Key figures of the FGDR

Facts & figures at 31/12/2021

FGDR member institutions

At 31 December 2021, 472 banks and financial institutions operating in France were members of the FGDR and were required to contribute to it under at least one of the three guarantee schemes or under the national resolution mechanism. 

The amount of resources available to the FGDR increases on a regular basis. 
At 31/12/2021, the FGDR’s own funds stood at €6.106 billion, of which €5.8 billion were intended for the deposit guarantee mechanism. These resources are readily available at all times. 
 

The FGDR's available ressources at 31/12/2021

Resources proportionate to intervention risk

• The FGDR’s resources are proportionate to the actual intervention risk. They correspond to the risk of having to conduct a compensation process with so-called “non-systemic” small- or medium-sized banks. 

• Furthermore, the FGDR has a revolving line of credit of €1.4 billion for the deposit guarantee scheme. With this credit line, the FGDR has available resources of nearly €6 billion, i.e. 0.5% of bank deposits covered in France. This amount is within the targets for 2024 that the European regulations have set with regard to deposit guarantee schemes' resources. 

• In addition to its immediate resources, the FGDR has the ability to collect additional special contributions from its members. 

• In the event of risk involving a leading institution, the European Single Resolution Mechanism (SRM) with the Single Resolution Fund (SRF) would take action first. The SRF, which must reach at least 1% of the amount of the covered deposits of all credit institutions licensed in all participating Member States, is expected to have €55 billion by 2023. 

The FGDR has ample, additional and cumulative resources to pay compensation, carry out a preventative intervention, finance asset transfers or grant guarantees to ensure the resolution of a banking crisis. These resources allow it to guarantee the customers of all institutions operating in France. 

Contributions i collected 

The net contributions collected in 2021  by the FGDR for its own account totalled €624,20 million, including operating expenses and contributions resultng form transfers between European guarantee schemes. 

For France, 2021 contribution by mechanism were as follows: 

• €602 million for the deposit guarantee, investor compensation and performance schemes; and
• €10 million for the National Resolution Mechanism. 

Increase in own funds each year

• The FGDR's own funds increase in proportion to the amount of deposits and savings of the French people. 
• Following the collection of the 2021 contributions, the FGDR’s own funds for all mechanisms totalled €6.1 billion at 31/12/2021.

 Other resources

• To supplement its available resources for the deposit guarantee scheme, in January 2021 the FGDR took out a two-year stand-by line of credit, which can be renewed twice, in the amount of €1.5 billion. At the end of 2021, the due date of the line of credit was extended until January 2024.

• As provided in the French Monetary and Financial Code, in 2021 the FGDR also collected €7.2 million in monetary penalties imposed on investment services providers by the AMF. These penalties mainly supplement the FGDR’s own funds for the investor compensation scheme.

National Resolution Fund (NRF)

• The FGDR collects resources for the National Resolution Fund (NRF). For all institutions, the NRF is expected to have resources of over €60 million by 2024.

Single Resolution Fund (SRF) i

• The FGDR is also responsible for collecting contributions on behalf of the Single Resolution Fund (SRF) i and transferring them to that fund after receipt. 
  The Single Resolution Fund, which is managed by the Single Resolution Board in the euro zone, is used to finance the resolution of institutions that are “significant” under the European “SRU” regulation.

In accordance with European legislation, the target amounts to be met by both funds by 2024 are at least 1% of the covered deposits of all member institutions.