The latest minutes from the Swiss National Bank’s (SNB) September monetary policy meeting express that interest rates won’t fall into negative territory as inflationary pressures in the economy are not expected to become persistently negative. The SNB also clarified that the impact of United States (US) tariffs on the Swiss economy would be limited.

Key Quotes

The governing board concluded that the current implementation of monetary policy was appropriate under various scenarios and should therefore be maintained.

Inflation in Switzerland is not expected to become persistently negative.

The increase in US tariffs is directly impacting only part of the economy.

US tariffs are likely to curb global trade and reduce the purchasing power of US households.

Signs of a cooling in the US labour market increased market expectations of a further easing of monetary policy in the US.

Financial market situation was characterized by low volatility in the third quarter of 2025.

The main risks for the economy are still the development of US tariffs and global demand.

For the inflation forecast, large exchange rate movements are above all cited as a risk factor.

Market reaction to SNB minutes

The USD/CHF pair attracts slight bids after the SNB minutes release and rises to near 0.7980 during Thursday’s European session, 0.21% higher from Wednesday’s close.

SNB FAQs


The Swiss National Bank (SNB) is the country’s central bank. As an independent central bank, its mandate is to ensure price stability in the medium and long term. To ensure price stability, the SNB aims to maintain appropriate monetary conditions, which are determined by the interest rate level and exchange rates. For the SNB, price stability means a rise in the Swiss Consumer Price Index (CPI) of less than 2% per year.


The Swiss National Bank (SNB) Governing Board decides the appropriate level of its policy rate according to its price stability objective. When inflation is above target or forecasted to be above target in the foreseeable future, the bank will attempt to tame excessive price growth by raising its policy rate. Higher interest rates are generally positive for the Swiss Franc (CHF) as they lead to higher yields, making the country a more attractive place for investors. On the contrary, lower interest rates tend to weaken CHF.


Yes. The Swiss National Bank (SNB) has regularly intervened in the foreign exchange market in order to avoid the Swiss Franc (CHF) appreciating too much against other currencies. A strong CHF hurts the competitiveness of the country’s powerful export sector. Between 2011 and 2015, the SNB implemented a peg to the Euro to limit the CHF advance against it. The bank intervenes in the market using its hefty foreign exchange reserves, usually by buying foreign currencies such as the US Dollar or the Euro. During episodes of high inflation, particularly due to energy, the SNB refrains from intervening markets as a strong CHF makes energy imports cheaper, cushioning the price shock for Swiss households and businesses.


The SNB meets once a quarter – in March, June, September and December – to conduct its monetary policy assessment. Each of these assessments results in a monetary policy decision and the publication of a medium-term inflation forecast.