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The Swiss monetary policy balance (Policy Brief)

Price stability is the fundamental pillar of the Swiss National Bank (SNB). But in the Swiss context, it cannot be understood independently of the country’s structural specificities: wage inertia, the role of the Swiss franc as a safe-haven asset, high trade openness, and strong institutional credibility. These elements shape a monetary regime that is unique among advanced economies. For more than two decades, Switzerland has maintained average inflation significantly lower than that of its counterparts. This performance is partly due to moderate wage dynamics, in the absence of automatic

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