Banque de France rating

The Banque de France rating (cotation Banque de France) is the assessment that Banque de France analysts make of a non-financial company’s ability to meet its financial commitments over a one to three year horizon. It combines a turnover grade and a credit grade. The turnover grade is a letter set by revenue: A above €750m, B from €150m to €750m, C from €50m to €150m, D from €30m to €50m, E from €15m to €30m. The credit grade runs from 1+ (excellent ++) to P (in default), through 3+ (strong ++), 4 (good), 5 (fragile) and 7 (very compromised); grade 0 indicates that no accounting documentation has been analysed. Since 12 January 2025, the Banque de France has rated on the basis of their accounts the companies whose revenue exceeds €1.25m, around 300,000 companies. The rating is updated once a year. The company’s senior executive receives it free of charge and can obtain, on request, a meeting that explains the reasons for it. Financing institutions that are members of the FIBEN database consult it and may not disclose it. The Eurosystem accepts claims on the best rated companies as collateral for its refinancing operations. Banks use it to calculate their capital requirements. Before raising debt, it is in your interest to know your rating and the reasons for it, because the FIBEN members you deal with consult it.

A mid-sized industrial company with €120m of revenue holds the rating C3+: the letter C corresponds to revenue from €50m to €150m, and grade 3+ to an ability to meet its commitments assessed as strong ++. Before seeking €40m of debt, the finance director requests the explanatory meeting at the Banque de France branch and prepares answers to the points the analyst raised.

• Your turnover grade, your credit grade and the date of their last review.
• The reasons for the rating, obtained in a meeting with the branch.
• The recent accounts and events submitted so that the annual review takes them into account.
• The executive indicator (indicateur dirigeant), separate from the rating, which the same institutions consult.