The Swiss National Bank cut its benchmark interest rate to zero, citing falling inflation and the negative impact of the global trade war

The SNB has decided to cut its benchmark interest rate to zero, a 25 basis point adjustment, in response to falling inflation and economic uncertainties stemming from US trade policy. This is the sixth interest rate cut since March 2024 as central banks move closer to returning to negative interest rates. SECO also revised its economic growth forecast, anticipating a slower advance in the coming years due to the impact of the trade war on Swiss exports.