October 2020

Post n°186
Published on 10/20/2020

Preserving companies' investment capacity as they emerge from the Covid-19 crisis is a key issue of economic policy, as shown by the emergency measures taken by the ECB and, in France, by the government. Indeed, access to external financing is a major determinant of investment. A financing shock, such as the 2008 crisis, could lead to a sharp decline in the investment rate of major French groups.

Cost of external financing for non-financial corporations (%)
Chart 1. Cost of external financing for non-financial corporations (%) Source: Gilchrist and Mojon (2017)
Post n°185
Published on 10/15/2020

By Sylvie Bonneau

During the lockdown, the Banque de France's network of VSE-SME correspondents was greatly called upon to guide entrepreneurs in their requests for financing. Managers' concerns changed during this period.

Chart 1 – Managers’ meetings with VSE-SME correspondents and crisis-related needs
Chart 1 – Managers’ meetings with VSE-SME correspondents and crisis-related needs Source: Banque de France
Post n°184
Published on 10/07/2020

By Florian Le Gallo and Kevin Schmitt

The Covid-19 pandemic has severely disrupted international tourism. As foreign traveller surveys are no longer conducted, the Banque de France has brought into play innovative information sources, such as payment card data, to assess the scale of the shock. After a massive drop in receipts since March, European visitors returned to France during the two summer months.

Chart 1: France’s international tourism receipts (in EUR billions) Source: Banque de France.
Post n°183
Published on 10/02/2020

By Luc Jacolin and Khalil Bechchani

Official development assistance (ODA) should be bolstered in 2020 by the international response to the Covid-19 crisis, whose impact in low-income countries is still uncertain. The main challenge is to ensure that the efforts undertaken will be sufficient and sustainable: increasing ODA is desirable if the sustainable development goals for 2030 are not to be compromised.

Chart 1: Changes in financial flows entering LICs (in USD billions)
Chart 1: Changes in financial flows entering LICs (in USD billions) Sources: World Bank, OECD and Banque de France estimates for 2020.