Swiss National Bank leaves policy rate unchanged at 0%

In its 18 June 2026 monetary policy assessment, the Swiss National Bank left the SNB policy rate unchanged at 0%, saying higher energy prices have lifted inflation in recent months but medium-term inflationary pressure is virtually unchanged and the current stance remains appropriate to keep inflation within the range consistent with price stability while supporting economic development. Banks’ sight deposits held at the SNB will continue to be remunerated at the policy rate up to a threshold, with the discount on balances above that threshold unchanged at 0.25 percentage points, and the Swiss National Bank said it has an increased willingness to intervene in the foreign exchange market if necessary to counter a rapid and excessive appreciation of the Swiss franc. Inflation rose to 0.6% in May from 0.1% in February, mainly because of oil products, and the conditional forecast sees inflation edging up slightly in coming quarters before easing in the first half of 2027 as the impact of higher energy prices fades; the forecast is slightly higher in the short term, practically unchanged in the medium term, and remains within the price stability range over the whole horizon. For Switzerland, the Swiss National Bank said first-quarter GDP growth was solid and economic activity has been resilient, though unemployment has risen somewhat, and it expects growth of around 1% in 2026 and around 1.5% in 2027. Globally, it said growth was solid in the first quarter but slowed somewhat afte