The Swiss National Bank cut its policy rate by 25 basis points to 1.50% on 21 March 2024, making it the first among major central banks to reduce borrowing costs this year. The move followed a further decline in Swiss inflation to 1.2% in February, below the SNB's 2% ceiling.
The SNB's quarterly monetary policy assessment meeting, held in Zurich, concluded with the governing board deciding to reduce the rate from 1.75% to 1.50%. SNB Chairman Thomas Jordan confirmed the decision at the post-meeting press conference.
INFLATION AND PRICE STABILITY
The SNB's mandate centres on price stability, which the institution defines as annual inflation between 0% and 2%.
The SNB moved ahead of the European Central Bank, the Federal Reserve, and the Bank of England, all of which remained on hold at their most recent meetings.
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