Economics
Swiss Central Bank Urged to Lift Inflation Goal, Manage Currency
- Economists publish paper calling for average 2% inflation aim
- SNB should also consider Singapore-style crawling currency peg
The Swiss National Bank in Bern.
Photographer: Stefan Wermuth/BloombergThis article is for subscribers only.
The Swiss National Bank should raise its inflation target and consider using its exchange rate rather than its benchmark interest rate as its main tool, according to a group of economists.
While the proposal on price growth would bring the SNB more in line with international counterparts, the suggestion on how to manage the franc would be more controversial. Switzerland is already designated as a currency manipulator by the U.S.