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AGENCE FRANCE TRESOR is tasked with managing the government debt and cash positions under the most secure conditions in the interest of the taxpayer.
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The same organisation as financial institutions  
In accordance with banking practices, AFT segregates the administrative processing of transactions (known as the “back-office” activities) from internal control and risk management activities.
  • The back-office activities cover the control and follow-up of settlements, validation, confirmation, preliminary accounting entries of transactions and resolution of disputes;
  • The second aspect defines the framework for managing and controlling the various risks to which the Agency is exposed.
AFT has a suitable organisation in place to carry out these tasks, and defines the procedures for doing so: the Agency performs second-level controls, sees to compliance with limits and reports on these matters to the Directorate General.

Two levels of internal control
Complying with the rules set forth in banking regulations means implementing internal control within the Agency’s line units. Furthermore, the rules call for establishing functional segregation between the initiation, confirmation and control of a transaction, as well as for establishing an audit trail. Risk management also entails audits of relations with the public and private institutions and organisations with which data is shared or which are involved in transaction settlements. Naturally, this refers to the Banque de France, the primary dealers, and the settlement-delivery systems implemented by Euroclear France. The Agency is also in constant contact with Ministerial Budget and Accounting Control Department (SCBCM) which ensures that transactions are entered in the accounts.

Two-tier external audit of transactions
As required by law, AFT is subject to an annual external audit of transactions relating to the management of the State’s negotiable debt and cash instruments, the hedging of the State’s financial risks and the debt transferred to the State. There is also an audit of the management of financial risks and prudential procedures put in place for these transactions. Furthermore, the Agency has drawn up a pluri-annual internal audit plan under which it can take advantage of external expertise in line with its risk monitoring and management goals. Since 2006, the Agency has also been subject to oversight by the State Audit Office (Cour des Comptes), particularly in connection with the certification of the State’s general account.
Specific audit assignments internal to Minefi may also be performed regarding various aspects of the Agency’s activities. These assignments are carried out by the Inspectorate of Finance or the general economic and financial control unit.