Credit Suisse interference avoided financial crisis

Swiss National Bank supplied a massive lifeline to stricken lender Credit Suisse.

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The SNB injected 168 billion Swiss francs ($185 billion) in emergency liquidity.

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Credit Suisse's emergency sale to domestic rival UBS in March.

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These crucial interventions during Credit Suisse's fall prevented a global financial crisis.

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In August, UBS announced the end of government and central bank protections after the takeover.

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An emergency liquidity assistance plus (ELA+) loan of 50 billion Swiss francs obtained from the SNB.

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Jordan highlights vital lessons on liquidity regulations.

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The Swiss government, SNB, and FINMA received backlash for the forced takeover handling.

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Jordan proposed the unconventional ELA+ loan, not in line with SNB's norm.

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Credit Suisse interference avoided financial crisis

Business

November 02, 2023

By Rahul