as prolonged sanctions deepen the country's first recession since 2009.

Franklin Templeton, which oversees almost US$900 billion of assets, is liquidating its fund for the region, while French bank BNP Paribas exited its local fund-management venture and German reinsurer Munich Re closed its Moscow office.

An 18 per cent slide in the rouble from this year's May high, the extension of sanctions linked to the Ukraine conflict and oil trading near a three-month low have compounded Russia's economic contraction. The dollar-denominated RTS Index has slumped 18 per cent from this year's peak, promptin…