Collection of booklet A stalls in March

The outstanding amount of Livrets A and Livrets de développement durable et solidaire (LDDS) increased in March. Deposits, however, have stalled compared to the start of the year, according to figures published Tuesday April 23 by the Caisse des Dépôts (CDC).

In detail, deposits on Livret A accounts exceeded withdrawals by 1.53 billion euros last month, and by 910 million euros for LDDS. The sum of these two so-called “net collection” amounts of 2.44 billion euros, is twice lower than in March 2023 (5.99 billion euros) but constitutes a return to pre-Covid averages for a third month of the year. It is also lower than the net collection for the months of January and February but equivalent to what life insurance did during the first two months of 2024.

The appeal of the Livret A and the LDDS, with guaranteed capital available at any time, is therefore running out of steam in the face of competition despite a net rate of 3% competitive with euro life insurance funds, which have an average rate (excluding tax and social security contributions) for 2023 of 2.6%, according to an estimate from the Prudential Control and Resolution Authority (ACPR).

The sums deposited in Livrets A and LDDS are 59.5% managed by the Caisse des Dépôts, and intended mainly to finance social housing and urban renewal. The remaining 40.5% is managed by banks, and must be mainly dedicated to bank loans to SMEs.

The Popular Savings Booklet (LEP), accessible under income conditions, for its part increased by 950 million euros last month, again according to the CDC, its second best performance in 15 years for a third month of year, after March 2023. The three regulated savings accounts, Livrets A, LDDS and LEP, have increased by 10% over the past year, totaling a record 650 billion euros at the end of March 2024.