The Livret A rate will fall “around 2.5%”, announces the Minister of the Economy

The Livret A rate will drop to 1^is February, announced Monday January 6 the Minister of the Economy, Eric Lombard, who is still awaiting the proposal from the governor of the Bank of France to specify this figure. “The governor of the Bank of France, François Villeroy de Galhau, will make a proposal to the Minister of Finance, most certainly a reduction”and it is “around 2.5% (…) that the decision will be made”said Mr. Lombard on France Inter.

The Livret A rate, which has not seen a drop since 2020, has been set at 3% since the start of 2023. Its calculation formula, also valid for the Sustainable and Solidarity Development Booklet (LDDS), is based on half on the evolution of prices over the last six months and for another half on an exchange rate between banks.

“Savings are protected”

In mid-January, as soon as the final inflation figures for December are known, the governor of the Bank of France will propose a new rate to Bercy, based on the result of the calculation formula or by deviating from it.

“The Livret A rate will fall, but inflation has fallen sharply, since it is around 1%”recalled the minister. Even with a less profitable Livret A, “savings are not only protected, but they allow real wealth to increase”he justified.