Russia currently has a very flexible policy regarding the admission of foreign capital. The main theoretical aspects of the work of foreign banks on the territory of the Russian Federation are considered in this article, including the regulatory and legal framework, classification, essence, role and functions. A set of traditional methods of economic sciences is used. The difficulties faced by foreign capital in penetrating the Russian banking sector are mostly of a technical nature. Expansion of banks with the participation of foreign capital in the Russian banking sector is limited by internal and external factors. To actively attract foreign capital to Russia, changes in legislation and the creation of favorable conditions are necessary.