Informations Rapides · 29 September 2023 · n° 250

At the end of Q2 2023, the Maastricht debt accounted for €3,046.9 billion Debt of the general government according to the Maastricht definition - second quarter 2023

At the end of Q2 2023, Maastricht’s debt increased by €34.5 billion and reached €3,046.9 billion. However, expressed as a percentage of gross domestic product (GDP) and given the strong growth of the GPD in value in Q2, it reduced by 0.7 points compared to Q1 2023 and stood at 111.8%. The increase in public debt this quarter came with a reduction of the general government cash position (-€23.3 billion), so that the net debt increased more than gross debt (+€56.1 billion) and stood at 102.2% of GDP.

The State's contribution to the public debt increased in the second quarter of 2023 (+€57.0 billion). The State increased its outstanding long-term securities (+€37.4 billion, net of repayment) and to a lesser extent its outstanding short-term securities (+€17.7 billion). Furthermore, the deposit of correspondents at the Treasury increased (+€1.9 billion). On the assets side, the State drew on its cash position (-€15,1 billion), so that its net debt increased more sharply (+€71.5 billion) than its contribution to public debt.

The contribution of the social security funds (SSF) to the public debt decreased (-€21.6 billion). Most of this debt reduction was taken on by Urssaf Caisse nationale (ex-Acoss) (-€11.1 billion) and Cades (-€7.8 billion), mainly with repayment of securities. This decrease was combined with a decrease in its cash position (-€8.2 billion).

The public debt of other central government bodies (OCGB) decreased by €0.4 billion, due to repayment of bank loans.

The public debt of local government decreased by €0.5 billion. However, there were contrasting variation within local government. Local authorities decreased their debt (-€1.5 billion), with the repayment of bank loans for €1.1 billion. On the opposite, the public debt of other local government bodies increased (+€1.0 billion), in particular with Île-de-France Mobilités (+€0.5 billion).

General government net debt amounted to €2,785.9 billion in the second quarter of 2023, at 102.2% of GDP, after 101.9% in the first quarter. It increased by €56.1 billion, after +€57.8 billion in the previous quarter. The main counterpart to the €21.6 billion difference with increase in gross debt is the reduction of the general government cash position (-€23,3 billion), particularly strong for the State (-€15,1 billion) and the SSF (-€8,2 billion).

In the second quarter of 2023, the total value of listed shares and mutual funds held by general government decreased by €59.3 billion to €255.9 billion. This strong reduction was driven by the withdrawal of Électricité de France (EDF) from the stock market in June 2023 following its takeover by the State. The shares held by the State are now registered with unlisted shares in the national accounts. Moreover, the SSF sold mutual funds (-€11.9 billion) and the value of their listed shares decreased (-€6.5 billion). Finally, the total value of listed shares and mutual funds held by the OCGB increased by €8.7 billion, due to listed shares.