The Bank of France wants to reassure on the possible risks of contagion after the setbacks of the bankrupt American bank Silicon Valley Bank (SVB). According to a spokesman for the central bank, French banks "are not exposed" to the banking player very well established in the tech sector in the United States.
"I do not see a risk of contagion, so there is no specific alert," Economy Minister Bruno Le Maire also said earlier in the day at the microphone of France Info. "We have banks that are solid", "a banking system that is solid" and "a liquidity ratio that is high", he continued, adding that French banking institutions had "very diversified sectors of activity".
"Calm down!"
Questioned by AFP, a spokesman for the French Banking Federation (FBF) said that the professional federation "subscribed" to the statements of the Bank of France and Bercy. French banks, like the sector as a whole around the world, have been battered on the stock market since last Friday. "Calm down, calm down, and look at reality!" Bruno Le Maire also told investors on Monday, when asked in Brussels about the fall in European bank stocks.
BNP Paribas shares plunged 6.80% at the close on Monday, Societe Generale shares 6.23% and Crédit Agricole 3.07%. Even if prices are still up compared to those at the beginning of the year, it is more than 10 billion euros of capitalization in total for these three banks that have soared in two trading sessions.
- Economy
- Bank of France
- Bank
- Bankruptcy
- Bruno Le Maire
- Silicon valley