Caisse nationale du réseau des Urssaf

Acoss, benchmark issuer on the money market.

Here’s what you need to know about Acoss, in 8 points:

  • Acoss (Agence centrale des organismes de Sécurité sociale - Central Agency of Social Security Organisations) is a public institution of administrative nature (EPA - établissement public à caractère administratif) created in 1967 by law.
  • The purpose of Acoss is management of the cash of the General System while optimising financial earnings. The agency collects Social Security contributions and is responsible to redistribute them to the different funds (Old Age, Health, Occupational Accidents and Family). Acoss is the national fund of URSSAF offices for centralisation of cash flows.

  • Acoss is supervised by the Ministry of Social Affairs and Health as well as the Ministry of the Economy and Finance. The Chief Executive is appointed by the Council of Ministers. Acoss acts under the terms of the Social Security Finance Act (SSFA).
  • For 2018, the Social Security Finance Act sets the maximum annual deficit balance of Acoss at € 38 Bn.
  • Financing needs are set by the SSFA. Cash inflows result from economic activity, mainly from the private sector. To manage the day-to-day variations of cash flow, Acoss has set up different sources of refinancing.
  • In order to secure a substantial volume of day-to-day refinancing at the best cost, Acoss has set up various products for management of the cash account balance, respecting the legal constraint to use only monetary instruments (less than 1 year).

 

  • Optimisation of social and public cash flows mainly carried out with the Agence France Trésor (AFT – Agency managing the State’s cash flow and debt) and the CADES (Caisse d’Amortissement de la Dette Sociale - Fund for Amortization of the Social Debt) mainly in the form of NEUCP.
  • Financing with the Caisse des Dépôts and Consignations. This fund uses very short term loans.
  • NEUCP from financial markets under a € 40 Bn programme
  • Euro Commercial Paper from financial markets under a € 40 Bn programme. Acoss can borrow foreign currency from the OECD. For reasons of exchange rate risk and cash flow management, all issues are swapped in Euros.

       

 

The programme for issuing NEUCP and ECP benefits from the best ratings (A-1+, P -1, and F1+) granted by S&P, Moody’s and FitchRatings. The ratings are reviewed each year by the rating agencies. Since 2018, the rating agencies assigned a long term rating even if Acoss is only allowed to issue notes with maturity of less than a year.

 

  • CADES-Acoss relationship: transfer of debt to the CADES (rated AA/P-1).

Created in 1996, the institution’s purpose is to amortise deficits accumulated from social debt by using long-term refinancing sources. This debt comes from transfers between Acoss and the CADES. Since 1996, an accumulated amount of €260.5 Bn has been transferred including € 23.6 Bn for 2016. No transfer in 2018

Press releases :

April 2020 : Moody’s Credit Opinion : update to credit Analysis
April 2020 : S&P ‘AA/A-1+’ Ratings Affirmed : Outlook Stable
May 2020 : Fitch Affirms ACOSS at ‘AA’; Outlook Stable

April 2019: Moody's Credit Opinion: update to Credit Analysis
April 2019: S&P 'AA/A-1' Ratings Affirmed; Outlook Stable
April 2019: Fitch confirme la note 'AA' de l'ACOSS