To support the development of its French public sector lending activity, Crédit Mutuel Arkéa has set up a public sector covered bond (Obligations Foncières) programme. This programme bears the "covered bond" label of the European Covered Bond Council (ECBC). The cover assets ("cover pool") consist entirely of exposures on the French public sector in the form of public loans granted by Crédit Mutuel Arkéa.
The issuer, Arkéa Public Sector SCF, is a specialised credit institution authorised in France by the Autorité de Contrôle Prudentiel et de Résolution (ACPR), the French banking and insurance supervisory body. It has direct access to the liquidity of the European Central Bank (ECB). Arkéa Public Sector SCF is authorised to issue Obligations Foncières, which are covered bonds that comply with the UCITS (Undertakings for Collective Investments in Transferable Securities) and CRD (Capital Requirements Directive) directives on regulatory capital (10% weighting).
The outstanding amount of the programme as at 30th June 2017 was €1 billion out of a maximum of €10 billion. A €750 million public issue has been carried out under this programme: