In the uncertain context of the Covid-19 crisis, the French have massively filled their Livrets A and their LDDS in 2020. They thus prefer the security and liquidity of these regulated products rather than the possible capital gains from other investments.
The Livret A, a widely used investment in France, attracted twice as many savings in 2020 as in 2019, garnering a net amount of 26.4 billion euros, the Caisse des Dépôts announced on Wednesday.
In December alone, around 840 million euros net were withdrawn from the Livret A, after the very strong collection of the previous months, in particular at the beginning of the year, during the weeks of confinement linked to the outbreak of the Covid-19 crisis.
Historically low interest rate
Considered a safe-haven investment, the Livret A guarantees a historically low interest rate of 0.5% per year.
In 2020, it experienced historic success in the context of economic and health uncertainties linked to Covid-19, contrasting in particular with the significant withdrawals observed on life insurance contracts.
For its part, the Sustainable and Solidarity Development Booklet signed a net fundraising of just over one billion euros in December, bringing the total amount harvested over 2020 to 8.8 billion by the LDDS, twice as good there as in 2019, where 3.9 billion euros had been collected.
35.2 billion euros generated for the two booklets
Between them, the Livret A and the LDDS garnered 35.2 billion euros net in 2020, against 16.6 billion in 2019. They thus sign their second best annual fundraising after the 2012 record which was 49 billion euros. 'euros.
Managed jointly by the Caisse des Dépôts 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 to energy savings in housing.
In total, the outstanding savings stored on the two passbooks amounted to 448.3 billion euros at the end of December 2020.