Fixed at 3% since the start of 2023, the Livret A rate could potentially drop 0.5 percentage points at the start of the year, Eric Lombard said in October, when he was still general director of the Caisse des Dépôts (CDC), before he was appointed Minister of the Economy at the end of December.
The formula for calculating the Livret A rate, also valid for the Sustainable and Solidarity Development Booklet (LDDS), is based half on the evolution of prices over the last six months and the other half on an exchange rate between banks.
The popular savings account too
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.
“2.5% seems to me the most likely rate for the Livret A as of February 1,” Philippe Crevel, director of the Cercle de l’Épargne think tank, said on Tuesday.
Another consequence of the drop in inflation, the rate of the Popular Savings Book, reserved for low-income individuals, should also fall, “from 4% to 3% if we apply the formula” according to him. According to Philippe Crevel, this probable rate cut would serve a dual government objective.
“More consumption, less saving”
On the one hand, revive consumption to stimulate growth and tax revenues, particularly via VAT. On the other, supporting a construction sector in crisis: “The Livret A resources serve as the basis for loans made to social landlords. The higher the Livret A rate, the higher the loan rate,” explains Mr. Crevel.
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