Swiss liquidity step to ease concerns over Credit Suisse

In the joint statement made by FINMA and SNB, it was noted that the latest developments in the US banking sector do not indicate the risk of direct contagion to Swiss institutions.

Systemically important banks must meet higher capital and liquidity requirements.

The statement said these requirements provide resilience against major crises and shocks, and that they meet Credit Suisse’s regulatory capital and liquidity requirements.

It was emphasized that he was in close contact with the bank.

In the statement, which indicated that Credit Suisse’s stock value and the value of its debt securities have been affected by market reactions in recent days, it was emphasized that FINMA is in close contact with the bank.

The statement said that FINMA has confirmed that Credit Suisse has met the higher capital and liquidity requirements applicable to systemically important banks, with the SNB providing liquidity to the bank if necessary.

Underlining that FINMA and SNB are closely following developments, it was noted that they are in close contact with the Ministry of Finance to ensure financial stability.

CREDIT SUISSE PANIC IN EUROPE

After the banking crisis that started in the US, there was a panic at Credit Suisse in Europe.

After the Saudi National Bank, the largest partner of Switzerland-based Credit Suisse bank, announced that it would not raise its capital, the bank’s share price fell by more than 20 percent and selling pressure spread throughout the whole market.

Panic selling, which began when Saudi National Bank President Ammar Al Khudairy announced that they would no longer back Credit Suisse, sent risk perception in Europe to a peak. (AA)