SNB sharply reduces foreign currency purchases


During the second quarter, the SNB bought 5.06 billion francs’ worth of ​foreign currencies. — Reuters

ZURICH: The Swiss National Bank (SNB) bought 75 million Swiss francs’ (US$95mil) worth of foreign currencies in the third quarter of 2025, a sharp reduction from the previous three-month period, ‌data from the central bank shows.

During the second quarter, the SNB bought 5.06 billion francs’ worth of ​foreign currencies as economic uncertainty stirred by US trade policy piled appreciation pressure on the safe-haven Swiss franc.

US President Donald Trump unveiled a raft of tariffs against trade partners in the second quarter, and the value of foreign currencies purchased ‍by the SNB in ‍that ​period was the highest quarterly total in more than three years.

In August 2025, Trump imposed 39% tariffs on Switzerland.

A deal to reduce those levies was not reached until ‍November last year.

The franc has ‍appreciated by almost 15% against the dollar this year, ‌according to LSEG data.

Against the euro, however, it has only gained slightly.

The bulk of Switzerland’s foreign trade is with eurozone countries.

Buying foreign currencies can help the SNB contain the appreciation of the franc.

A rapid strengthening of the franc can put downward pressure on import costs.

The SNB targets annual inflation of 0% to 2% and the rate ‍is currently right at the bottom end of that range. — Reuters

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