Centralizing public liquidity is a good practice recommended by international institutions, including the World Bank and the IMF. France has a highly developed system based on the cash account. The cash management strategy, designed to ensure optimal security for the execution of payments, means that the cash account is usually in surplus. AFT invests this surplus every day in the interbank market to reduce the cost of the surplus in cash. These investments may take the form of unsecured loans or repurchases of securities. AFT offers investments to its counterparties several times a day, depending on market demand. Use of cash in the best interests of taxpayers In addition to the State, the vast majority of French public bodies, including local authorities, local and national institutions and state-funded hospitals, are required to deposit their cash with the Ministry of Finance. Some companies also deposit some or all of the cash with the Ministry of Finance, in accordance with the terms of the agreements. This is the case of the European Union, which deposits part of its funds with the French Ministry of Finance.

All companies that deposit their cash with the Ministry of Finance are called “Treasury Correspondents”. To this end, AFT is constantly updating its cash flow guidance for the coming year. At the end of each day, it forecasts cash flow for the next day. Throughout the day, AFT monitors expenses and revenues in real time. All the cash flows of the State (expenditure and revenue) as well as those of local authorities and institutions financed by the State (called “cash correspondents”) will be centralized in a single account at the Banque de France. Agence France TrĂ©sor is responsible for the day-to-day management of this account. . Centralization is more than a blessing for public finances; It also offers advantages for cash correspondents, such as.B. absolute guarantee for their deposits. . The cash management agreement provides that the issuer shall place its cash from time to time in remunerated accounts and that the CCI supplier is prepared to provide such an account in accordance with the terms and conditions of this Agreement and the Bank Account Agreement.

Under the cash management agreement, the cash manager has committed to providing cash management services related to the issuer`s business. Results: 1922. Exakte: 3. Elapsed time: 342 ms. . .