Switzerland’s economic growth slowed sharply in the second quarter, as strong frontrunning of U.S. tariffs in the early part of the year unwound, raising the chance that the Swiss central bank will cut interest rates to below zero later this year, the Wall Street Journal reported. Gross domestic product rose 0.1% in the three months to the end of June, down from the 0.8% growth of the first quarter, statistical agency SECO said in a flash estimate on Friday. Growth in the first three months of 2025 was led by U.S.
Read more
The scene looked hopeful at first glance. A social media post by President Karin Keller-Sutter of Switzerland showed her smiling and shaking hands with Secretary of State Marco Rubio in Washington on Wednesday, at a hastily arranged meeting after President Trump had blindsided Switzerland with a punishingly high tariff, the New York Times reported. “We discussed bilateral cooperation, the tariff situation and international issues,” Ms. Keller-Sutter said of the meeting with Mr. Rubio. But what she didn’t have was a trade deal.
Read more
The Swiss government announced on Monday that it is preparing a "more attractive offer" in its trade negotiations with the United States, in a bid to avoid high 39% US tariffs on its imports, which would severely damage the export-driven Swiss economy, EuroNews.com reported. In an official statement following an emergency government meeting, the Federal Council - the executive body of the Swiss government - confirmed its intention to continue talks with Washington, even after US President Donald Trump's 7 August deadline for the new tariffs to come into force.
Read more
Swiss annual inflation inched higher last month, though remained close to negative territory, suggesting the Swiss National Bank is still on course to push interest rates below zero later this year, the Wall Street Journal reported. Consumer prices were 0.2% higher in July than the same month of last year, compared with annual inflation of 0.1% in June, Switzerland’s statistics office said Monday. July’s data came after the U.S. last week slapped a shock 39% tariff on most imports of Swiss goods, a higher rate than had been signaled earlier by the Trump administration.
Read more
Le Coq Sportif, in receivership, has been acquired by a group led by Franco-Swiss entrepreneur Dan Mamane, SGB Media reported. The new investors have committed to investing an initial €70 million (US$82.1 million) into the company to revive its growth. Le Coq Sportif has been owned since 2005 by Marc-Henri Beausire’s Swiss group Airesis. Mamane’s consortium is backed by the Mirabaud Patrimoine Vivant investment fund, which had previously taken a minority stake in Le Coq Sportif.
Swiss company Meyer Burger has filed for voluntary chapter 11 bankruptcy relief in the United States, the solar panel manufacturer said in a court filing on Wednesday, Reuters reported. Meyer Burger's operations in both Europe and the United States have struggled to compete with cheaper products imported from Asia, piling pressure on the company. Late last month the firm announced it was shutting down its U.S. factory in Arizona due to financial difficulties, and soon afterwards filed for insolvency for its German subsidiaries. In its U.S.
The Swiss National Bank cut its interest rate to zero on Thursday and did not rule out returning borrowing costs to negative territory in future, although it stressed this was not a step it would take lightly, Reuters reported. The SNB reduced its policy rate by 25 basis points from 0.25%, as expected by markets and a Reuters poll, to stand on the brink of negative rates for the first time since 2022. The central bank now has the lowest borrowing costs among its peers, with markets giving a 53% probability of further cuts in September.
UBS finance chief Todd Tuckner voiced his disappointment on Wednesday over proposed new Swiss capital regulations, which he said was the beginning of a possibly long process that the bank intends to contribute to, Reuters reported. "Naturally, as to capital, we're disappointed," Tuckner said at a conference in Berlin, speaking days after the Swiss government proposed rules that could make the country's remaining big bank hold $26 billion more in core capital. "We are looking at every possible option to potentially mitigate the imposition of these extreme capital measures," he added.
Read more
The Swiss government on Friday proposed stricter rules for UBS following its takeover of Credit Suisse, which could make it hold $26 billion more in core capital, confirming some of the bank's worst fears about incoming new regulations, Reuters reported. The key proposal, which the bank would have six to eight years to prepare for after it became law, is that UBS must fully capitalise its foreign units, in line with what many analysts, lawmakers and executives had been expecting.
Read more
This content is reserved for Global Insolvency Members or members of the American Bankruptcy Institute. Create an account now to gain access. Enjoy free membership for a limited time.
Already a member? Login here.