Swiss National Bank leaves interest rates on hold

24th Sep 2026 09:51

(Sharecast News) - The Swiss National Bank left its key policy rate unchanged on Thursday, despite a modest uplift in inflation.

The central bank retained the rate at 0%, in line with expectations. It noted that while inflation had risen further since June, it was primarily due to higher energy prices and that medium-term inflationary pressures had increased "only slightly".

"Monetary policy is appropriate to keep inflation within the range consistent with price stability and supports economic development," the SNB added. According to the country's conditional inflation forecast, inflation will continue to rise modestly in the fourth quarter before declining again over the course of 2027.

Central banks worldwide are facing a hike inflationary pressures following the outbreak of war in the Middle East, which has thrown global energy markets into turmoil.

The Zurich-based bank continued: "In its baseline scenario, the SNB anticipates that growth in the global economy will be moderate over the coming quarters. Inflation is likely to remain elevated for some time. The baseline scenario remains subject to high uncertainty, above all because of the situation in the Middle East. In addition to the situation in the Middle East, the trade policy environment also remains uncertain."

The SNB added that while second-quarter growth in Switzerland was "exceptionally strong" that was likely to moderate over the coming quarters. It is currently forecasting growth of between 1.5% and 2% for the current year and 1.5% in 2027.