With an interest rate of 2%, the livret A records the best month of August in its history

The Livret A account garnered 4.5 billion euros last month, recording the best month of August in its history, boosted by the increase in its rate from 1% to 2%, according to data published Wednesday by the Caisse des deposits.

In August 2021, net inflows amounted to €1.67 billion.

The month of August was marked by the raising of its interest rate, from 1% to 2%.

It was still at 0.5% at the start of the year.

“Given inflation and interest rates, the yield on the livret A could drop to 3 or even 3.2% on February 1 next,” said Philippe Crevel, director of Cercle de l'Epargne.

This record for August comes after that of July, which had seen unprecedented net inflows for this month of the year, at 2.64 billion euros.

Since the start of the year, the outstanding amount of the Livret A account has increased by 23.6 billion euros, i.e. almost the 24.5 billion euros recorded between January and August 2020, when the start of the pandemic had boosted the attraction of the French for this booklet.

The Sustainable and Solidarity Development Booklet (LDDS) for its part recorded a net collection of 780 million euros in August.

497 billion euros on savings accounts A the LDDS

Managed jointly by the Caisse des dépôts (CDC) and the banking networks, the livret A is mainly used to finance social housing, while the LDDS is dedicated to the social and solidarity economy as well as energy savings in housing. .

The cumulative outstanding balance of the two passbooks amounts to approximately 497 billion euros, with an increase of 5.2% over one year.

If the increase in the rate of the livret A and the LDDS may have encouraged the French to deposit their savings there, it is however important to note that their return remains negative taking inflation into account.

The latter reached 5.9% over one year in August according to INSEE.

Its rate is however more advantageous than that of many euro funds (the least risky) of life insurance.