Up to CHF 6 billion for Switzerland and the cantons from the National Bank
New profit distribution agreement (and doubled amounts for 2020-2025…) between the Federal Department of Finance and the SNB
On 29 January the Federal Department of Finance of the Swiss Confederation and the Swiss National Bank signed a new agreement on the distribution of the latter’s profits.
Provided the SNB’s financial situation permits, a maximum amount of CHF 6 billion will be paid out annually to Switzerland and the cantons.
The new agreement governs the profit distributions of the Swiss National Bank until the financial year 2025.
Retroactively supersedes the 2016-2020 agreement
It already applies to the 2020 financial year, thus retroactively superseding the 2016-2020 agreement and the 2020 supplementary agreement, which provided for a maximum distribution of CHF 2 billion and CHF 4 billion, respectively.
The maximum annual distribution of CHF 6 billion includes a base amount of CHF 2 billion, which is paid out on condition that the balance sheet profit amounts to at least this amount.
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In addition, there are four possible additional distributions, each of one billion francs, which are made when the amount of the balance sheet profit reaches the values of 10, 20, 30 or 40 billion francs.
The agreement was signed by Ueli Maurer on behalf of the state and by Barbara Janom Steiner and Thomas Jordan on behalf of the central bank.
Distribution is effective immediately
For the 2020 financial year, the conditions for the distribution of the maximum amount have been met: CHF 6 billion will therefore be distributed to the Confederation and the cantons.
In accordance with the Swiss National Bank Act, the SNB is required to set aside provisions from its annual result to maintain the currency reserves at the level required by monetary policy.
Convenzione tra il DFF e la BNS del 29 gennaio 2021 (in Italian)
Spiegazioni della Convenzione DFF-BNS del 29 gennaio 2021 (in italian)
The cantons’ share in the net profit of the Swiss National Bank (in italian)
In principle, the remaining profit after allocation to provisions is available for distribution to the Swiss Confederation and the 26 cantons.
The FDF and the SNB set the reference values for the distribution of profit in a multi-year agreement in order to ensure constant profit allocation in the medium term.
The cantons have been informed about the new agreement in advance.
