The Swiss National Bank (SNB) reported a first-half loss of CHF 15.3 billion, dragged down by foreign-currency positions that turned sharply negative in the second quarter. After posting a profit of CHF 6.7 billion in the first three months of the year, the central bank recorded a loss of CHF 22 billion between April and June—wiping out earlier gains and then some.
The result was broadly in line with expectations. Some economists had forecast second-quarter losses of between CHF 17 billion and CHF 27 billion. Much of the damage came from a weakening US dollar. The SNB holds around CHF 300 billlion in dollar-denominated assets, whose value fell as the greenback slipped against the ever-rising Swiss franc. Even gold, which rose in price, could do little more than soften the blow—its gains, priced in dollars, were largely offset by exchange-rate effects.
The dollar was not the only driver of the losses. The franc’s continued strength against the euro also took a toll, leading to hefty currency losses of nearly CHF 44 billion in the first half of the year.
The Swiss franc has remained strong despite the SNB cutting its benchmark rate to zero in June 2025.
These paper losses could have consequences beyond the central bank itself. Cantonal governments, accustomed to receiving distributions from the SNB’s profits, may once again find themselves empty-handed.
The SNB, for its part, struck a calm tone. In a statement released on Thursday, it reminded observers that its results are largely driven by fluctuations in gold, foreign exchange and capital markets. As for full-year performance, the bank noted that drawing conclusions at this stage would be premature.
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SNB press release (in French) – Take a 5 minute French test now
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