Informations Rapides · 17 December 2021 · n° 328

At the end of Q3 2021, the Maastricht debt accounted for €2,834.3 billion Debt of the general government according to the Maastricht definition - third quarter 2021

At the end of Q3 2021, Maastricht’s debt reached €2,834.3 billion, it accounted for 116.3% of gross domestic product (114.8% at the end of the previous quarter). Public debt increased by €72.4 billion, more strongly than during the second quarter (+€23.7bn). Part of this debt fed the general government's cash position, which increased by €29.9bn during the quarter. As a result of this increase in cash, the net debt increased more moderately than the gross debt (+41.5 Md€ after +€68.4 billion in previous quarter) to reach 103.4% of GDP.

In the third quarter of 2021, the State’s contribution to debt increased by €65.5 billion. The State mainly issued long-term negotiable securities (+€61.6 billion) and to a lesser extent, short-term marketable securities (€1.5 billion). Correspondents' deposits with the Treasury, which are State's liabilities, also increased by €2.4 billion. The increase in the State's contribution to net debt was more modest (+36.3 bn) due to the increase in its cash position (+29.2 bn), mainly in the form of deposits at the Banque de France.

The contibution to Maastricht debt of central government agencies increased by €4.8 billion this quarter, mainly due to SNCF Réseau issue of debt securities (+€4.3 billion) which aims to avoid a cash shortfall at the end of the year. In addition, France Compétence increased its debt by €0.7 billion (short-term loans) while CEA reimbursed €0.2 billion of loans. Treasury accounts of other central government agencies increased by €1.2 billion, including €0.9 billion for universities.

The contribution to Maastricht debt by local authorities increased in the third quarter (+€3.0 billion), mainly driven by Société du Grand Paris (SGP) and Île-de-France mobilités (+€1.5 billion and +€1.4 billion respectively). The contributions of municipalities (-0.1bn€), departments (-0.3bn€), regions (+0.3bn€) and unions (+0.2bn€) offset each other. On the other hand, the deposits at the Treasury of the Apul increased strongly (+4.1 Bn€), in particular for the regions (+1.5 Bn€), the SGP (+1.0 Bn€) and the departments (+0.8 Bn€).

The contribution to debt by the social securities funds decreased in the third quarter (-€0.9 billion). Acoss continued to reduce its debt this quarter (-€3.6bn in short-term debt securities after -€3.0bn the previous quarter). On the other hand, Cades increased its debt (+€1.2bn) as did Unédic (+€0.9bn) and hospitals (+€0.4bn). The progressive indebtedness of Cades in recent quarters is part of debt assumption of social insurance schemes and hospitals. In the third quarter, Cades made payments to Acoss in respect of the assumption of CNAM's debt, amounting to €10.0 billion. The contribution to net debt by social securities funds decreased by €2.7 billion due to the increase in cash position (+€0.8 billion, of which +€1.1 billion for Acoss) and in holding of debt securities (+€1.0 billion for FRR).

The net public debt reached €2,519.5 billion, and stood for 103.4 % of GDP. It increased by €41.5bn, less strongly than in the previous quarter (+€68.4bn). The difference with the change in gross debt (-€30.9 billion) is mainly due to the increase in general government cash (+€29.9 billion). Moreover, the Fonds de réserve pour les retraite (FRR) increased its holdings of debt securities in euro (+€1.0 billion).

In the third quarter of 2021, the total value of listed equities and collective investment schemes held by general government decreased by €4.2 billion, to €292.8 billion. Within public administrations, this decrease concerns the State (-€2.7 billion) and the Asso (-€2.1bn). The State acquired €1.0bn of Orano shares but its holding losses amounted to €3.7bn. The Asso sold €2.0bn of mutual fund shares. In addition, EPIC Bpi (Odac) bought €0.5bn of listed shares and sold €0.1bn of mutual fund shares.