What is the financial position of French SMEs and ISEs following the 2022-2025 interest rate cycle?

Bulletin No. 265, article 3. This study draws on 1.5 million 2025 tax returns to shed light on the financial position of French small and medium sized enterprises (SMEs) and intermediate sized enterprises (ISEs). The fundamentals of SMEs and ISEs remained robust at the end of 2025 – despite positions varying widely at an individual level – notably with high profit shares, well controlled debt levels and continued strong cash positions. However, SME and ISE activity grew slowly for the second year running, and their repayment capacity, based on Banque de France ratings, deteriorated. …