Covid-19 loans: banks have opaque margins

The banks can obtain liquidity from the National Bank for the granting of Covid-19 loans and receive 0.75% interest per year. Whether the matter ultimately brings profits or losses for the banks depends, among other things, on their account balance with the National Bank.

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In spring, the Swiss banks, together with the federal government, collected goodwill points through the rapid development of a billion-euro program to bridge liquidity bottlenecks for companies. Over 120 banks took part in this program, loans totaling around CHF 16 billion were granted, and the industry was able to demonstrate its economic importance.