Previous post Next post

Finance minister Ueli Maurer eyes central bank surplus to reduce expected debts

Maurer (left) has publicly voiced concern over the costs caused the economic lockdown due to the Covid-19 pandemic. (Keystone/Peter Klaunzer)

Swiss Finance Minister Ueli Maurer wants the country’s central bank to contribute to the reduction of the debt caused by the coronavirus pandemic.

“I suggest the Swiss National Bank spends the money from an annual surplus to reduce coronavirus-related debts,” he told the Neue Zürcher Zeitung newspaper on Wednesday.

The central bank made a surplus of CHF48.9 billion ($50.2 billion) last year. Under a deal with the finance ministry, the bank paid CHF4 billion to the national government and the 26 cantons.

New debt is likely to increase in the current year to between CHF30 billion and CHF50 billion, Maurer said recently.

He added that it won’t be possible to reduce debts quickly without implementing drastic spending cuts over the next few years, despite a debt reduction mechanism, known as debt brake.

Maurer said the sale of mobile phone licences could also generate a few a hundred million francs in revenue.

The Swiss government has revised its economic forecast because of the coronavirus pandemic. Predictions have recently been revised sharply downwards and the government expects the worst recession in 45 years.

Full story here
About Swissinfo
SWI – the international service of the Swiss Broadcasting Corporation (SBC). Since 1999, has fulfilled the federal government’s mandate to distribute information about Switzerland internationally, supplementing the online offerings of the radio and television stations of the SBC. Today, the international service is directed above all at an international audience interested in Switzerland, as well as at Swiss citizens living abroad.
Previous post See more for 3.) Swiss Business and Economy Next post
Tags: ,,

🤞 Don’t miss posts anymore!
Subscribe to our newsletter!

Permanent link to this article:

Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

This site uses Akismet to reduce spam. Learn how your comment data is processed.