The recent rise in the Swiss franc is driving deflation in Switzerland. The prices of imported goods are declining and there is talk of reducing salaries in some corners. Deflation is bad for an economy, particularly for the heavily indebted – your mortgage remains the same even if your salary declines and Government debts increase […]
Where the top 1% live – Switzerland leads
There was much talk of inequality at this year’s World Economic Forum in Davos. It is ironic then that the host country Switzerland has the greatest percentage of residents in the top 1% of the world’s wealthiest. Over 13% of Swiss are in this group, the highest proportion in the world according to the Credit […]
Switzerland ranked the world’s most affordable country
In a survey of 119 countries, Switzerland ranked at the top of the Local Purchasing Power Index with a score of 147. The 2015 index was calculated recently by Numbeo the world’s largest database of user-contributed data about cities and countries. Someone in Switzerland on an average wage can buy 47% more typical goods and […]
Here’s something 250% more expensive in Switzerland
For those British expats in Switzerland that haven’t been able to make the transition from Weetabix to Bircher muesli, buying your favourite brand of cereal across the boarder just got even cheaper after the Swiss National Bank scrapped the CHF-EUR exchange rate cap. Some price differences just leave you scratching your head. This is one […]
Swiss National Bank scraps exchange rate cap
In a surprise move the Swiss National Bank shocked the world today when it announced that it would stop managing the Swiss franc to an exchange rate of CHF 1.20 to 1.00 Euro. At the same time, it announced that it is lowering the interest rate on sight deposit account balances by 0.5 percentage points, to […]
Millionaire exodus after tax vote?
GENEVA Next 30 November, the Swiss will vote both on a federal and cantonal basis whether their country should continue to provide special tax privileges to foreign millionaires. The arrangement allows wealthy expatriates to declare a fiscal ‘forfait’ (tax package) based on their lifestyles and not the actual amount of their fortunes. On average, their […]
Your future: “80 is the new 60”
UBS this week released a survey it carried out on age and pensions. Normally pretty dry stuff – summaries of massive data sets – these findings offer interesting insights into Swiss attitudes and give ample food for thought. We know, for example, that the Swiss are living longer; however the survey also tells us that […]
Swiss tax revolution
The question facing the Swiss federal government is how to keep Swiss corporate taxes attractive without offering foreign companies preferential tax rates, a system that the Organisation for Economic Co-operation and Development (OECD) and the European Union (EU) will no longer tolerate. The Swiss Federal Council, the seven-member executive council which constitutes the federal government, […]
Property buyers rush to dip into pension
BERN More and more people are rushing to use the second pillar of their pension plan to purchase a primary residence in the face of high prices and limited housing stock. While this may give a boost to the economy, especially the property market, not everyone is happy with the trend. There are three pillars […]
