The Corporate and Investment Bank of the Group Crédit Agricole: A solid and profitable bank of experts committed to serving Corporates
Today, Crédit Agricole CIB presents the details of its targets for 2022, which form part of the Group project and Crédit Agricole Group Medium Term Plan 2022.
Crédit Agricole CIB is a corporate and investment bank which has chosen to focus more on financing activities and corporate clients, and which is based on a powerful and well-coordinated international network.
Its resilient, profitable and conservative business model is based on:
- A client-focused organisation, with an automated and systematic measure of the profitability,
- High value-added financing activities generating a strong RONE(1),
- Market activities which complement the financing activities for its clients,
- A low risk profile, supported by an expert and conservative approach on its exposures.
Within the framework of the MTP 2022, the targets for 2022 combine:
- A RONE remaining above 10%;
- Contained RWA(2) , with an RWA target of €123bn in 2022;
- A revenue growth of +3% on average per year by 2022, driven by all business lines:
- Development of the transactional commercial bank (accounting for ~25% of the revenue growth between 2018 and 2022)
- Priority given to eight key sectors (revenue growth of +5% on average per year),
- Revenue growth of +€300m for FICC,
- Doubling the size of the green loan portfolio.
- A low cost/income ratio (less than 55%), with a cost reduction of €190m enabling to keep investing,
- The above being based on the assumption of a normalisation of the cost of risk: 20 to 25 bp.
Crédit Agricole CIB is also going to roll out several cross-functional projects, including:
- A human-centric project aiming at building the future by onboarding the new generation of experts, at empowering the employees and at significantly communicating the values of the Group,
- Continuously strengthening the expertise of the business lines - the core of the resilience of the model,
- Implementing a three-year data project, which forms the foundation of the digital strategy,
- Consolidating its role as a leader in green and sustainable finance, extending its offering of sustainable solutions to all business lines.
- corresponding to an RWA allocation of 9.5%
- stable RWA excluding regulatory, BSF and FX impacts