2018 Registration document and annual fi nancial report - BNP PARIBAS282

5 RISKS AND CAPITAL ADEQUACY PILLAR 3

5

Annual risk survey

OTHER KEY FIGURES

➤ FIGURE 3: CREDIT RISK EXPOSURE BY GEOGRAPHIC REGION(*)

32% (01/01/2018: 32%) France

6% (01/01/2018: 6%) Asia Pacific

19% (01/01/2018: 18%) Other European countries

14% (01/01/2018: 14%) Belgium & Luxembourg

10% (01/01/2018: 10%) Italy

6% (01/01/2018: 6%) Rest of the world

13% (01/01/2018: 14%) North America

(*) Breakdown at 31 December 2018.

➤ FIGURE 4: CREDIT RISK EXPOSURE BY ASSET CLASS(*)

21% (01/01/2018: 21%) Central governments

and central banks

29% (01/01/2018: 29%)

5% (01/01/2018: 5%) Institutions

42% (01/01/2018: 42%) Corporates

Retail

1% (01/01/2018: 1%) Equity

2% (01/01/2018: 2%) Other items

(*) Breakdown at 31 December 2018.

➤ TABLE 4: DOUBTFUL LOANS ON GROSS OUTSTANDINGS RATIO

31 December 2018 IFRS 9

1 January 2018 IFRS 9

DOUBTFUL LOANS(*)/LOANS(**) 2.6% 3.0%

(*) Impaired loans (stage 3) to customers and credit institutions, not netted of guarantees, including on-balance sheet and off-balance sheet and debt securities measured at amortis ed costs or at fair value through shareholders equity (excluding insurance).

(**) Gross outstanding loans to customers and credit institutions, on-balance sheet and off-balance sheet and including debt securities measured at amortis ed costs or at fair value through shareholders equity (excluding insurance).

In billions of euros 31 December 2018

IFRS 9 1 January 2018

IFRS 9

Stage 3 provisions 19.9 22.9

Doubtful loans( *) 26.2 28.6

STAGE 3 COVERAGE RATIO 76.2% 80.2%

(*) Impaired loans (stage 3) to customers and credit institutions, on-balance sheet and off-balance sheet, netted of guarantees received, including debt securities measured at amortis ed costs and at fair value through shareholders equity (excluding insurance).

➤ TABLE 6: COST OF RISK ON OUTSTANDINGS

in annualised basis points 31 December 2018 31 December 2017

COST OF RISK/CUSTOMER LOANS 35 39

As at 31 December 2018, more than 88% of the Group s credit risk exposure was concentrated in developed countries (See the section Credit risk diversifi cation in section 5.4 Credit risk for more details about the diversifi cation of the Group s exposures).

Credit exposure to sovereigns, fi nancial institutions, corporates and specialised fi nancing of Investment Grade counterparties represented 79% of IRBA credit risk exposure as of 31 December 2018, stable compared to 1 January 2018.

➤ TABLE 5: STAGE 3 COVERAGE RATIO