Switzerland’s central bank kept its policy rate at zero percent on Thursday, warning that massive US tariffs are weighing on the country’s export-dependent economy.
The Swiss National Bank maintained its economic growth forecast at between one and 1.5 percent for this year, but revised it to “just under” one percent for 2026 due to the tariffs and uncertainty.
“The economic outlook for Switzerland has deteriorated due to significantly higher US tariffs,” the SNB said in a statement.
“The tariffs are likely to dampen exports and investment especially. Companies in the machinery and watchmaking industries are particularly affected,” it added.
US President Donald Trump shocked Switzerland last month when he announced 39 percent duties on imports of goods from the country, among the highest in his global tariff blitz.
Analysts had expected the SNB to keep the rate at zero percent.
