Crédit Agricole SA must respect a CET1 ratio of at least 8.5% in January – 01/12/2023 at 6:16 p.m.

(AOF) – The Crédit Agricole Group and Crédit Agricole SA have been notified by the European Central Bank of the capital requirements under pillar 2 applicable from January 1, 2024, i.e. 1.75% for the Crédit Agricole Group and 1, 65% for Crédit Agricole SA The Crédit Agricole Group will therefore have to respect a core capital ratio (CET1) of at least 9.7% from January 2024.

It includes the requirements under Pillar 1 and Pillar 2, supplemented by the overall capital buffer requirement in force (conservation buffer of 2.5%, buffer applicable to globally systemically important institutions of 1% and counter-cyclical cushion estimated at 0.75% as of January 2, 2024). The Crédit Agricole Group had a phased CET1 ratio of 17.5% as of September 30, 2023.

Crédit Agricole SA must comply with a CET1 ratio of at least 8.5% from January 2024, including the requirements under Pillar 1 and Pillar 2, supplemented by the overall capital buffer requirement in force (capital buffer conservation buffer of 2.5% and counter-cyclical cushion estimated at 0.62% as of January 2, 2024). Crédit Agricole SA’s phased CET1 ratio stood at 11.8% as of September 30, 2023.


Key points

– Listed vehicle of the mutual group of the same name, 1st French bank and 8th worldwide;

– Net banking income of €22.7 billion, generated by community banking at 65%, by specialized financial services at 12%, by large customer banking at 14% and by savings management and insurance ;

– 3-point business model – relational excellence by becoming the preferred bank for individuals, entrepreneurs and institutions, local responsibility to support digitalization and societal commitment by amplifying mutual commitment;

– Capital held 55.3% by the regional mutuals, hence a strong presence of their representatives on the board of directors (10 out of 21 members) chaired by Dominique Lefebvre, Philippe Brassac being general manager;

– Solid financial position: CET 1 ratio of 11.2%, leverage ratio of 3.6% and cash reserves of €467 billion.


– New “Ambitions 2025” plan:

– net profit greater than €6 billion and return on tangible equity greater than 12%,

– acceleration of technological and digital transformation with €20 billion of budget for IT and digital including €1 billion for technological transformation,

– cash distribution of 50% of the result;

– Innovation strategy, one of the 3 levers of the business model:

– internally: 90% of Group entities with a “data-centric” architecture in 2022, and €300 million in IT efficiency gains, 100% of IT employees trained in new technologies in the University of the System ‘Information and 100% of emerging technologies tested on new business services,

– towards customers: expansion of the range of leading applications (Ma banque Pro, Pro&Entreprises LCL, etc.), offer of digital and mobile checkout solutions for small/medium merchants, European electronic banking offer for large brands and complete range e -trade ;

– Environmental strategy aimed at carbon neutrality in 2050 for the own footprint and the investment and financing portfolios.


– Integration of Italian CreVal and Lyxor;

– High impact of provisions and the increase in the cost of risk on the Ukraine and Russia zone, resulting in a 16.1% decline in net profit in the 1st half;

– Difficult market outlook for the 2nd half, excluding the United States: sharp drop in growth and rise in inflation in Europe, stagflation in emerging countries and rise in key rates.

– Share buyback programs.

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