France Tier 1 capital to risk-weighted assets
France Tier 1 capital to risk-weighted assets stood at 17.2% in Q1 2026, according to IMF – Financial Soundness Indicators (FSIC), data reported by Banque de France. It is one of the indicators in the Financial soundness indicators table (Value · Quarterly), with a complete series running from Q4 2008 to Q1 2026. The complete series with an interactive chart, free to download.
This indicator in the Financial soundness indicators table
| Indicator | Q1-2026 | Q4-2025 | Q3-2025 | Q2-2025 | Q1-2025 | Q4-2024 | Q3-2024 | Q2-2024 | Q1-2024 | Q4-2023 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Capital adequacy of deposit takers | |||||||||||
| Tier 1 capital to risk-weighted assets | 17.2 | 17.29 | 17.24 | 17.27 | 17.23 | 17.36 | 16.92 | 17.13 | 17.13 | 17.21 | |
| Common equity Tier 1 capital to risk-weighted assets | 15.91 | 16.06 | 16.02 | 16.06 | 15.98 | 16.13 | 15.78 | 15.94 | 15.94 | 16.08 |
Understanding france Tier 1 capital to risk-weighted assets
This metric measures a bank's primary going-concern capital relative to its total risk-weighted exposures. Tier 1 capital encompasses permanent shareholders equity, disclosed reserves, and qualifying hybrid capital instruments designed to absorb losses while the institution remains operational. This measure excludes secondary subordinated debt instruments included in broader regulatory capital calculations, focusing entirely on highest-quality loss-absorbing elements available to absorb unexpected losses.
When evaluating quarterly updates, researchers must account for regulatory updates regarding capital instrument eligibility criteria and transition rules. Early reported figures frequently experience adjustments following supervisory reviews or updated asset risk assessments. Observers should emphasize multi-period comparisons rather than single-quarter changes to avoid misinterpreting temporary balance sheet expansions driven by short-term wholesale funding adjustments.
Frequently asked questions
- What distinguishes Tier 1 capital from total regulatory capital?
- Tier 1 capital strictly covers core equity and qualifying perpetual instruments, omitting the supplementary subordinated debt found in total regulatory capital.
- How does risk-weighting affect this specific ratio?
- Changes in the underlying risk profile of bank assets directly alter the denominator, shifting the resulting percentage without any change in capital itself.
- Are hybrid instruments included in Tier 1 capital?
- Yes, certain qualifying hybrid capital securities that meet strict loss-absorbency criteria are included under defined regulatory caps.