Regulatory framework for collecting data on foreign direct investment
All foreign direct investments (flows to and from France) in excess of EUR 15 million must be declared to the Banque de France within 20 working days of completion of the transaction in order to be included in the balance of payments.
Article L. 141-6 of the French Monetary and Financial Code (CMF) authorises the Banque de France to obtain all information needed to compile France’s balance of payments and international investment position (paragraphs I and II).
Article R. 152-3 of the CMF states that this reporting obligation applies to:
1 foreign direct investments in France and sales of said investments as defined in Article R. 151-1, paragraph 4;
2 the acquisition or sale of non-resident enterprises by residents;
3 the acquisition or sale of foreign real estate assets by French residents, and of French real estate assets by foreign residents.
Decision No. 2007-01 of the Monetary Committee of the Banque de France General Council on the collection of statistics for the compilation of the balance of payments and international investment position of France, the euro area and the European Community, specifies how this reporting obligation should be applied (Articles 5 and 7).
Decision No. 2009-04 of the Governor of the Banque de France on the reporting of statistics by financial intermediaries for the purposes of compiling the balance of payments and the international investment position specifies the scope of information that financial institutions are expected to declare (Chapter I).
Updated on: 05/22/2020 09:03