2020 Universal registration document and annual financial report - BNP PARIBAS352
5 risks and CaPital adequaCy Pillar 3
5
Credit risk
GEOGRAPHIC DIVERSIFICATION Country risk is the sum of the risks on all exposures to obligors in the country concerned. It is not the same as sovereign risk, which is the sum of all exposures to the central government and its various branches. Country risk reflects the Bank s exposure to a given economic and political environment, which are taken into consideration when assessing counterparty quality.
The geographic breakdown shown below is based on the counterparty s country of residence.
The geographic breakdown of the portfolios is balanced. In 2020, the Group was particularly attentive to geopolitical risks and the economic performance of emerging countries (see section Areas of special interest in 2020 in section 5.1).
➤ TABLE 28: CREDIT RISK EXPOSURE BY GEOGRAPHIC REGION (EU CRB-C)
Exposure In millions of euros
31 December 2020
Europe (*)
North America
Asia Pacific Rest of the World
TOTALTotal Europe France Belgium Luxembourg Italy United
Kingdom Germany Netherlands
Other European countries
Total Asia Pacific Japan North Asia
South- East Asia
(ASEAN)
Indian peninsula &
Pacific
Total Rest of the World Turkey
Mediter- ranean
Gulf States &
Africa Latin
America Other
countries
Central governments or central banks 369,312 219,393 50,155 24,859 17,144 9,488 18,041 1,787 28,445 29,023 23,431 8,829 6,988 4,181 3,434 7,318 0 262 2,733 2,252 2,071 429,083
Institutions 32,359 9,146 7,532 441 2,443 1,400 5,742 1,928 3,727 8,119 9,257 2,057 5,568 667 965 4,006 1,168 189 1,254 1,076 318 53,740
Corporates 442,313 151,964 66,348 22,638 62,200 45,127 24,318 23,107 46,611 75,256 50,260 5,588 16,634 13,906 14,132 34,215 1,435 379 9,123 11,674 11,604 602,043
Retail 283,930 147,761 79,202 8,418 37,324 197 197 72 10,759 145 74 6 18 37 14 207 5 34 68 12 89 284,356
Other items 578 76 454 48 - 0 - 0 0 - 0 0 - - - - - - - - - 578
TOTAL IRB APPROACH 1,128,492 528,340 203,691 56,404 119,112 56,211 48,297 26,895 89,542 112,542 83,022 16,479 29,207 18,791 18,545 45,746 2,608 864 13,178 15,014 14,081 1,369,802
Central governments or central banks 17,028 4,662 1,785 17 2,558 13 563 2 7,428 8,115 112 42 22 8 40 7,403 4,262 1,626 859 161 495 32,658
Regional governments or local authorities 5,033 340 859 - 3,663 7 8 7 148 884 - - - - - 130 130 0 0 - - 6,047
Public sector entities 4,302 436 48 - 2,961 44 23 4 785 13,515 15 - 15 - - 109 3 8 4 - 94 17,941
Multilateral development banks 150 - - 150 - - - - - 29 12 - 0 12 - - - - - - - 192
International organisations 7 - 7 - - - - - - - - - - - - - - - - - - 7
Institutions 8,581 3,627 417 86 489 444 704 62 2,752 908 1,801 56 1,109 60 576 1,646 1,069 133 111 135 198 12,935
Corporates 69,686 21,277 2,459 1,072 8,613 7,480 5,565 1,264 21,956 28,815 5,889 110 3,782 1,672 325 13,012 5,062 4,669 1,729 499 1,052 117,402
Retail 93,469 13,764 2,834 59 30,305 11,711 17,533 1,279 15,985 16,095 1,189 3 1,024 14 149 11,905 5,466 1,143 1,949 2,695 653 122,658
Exposures secured by mortgages on immovable property 35,809 9,312 2,283 64 1,082 1,377 1,296 5,636 14,758 22,341 303 2 143 142 16 4,254 2,351 1,674 94 10 126 62,708
Exposures in default 8,408 2,055 150 13 2,588 558 812 59 2,171 389 7 0 1 2 3 2,022 596 915 363 73 75 10,825
Items associated with particular high risk(**) 258 0 - - - - - - 257 794 - - - - - 20 6 10 4 - - 1,071
Exposures in the form of units or shares in collective investment undertakings 464 464 - - - - - - - - - - - - - - - - - - - 464
Equity 648 508 - 139 - - - - - - - - - - - - - - - - - 648
Other items 25,193 14,786 2,411 557 3,765 1,000 1,458 183 1,033 1,755 180 34 48 20 78 881 205 326 178 92 80 28,010
TOTAL STANDARDISED APPROACH 269,037 71,233 13,253 2,157 56,025 22,635 27,963 8,496 67,274 93,639 9,507 245 6,144 1,931 1,187 41,383 19,151 10,503 5,290 3,665 2,773 413,566
TOTAL 1,397,528 599,573 216,944 58,561 175,137 78,846 76,261 35,391 156,816 206,181 92,529 16,724 35,351 20,721 19,732 87,129 21,760 11,367 18,468 18,680 16,854 1,783,367
(*) Within the scope of the European Union, the European Free Trade Association (EFTA) and United Kingdom. (**) Immovable property financing exposures whose risk profile may be affected by market conditions.
