BPCE - 2020 Universal Registration Document

FINANCIAL REPORT

IFRS CONSOLIDATED FINANCIAL STATEMENTS OF BPCE SA GROUP AS AT DECEMBER 31, 2020

AMOUNTS DUE TO BANKS AND SIMILAR AND CUSTOMERS

5.11

Accounting principles These liabilities, which are not classified as financial liabilities at fair value through profit or loss, are carried at amortized cost under “Amounts due to banks” or “Amounts due to customers”. Issues of debt securities (which are not classified as financial liabilities at fair value through profit or loss or through other comprehensive income) are initially recognized at fair value less any transaction costs. They are subsequently measured at amortized cost at each balance sheet date usingthe effective interest method. These instruments are recognized on the balance sheet under “Amounts due to banks”, “Amounts due to customers”or “Debt securities” (see Note 5.11). Temporary sales of securities are recorded onthe settlement/delivery date. For repurchase transactions, a loan commitment received is recorded between the transaction date and the settlement-delivery date when such transactions are recorded as “Liabilities”. Use of the ECB's long-term refinancing facility (TLTRO3) was booked at amortized cost in accordance with IFRS 9. Interest is recognized in the income statement by the effective interest rate method estimated based on the assumption that the eligible loan targets fixed by the ECB are met. As these loans are remunerated via an adjustable rate, the effective interest rate used may change from one period to another. This means the -0.50% interest bonus has been booked as income for the 12-month period concerned.

5.11.1

AMOUNTS DUE TO BANKS AND SIMILAR

12/31/2020

12/31/2019

in millions of euros

Demand deposits

60,348

30,187

Repurchase agreements

2,710

2,446

Accrued interest

(17)

1

Amounts due to banks and similar – repayable on demand

63,041 138,112

32,634 75,051

Term deposits and loans (1) Repurchase agreements

5

6,498 (369)

4,572

Accrued interest

(65)

Amounts due to banks and similar – repayable at agreed maturity dates

144,241

79,558

Guarantee deposits received

977

881

TOTAL AMOUNTS DUE TO BANKS AND SIMILAR 113,073 The liability related to the TLTRO3 long-term refinancing with the ECB amounted to €82 billion at December 31, 2020 and resulted in the recognition of interest income in interest (1) and similar income on the basis a bonus rate of -1% over the period, as the Group considers it highly probable that it will achieve the target of stable loans outstanding set by the ECB. The fair value of amounts due to banks and similar is presented in Note 10. Payables arising from transactions with the networks stood at €87,130 million at December 31, 2020 ( versus €51,174 million at December 31, 2019). 208,259

439

UNIVERSAL REGISTRATION DOCUMENT 2020 | GROUPE BPCE