Informations Rapides · 30 June 2023 · n° 165

At the end of Q1 2023, the Maastricht debt accounted for €3,013.4 billion Debt of the general government according to the Maastricht definition - first quarter 2023

At the end of Q1 2023, Maastricht’s debt increased by €63.4 billion and reached €3,013.4 billion. Expressed as a percentage of gross domestic product (GDP), it increased by 0.7 points and stood at 112.5 %. The increase in public debt this quarter barely boosted the general government cash position (+€5.0 billion), with the result that the rise of net debt was comparable to the increase of public debt (+€58.3 billion) and stood at 102.0 % of GDP.

The State's contribution to the public debt increased in the first quarter of 2023 (+€48.6 billion). The State increased its outstanding long-term securities (+€55.1 billion, net of repayment) while its outstanding of short-term securities decreased (-€3.9 billion). Furthermore, the deposit of correspondents at the Treasury decreased (-€2.7 billion). Moreover, the State drew on its cash position (-€4.6 billion) and its outstanding of loans granted decreased (-€0.9 billion), so that its net debt increased more sharpy (+€54.0 billion) than its contribution to public debt.

In the first quarter of 2023, the contribution of the social security funds (Asso) to the public debt also increased (+€17.4 billion). Most of this debt was taken on by Cades (+€11.7 billion), which increased its outstanding long-term and short-term securities (respectively by +€9.0 billion and +€2.9 billion). The URSSAF Caisse nationale, the UNEDIC and the CNAF also contributed to this increased with short-term indebtedness (respectively +€3.8 billion, +€1.4 billion and +€0.6 billion). During the first quarter, the Cades continued its debt takeover of other social securities funds for a total of €9.2 billion. In 2023, these payments are expected to total €24.2 billion.

The contribution to Maastricht debt of central government agencies (Odac) decreased by €2.8 billion this quarter, mainly due to the decrease in debt of SNCF Réseau and France Compétence (respectively -€2.2 billion and -€0.6 billion).

The contribution of local authorities (Apul) increased very slightly (+€0.2 billion). However, the variations are contrasting within the Apul. Municipalities and departments reduced their debt (respectively -€1.3 billion and -€1.1 billion) with the repayments of loans (-€2.7 billion) while securities increased moderately (+€0.3 billion). In contrast, regions increased their debt (+€0.9 billion) with securities. Finally, Société du Grand Paris and Île-de-France Mobilités increased their outstanding of long-term securities (+€2.0 billion) while their short-term debt decreased (-€0.4 billion).

General government net debt amounted to €2,732.2 billion in the first quarter of 2023, at 102.0% of GDP. It increased by €58.3 billion, after +€27.8 billion in the previous quarter. The main counterpart to the €5.1 billion difference with increase in gross debt is the €5.0 billion increase in general government cash holdings. The increase in the cash position of general government as a whole was the result of contrasting trends between sub-sectors: the State used up its cash in the first quarter (-€4.6 billion) while the Asso, and to a lesser extent the Odac, increased their cash positions (respectively +€9.2 billion and +€0.4 billion).

In the first quarter of 2023, the total value of listed shares and mutual funds held by general government increased by €27.9 billion to €318.0 billion. Within general government, this increase mainly concerns Asso (+€11.3 billion), Odac (+€10.5 billion) and the State (+€6.1 billion). This increase was driven by the dynamism of securities prices (+€21.9 billion), while purchases (net of sales) amounted to €6.0 billion. In particular, the French State acquired €3.2 billion of EDF shares as part of the re-nationalisation process; purchases net of sales by the Asso amounted to €2.5 billion.