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Economy and Banking Sector of France

Financial Market Development

Financial Market Development
4.5 (max 7.0), 33rd out of 138 countries
Banks' Soundness
5.6 (max 7.0), 31st out of 138 countries

According to World Economic Forum's Global Competitiveness Report 2017-2018, financial market development in France is scored 4.5 out of maximum 7.0 and ranked 33rd out of 138 analysed economies, trustworthiness and confidence of financial market is scored 4.7 (40th place).

Financial Market Development in France.

Chart 1. Financial Market Development in France. Source: WEF.


Soundness of banks is scored 5.6 bringing France into the 31st place.

Soundness of Banks in France.

Chart 2. Soundness of Banks in France. Source: WEF.

Further Information

Deposit Guarantee Scheme

Maximum Protected Amount
100 000 EUR

Deposit Guarantee Schemes compensate certain deposits held by depositors of a bank that becomes unable to meet its obligations.

From a depositor's point of view it is important to know:

  • if the depositor is eligible within the terms of the deposit guarantee scheme;
  • if the depositor's bank is a participant in the deposit guarantee scheme;
  • if the depositor's type of deposit is covered by the deposit guarantee scheme.

All these details about deposit guarantee scheme in France are summarised in Table 1.

Scheme Participantsall credit institutions operating in France, branches of non-EEA banks, branches of French banks abroad
Scheme Exemptionsbranches of EEA-banks (covered by their home countries)
Eligible Depositorsnatural persons, legal entities
Covered Accountsall deposit accounts (current accounts, demand accounts, passbook accounts, term accounts, home savings accounts, home savings schemes, etc.)
Covered Currenciesall currencies
Maximum Protected Amount100 000 EUR
Paid In CurrencyEUR

Table 1. Deposit guarantee scheme in France.

EEA stands for European Economic Area and consists of all EU member states plus Liechtenstein, Norway and Iceland.

Further Information

Country Ceiling for Deposits

Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.

Local Currency (Euro)
Aaa (prime)
Foreign Currency
Aaa (prime)

Local currency (Euro) deposit ceiling for France is set to Aaa (prime), foreign currency deposit ceiling is Aaa (prime).

Deposit Rates

Average Deposit Rate (Jan 2018, EUR)
1.18 %  (Dec 2017: 0.98 %)
In January 2018, an agreed annualised deposit rate in local currency (Euro) of new contracts with agreed maturity up to 1 year between credit institutions and households was 1.18% which was above the Euro Area average (0.37%).
Deposit Rates in France.

Chart 3. Deposit Rates in France. Source: ECB.

Further Information

Banking Supervision

 Banque de France

Banking Sector Structure

Number of Banks
545
Consolidated Assets (2016)
7 215.96 bln EUR  (+3.97%)
Recent Changes (2016)
new banks: 3, closed banks: 15

Currently there are 545 credit institutions operating in France.

In 2016 consolidated banking assets in France were 7 215.96 bln EUR. The consolidated banking assets' evolution is shown at Chart 4 below.

Consolidated banking assets in France.

Chart 4. Consolidated banking assets in France.

Recent structural changes (2013 - 2016) of the banking sector of France are summarised in Table 2.

2013201420152016
Number of Opened Banks8863
Number of Closed Banks11212215

Table 2. Recent structural changes in the banking sector of France.

The list of the most recently opened banks in France is provided in Table 3.

NameStart Date
 BANK OF COMMUNICATIONS (LUXEMBOURG) S.A. (new)November 2016
 Berlin Hyp AG (new)April 2016
 Santander Consumer Banque (new)January 2016
 Crédit Immobilier de France Développement (new)August 2015
 CHINA CONSTRUCTION BANK (EUROPE) S.A (new)July 2015
 Australia and New Zealand banking group limited (new)April 2015
 Lombard Odier (Europe) S.A. (new)March 2015
 AGENCE FRANCE LOCALE (new)January 2015
 Mirabaud et Cie (Europe) SA (new)January 2015
 GE Capital bank limited (closed)November 2014
 

Table 3. The most recently opened banks in France.

All the credit institutions operating in France can be classified into several categories. Table 4 summarises the number of banks in each category.

CategoryNumber of Banks
Banks271
Branches of foreign banks88
Central banks1
Municipal credit banks18
Mutual banks82
Specialized credit institutions85

Table 4. Number of banks by category in France.

There are 87 branches of foreign banks from 24 different countries in France. Table 5 shows 10 countries having the biggest number of branches in France.

Country of OriginNumber of Branches
 United Kingdom17
 Germany16
 Luxembourg8
 Italy6
 Netherlands4
 Spain4
 Iran, Islamic Republic of4
 Belgium3
 Hungary2
 Japan2

Table 5. Number of branches of foreign banks in France grouped by country of origin.