© Reuters. FILE PHOTO: A general view of the building of the Swiss National Bank (SNB) in Zurich, Switzerland December 16, 2021. REUTERS/Arnd Wiegmann
ZURICH (Reuters) – The Swiss National Bank will tighten monetary policy if inflation in Switzerland remains persistently high, governing board member Andrea Maechler said in an interview published on Monday.
The European Central Bank on Monday became the latest institution to signal it was hiking rates to combat soaring inflation, following similar moves by the U.S. Federal Reserve and the Bank of England.
The SNB could also follow suit, should Swiss inflation remain outside its target range 0-2%. April saw the highest inflation rate in Switzerland for 14 years, with prices rising by 2.5%.
“If the inflation we expect does not come down in the medium term to a range between 0% and 2%, we will not hesitate to tighten policy,” Maechler told Swiss newspaper Bilan.
Swiss National Bank will not hesitate to tighten monetary policy – Maechler