French retail banking
French retail banking is distinguished from other countries by the typology of the credit that it grants to its customers. Indeed, unlike its Anglo-Saxon counterparts or other European countries favouring credits at variable rates, French banks are able toguarantee their clients a fixed rate on particularly long maturities (up to 25 or even 30 years).
In General, a credit institution is refinances on shorter maturities and through product variable rate, de facto immediately impacted by favorable or unfavorable evolution of the rate environment. Therefore, it is even more complex for French banks to offer their customers of long loans to fixed rate, refinanced by shorter liabilities variable rate.
For this french financial institutions have a feature to be able to carry long credits atfixed rate. They back-to-back them deposits of their clients, in particular deposits. Although they have no maturity contract and that any customer can withdraw all or part of his money at any time, the aggregation of all of the accounts and the analysisof its evolution in time allows institutions to observe a certain stability and longevityof their stock over time. Furthermore, a significant share of deposits is fixed rate: for example, most of the deposits in France are not paid (in other words, they are considered with a fixed rate at 0%). Therefore, French banks are able to sell their credits,obeying characteristics of similar rate (fixed rate) to their deposits.
Credits at variable rates were already less than 20% of appropriations in 2005. Today, the proportion of loans to fixed-rate amounts to more than 99% . In an environment of rates historically low and presumed a future more conducive to an increaseof interest rates, this peculiarity of French banks is therefore a real bargain for customers.
This model could, however, be required to be fundamentally challenged by the draftregulations of the Basel Committee. Indeed, the latter has recently consulted financial institutions scale world the study of a passage from the risk of rate in pillar 1, synonymous with supplementary allowance of own funds, as is already the case for credit risk, market and operational risks.
The draft regulations around the risk of rate in the banking book 
In an environment marked by several years of decline in interest rates, the recent return of the volatility of long-term interest rates and fear of a rise in rates on the markets recalled the importance of anticipating this kind of evolution in the overall management of the risk of bank rate. The different regulatory bodies that had abandonedthe subject of rate risk for the benefit particularly of the risk of liquidity following the 2008 crisis have handed it over to the order of the day (before this year, the latestregulation of the Basel Committee concerning follow-up and rate risk managementprinciples and the CEBS Guidelines  dated 2004 and 2006 respectively).
For the record, the risk of interest rates on the banking book of a financial institution is “the risk incurred in case of variation of the fact of all balance sheet operations interest rates and off-balance sheet, with the exception, if any, operations subject to market risks” . Moreover, the banking book (bank holding) means most transactions in medium and long term of an establishment and includes all operations not included in the trading book (trading portfolio). EC-last records of assets held for trading purposes in the short term, or to cover other elements of this same trading portfolio.
Thus, in the wake of the publication end may 2015, the recent guidelines for the banking authority (EBA) on the guidelines on the risk of interest rates in the banking portfolio (IRRBB), the Basel Committee (BCBS ) has launched a consultation  on the subject in global financial institutions. This consultation was accompanied by an impact study quantitative (ISQ) attended by all financial institutions in September 2015 and whose returns are being analyzed by the Basel Committee.
The main principles of the draft regulations of the Basel Committee
The BCBS project mainly to ensure that banks have a level of capital sufficient to absorb a shock of (upward or downward) interest rates but also to reduce the risk of arbitration between the banking portfolio and trading portfolio. Indeed, market risk being synonymous with allocation of own funds to under pillar 1 of the Basel rules, banks can conveniently place market in banking book operations in order to avoid this allowance.
The task force of the Basel Committee dedicated to the draft regulations has initial mandate to study the passage of rate risk in the banking book in pillar 1, synonymous with allocation of an additional charge capital, calculated from a standard set by the regulator. This approach would have the advantage in the BCBS to promote more “coherence, transparency and comparability. Today, the rate risk is addressed in pillar 2. This allows, based on internal models banks, to translate the national specificities for various products. These specificities are numerous in France as banks distribute products of heavily regulated collection (PEL, CEL, LDD, Livret A..).
The standard model put forward by the BCBS in its regulation of the IRRBB project in particular forced settlements in terms of scheduling of their deposits.
Specifically, this approach sets the applicable maximum average duration accordingto the categories of deposits / customers. The regulator also limits the importance of stable share (in the long term) and mechanically increases volatile deposits, corresponding to the difference between the average amount of deposits and the minimum amount of ces-last, over a previous representative period. This share materializesindeed uncertain share in the future evolution of the outstanding amount of deposits, the banks being forced to interpret it as a resource disappearing very quickly. Ultimately, these two constraints heavily penalize the French banks whose model is on the perimeter of the retail, to distribute long credits financed by unpaid, sight deposits, fixed-rate in order to avoid upward or downward of rates. Standardisation would,inter alia, by a significant reduction of the average duration of the flow patterns of the deposits which should be less than 2 years, the proposed measure not making therefore not account for the high stability of these resources whose remuneration isdécorrélée of market rates.
The prior discussions between the Basel Committee, financial institutions and bodies representatives of these financial institutions have however paved the way for a possible continuation of pillar 2-rate risk (as is the case to this day), with a calculationbased on internal models of the establishment, validated and controlled upstream by the competent authority within a defined framework. This alternative emerges, however, any relative because the Basel Committee provides a “fallback” in standard method if the load capital obtained on the basis of the internal model of institution remains lower than that calculated by the standard approach. Furthermore, even withthe pillar 2 approach, the establishment must submit in the context of its financial communication results calculated using the standard method.
Project of pillar 1-rate risk and the calculation of capital requirements resulting in the State could, induce a real overhaul of the distribution model of loans to fixed ratein France, with a closest paradigm of Anglo-Saxon culture of the variable rate on real estate credits.