Crédit Agricole reported Q3 net income up 18% YoY to €1.99bn (~$2.23bn). French
retail revenue hit a record and corporate & investment banking posted its
strongest Q3 revenue. The bank’s CEO warned recent fiscal and political unrest
in France could reduce loan demand and raise credit risk in coming months,
citing a slowdown in overall investment and projects. Management said it expects
loan applications may fall and is taking a highly cautious stance. The comment
is the strongest warning from French bankers to date, suggesting the fiscal
impasse that has pushed up domestic borrowing costs could spill across the
financial sector.
