AFT publishes its 2017 Annual Report in a new format
Agence France Trésor published its 2017 Annual Report in French today (the English version will be available soon). The new format presents all of the State debt data and the highlights of 2017 for AFT in its management of the State’s debt and cash requirements.
The report describes the accomplishments of AFT's staff in 2017: (i) completion of the borrowing programme comprising €185bn in medium-term and long-term debt, net of buybacks, under the best security conditions and in the best interests of French taxpayers (ii) syndicated launch of the Green OAT 1.75% 25 June 2039, making France the first issuer of a benchmark sovereign green bond for €7bn (iii) successful launch of a benchmark 30-year OAT with record-breaking bids of €31bn right after the French presidential elections (iv) operational alliance of the CADES* and AFT staff to form a centre of expertise for the issuance of French government securities.
The distinguishing features of 2017 were the ECB's continuing accommodative monetary policy stance and resurgent confidence and a strengthening recovery in France, along with the rest of the euro area: France continued to enjoy very favourable borrowing terms in this context, with an average yield of 0.65% for medium-term and long-term issues over the year. The average maturity of medium-term and long-term debt issues reached a record 11.8 years in 2017.
AFT is an autonomous and accountable agency with national scope that reports to the Minister for the Economy and Finance and the Director General of the Treasury.
AFT is responsible for managing the State’s cash requirements so that it can meet its financial commitments at all times, whatever the circumstances.
AFT is also tasked with managing debt in the taxpayers’ best interest.
AFT’s strategy is to take a long-term view, while tracking the market closely. It promotes liquidity across the full range of its debt issuance, while maintaining full transparency and a commitment to combining innovation, flexibility and security.
• State borrowing requirement in 2017: €183.1 billion
• Short-term issuance in 2017: €326.1 billion in 3-month, 6-month and 12-month securities with a weighted average yield of -0.62%
• Medium-term and long-term issuance in 2017: €213.2 billion with a weighted average yield of 0.65%
• Outstanding interest rate swaps at 31 December 2017: €1 billion
• Negotiable debt securities outstanding at 31 December 2017: €1,686 billion (non-residents hold 55.1% of this debt)
• Average residual maturity of debt at 31 December 2017: 7 years and 296 days
*Caisse d’Amortissement de la Dette Sociale (Social Security Debt Repayment fund)
2017 Annual Report (in French)
Translations of this report in English, Arabic, Chinese, Spanish, Japanese and Russian will soon be available.