Switzerland can dodge deflation: SNB executive

Switzerland is likely to stave off deflation despite the tariff uncertainties facing its economy, according to central bank vice- president Antoine Martin. + Get the most important news from Switzerland in your inbox Speaking in an interview with newspaper L’Agefi, he also said policymakers will continue to impose a higher bar toward further cuts in borrowing costs because of the side effects of going negative. “At this stage, we do not see any risks of deflationary developments, and our forecasts show a jump in inflation in the coming quarters,” Martin said. “Inflation dynamics in Switzerland are unlikely to be dramatically disrupted by the dollar’s recent movements.” US President Donald Trump’s tariffs of 39% on Swiss goods are the highest for any advanced economy. While the measures are forcing some companies to consider job cuts and relocate production, economists have so far reckoned the country can weather the impact on output even if it will hurt growth. That’s a view that ... Full story here Are you the author? Previous post See more for 3.) Swissinfo Business and Economy Next post
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