Schweiz - RÄNTA

The Swiss National Bank held the SNB policy rate at -0.75 percent during its September meeting, saying that the expansionary monetary policy continues to be necessary given the latest international developments and the inflation outlook. Policymakers agreed that the situation on the foreign exchange market is still fragile, while the Swiss franc remains highly valued.

The Swiss National Bank held its interest on sight deposits at -0.75 percent during its June meeting and introduced the SNB policy rate, which will be used from now on and replaces the target range for the three-month Libor used previously. It currently stands at -0.75 percent. Policymakers said that the expansionary monetary policy remains necessary amid a "highly valued" Swiss franc and uncertainty surrounding the global economy. Meanwhile, the SNB now expects inflation for 2019 at 0.6 percent (vs 0.3 percent seen in March) and for 2020 at 0.7 percent (vs 0.6 percent seen in March).

The Swiss National Bank left its benchmark interest rate unchanged at -0.75 percent on March 21st 2019, in line with market expectations, saying the Swiss franc is still highly valued, and the situation on the foreign exchange market continues to be fragile. Policymakers also lowered inflation forecasts for 2019 to 0.3 percent from 0.5 percent and for 2020 to 0.6 percent from 1 percent.