Schweizerische Nationalbank

Results of the 2024 survey on cash acceptance at selected companies In spring 2024, the Swiss National Bank carried out a survey on cash acceptance at large retailers, public transport companies, restaurants and other providers of everyday goods and services. Around 770 companies participated in the survey. The aim of the survey is to identify changes in cash acceptance by providers of everyday goods and services at an early stage, and to better understand company needs in connection with cash supply and distribution. This survey complements the more extensive payment methods survey of companies that is conducted every two years. The survey yields the following findings: - Cash is accepted by 98% of the surveyed companies and is therefore the most accepted payment method. Many companies consider cash a cost-effective alternative to cashless payment methods. - However, many public transport companies are planning to reduce cash acceptance in the coming years. The main reason cited is the cost and effort associated with returning excess cash. Further results and information on the methodology are available on the SNB website: https://lnkd.in/dK2xMubH

Le 31 octobre 2024, le salon #Career Networking Fair, organisé par la Faculté des HEC à Lausanne (HEC Lausanne), vous donnera une chance unique de faire connaissance avec la Banque nationale suisse (BNS) en tant qu’employeur et d’obtenir un grand nombre d’informations sur les stages, les opportunités de début de carrière et les perspectives d’évolutions professionnelles proposées par cette institution. Le salon, qui commencera à 10 heures et se terminera à 15 h 30, se déroulera sur le site Internet. Nous nous réjouissons de vous accueillir sur notre stand, où vous pourrez discuter avec nos représentantes et représentants et en apprendre davantage sur la large palette d’offres de la BNS. Banking in a different dimension Pour en savoir plus, consultez la page suivante: https://lnkd.in/dNUH-5ng #BNS #Economics #HEC #CareerNetworkingFair #CareerCenterHECLausanne #CNF24

New SNB Working Paper: Jayson Danton and Terhi Jokipii, PhD study how interest rate levels affect the profits of Swiss banks. Using data from 2009 to 2019, they analyse the measures taken by banks to remain profitable in the face of very low interest rates. Abstract: We analyse the impact of interest rates on Swiss banks’ profitability. Our assessment is based on annual data on individual bank balance sheets and income statements in a standard panel regression setting for a sample of domestically focused commercial banks. We find that net interest rate margins (NIM) and return on assets (ROA) exhibit different sensitivities to market interest rate levels and highlight the non-linear effect of compressed liability margins on NIM. In addition, we show that initial bank characteristics affect the link between falling interest rates and profitability. However, bank characteristics that amplify/alleviate NIM pressure from falling interest rates differ from those that affect ROA pressure. Furthermore, banks have taken measures to safeguard profitability: (i) with respect to risk-taking, all banks increased their exposure to rising interest rates by increasing their asset durations. Moreover, banks that started with lower mortgage ratios increased these ratios considerably, particularly during the second half of the sample period (2015-2019); and (ii) Some banks actively worked to curb deposit growth when other sources of funding became relatively cheaper. Overall, these adjustments have helped alleviate the downward pressure of falling interest rates on bank profitability. https://lnkd.in/dA-rf5vh

New SNB Economic Note: Simon Alder, Simon Beyeler, Laura Felber, Jonas Huwyler, Christoph Meyer, Simon Niederberger and Rina Rosenblatt-Wisch construct a new measure of wage growth in Switzerland using anonymised payment system data. Abstract: We use anonymised transaction data from the Swiss Interbank Clearing (SIC) payment system to construct a measure of wage growth in Switzerland. The resulting measure aligns well with other wage statistics available over the past few years. Compared with other sources, our measure has the important advantage of being available almost in real time. Our measure thus offers a timely picture of wage growth, which is valuable information for the conduct of monetary policy. https://lnkd.in/d2kRT3YA

New SNB Economic Note: Jörn Tenhofen studies the demand for large banknotes in Switzerland. He discusses the role of banknotes as a store of value and highlights the importance of opportunity cost. Abstract: In contrast to what one might believe, the demand for banknotes has remained strong in recent years in most advanced economies despite continuing innovation in payment technologies. This Economic Note highlights the importance of the store-of-value motive for holding banknotes. The motive is reflected in the importance of the opportunity cost—the level of interest rates—to explain the demand for large-denomination banknotes in Switzerland. https://lnkd.in/dNVtdtiV

Monetary policy assessment: A replay of the news conference with the Governing Board is available here: https://lnkd.in/dYwTBPiR

Monetary policy assessment of 26 September 2024 Swiss National Bank eases monetary policy and lowers SNB policy rate to 1.0% The Swiss National Bank is lowering the SNB policy rate by 0.25 percentage points to 1.0%. The change applies from tomorrow, 27 September 2024. Banks’ sight deposits held at the SNB will be remunerated at the SNB policy rate up to a certain threshold, and at 0.5% above this threshold. The SNB also remains willing to be active in the foreign exchange market as necessary. The press release and introductory remarks delivered by the Governing Board members at the news conference are available on our website: English: https://www.snb.ch/en/ Deutsch: https://www.snb.ch/de/ Français: https://www.snb.ch/fr/ Italiano: https://www.snb.ch/it/

Monetary policy assessment: The news conference with the Governing Board will start tomorrow at 10:00 am CEST and can be followed live here: https://lnkd.in/dYwTBPiR

We are looking forward to this year’s Karl Brunner Distinguished Lecture by Kristin J. Forbes on “The Art of Monetary Policy”. The lecture is open to the public, registration is not required.

New SNB Working Paper: Anders Brownworth, Jon Durfee, Michael Junho Lee and Antoine Martin study the effectiveness of regulatory interventions in blockchain-based systems, using the example of the smart contract protocol Tornado Cash. Abstract: Blockchain-based systems are run by a decentralized network of participants and are designed to be censorship-resistant. We use sanctions imposed by the U.S. Department of Treasury on Tornado Cash (TC), a smart contract protocol, to study the impact and effectiveness of regulation in decentralized systems. We document an immediate and lasting impact on TC following the sanction announcement, measured by market reaction, transaction volume, and diversity of users. Still, net flows into TC contracts recover to and surpass pre-announcement levels for most pools, supporting viability of TC. Evidence on cooperation at the settlement layer is mixed: the aggregate share of non-cooperative blocks increases over time, but a shrinking number of actors process Tornado Cash transactions, indicating a fragility to the sustainability of censorship-resistance. Non-cooperation is not explained by tokenomics, and changes in perception around legal authority and clarity of regulation appears to be a key factor for whether to cooperate. https://lnkd.in/dYAg86Uc