A temporary withdrawal. In February, the French were sensitive to the drop in the Livret A rate, which fell from 0.75% to 0.5% at the start of the month. They placed 1.2 billion euros on this support, according to Caisse des Dépôts. Or 700 million euros less than in February 2019 . "Rate cuts have traditionally been accompanied by a drop in inflows," said Philippe Crevel, economist and director of the Cercle de l'Épargne. His little brother, the Sustainable Development Booklet (LDD) also collected slightly less (370 million against 580 million euros in February 2019).
Also read: The booklet A rate puzzle
But this slight brake is not intended to last. “In this climate of great uncertainty linked to the financial crisis, we can expect a massive jump in savings as early as March. It is not the remuneration that will guide the choice of savers in the coming months, but security, ” predicts Cyril Blesson, economist at Pair Conseil. The first data would already show this. Tuesday, Bruno Le Maire, the Minister of the Economy, said he saw a savings movement towards the Livret A and the LDD.
Despite a return below inflation, the Livret A remains a flagship productThe Livret A, guaranteed, liquid and without tax has no equivalent for precautionary savings. However, bank books and term accounts should also fill up. According to Pair Conseil, nearly 25% of the usual consumer items are today prevented. These sums are likely to land on guaranteed investments.
Read also: Collection record for Livret A in 2019
Despite a return below inflation, the Livret A remains a flagship product. Nearly 55 million French people hold one. The total savings outstanding placed on Livret A and LDD reached 417 billion euros at the end of February.