The Swiss National Bank (SNB) announced the introduction of negative interest rates on sight deposit account balances. This decision, effective January 22, 2015, will apply to balances exceeding a certain threshold.

The SNB’s move is designed to reduce the attractiveness of Swiss franc investments, which have surged amid global economic uncertainty. The central bank hopes that negative interest rates will ease upward pressure on the Swiss franc and help maintain price stability in Switzerland.

Key highlights of the announcement include:

• Negative Interest Rate: -0.25% on sight deposit account balances above a defined threshold.
• Objective: To discourage excessive Swiss franc investments.
• Expected Outcome: Easing pressure on the Swiss franc and maintaining price stability.

The SNB will continue to monitor the situation closely and is prepared to take further measures if necessary.