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On 17 August 2022, Switzerland’s government announced a new net spending estimate for 2022 showing a deficit of CHF 5 billion, more than double the budget deficit of CHF 2.3 billion announced in December 2021. © Pichetw | Dreamstime.comThe two main drivers of the higher estimated loss for 2022 are higher spending related to the Covid-19 pandemic (+3.2 billion) and aid related to the Ukraine war and Ukrainian refugees (+0.9 billion). The total of these spending increases (+5.0 billion)...

Swiss health insurance premiums are set to rise sharply in 2023, according to a new study. Price rises could reach close to 10% in some cantons. © Francisco Javier Zea Lara | Dreamstime.comOn average premiums across the country are expected to jump at least 5.4%, according to a study published by Accenture, reported RTS. One of the reasons behind the rises is pressure from the government to refund financial reserves. Reserves are typically used to cover unexpectedly costly years....

Figures published by Switzerland’s Federal Statistical Office (FSO) on 3 August 2022 show annual inflation running at 3.4% in July, the same rate as June. Photo by Anna Shvets on Pexels.comSwitzerland’s consumer price index (CPI) remained stable in July 2022 compared with the previous month, and 3.4% higher compared with the same month of the previous year, said FSO. Over the month, falling prices of clothing and footwear, household appliances, oil products and alcoholic drinks were...

Like most central banks the Swiss National Bank (SNB) is tasked with monetary stability. However, in the process it can inadvertently generate large profits and losses. SNB – BernWhen monetary policy is expansionist and the resulting assets held by the SNB rise in value it can generate large profits as it has over the last few years. However, when the Swiss franc strengthens and asset values slump the bank can generate large losses as it did in the first half of 2022. Over the first...

This week, Benoît Revaz, head of the Swiss Federal Office of Energy (SFOE), said there is an unprecedented level of uncertainty in Europe concerning energy provision, reported RTS. Photo by Pok Rie on Pexels.comPrices have been seriously affected by the war in Ukraine and Switzerland has not been spared, said Revaz. We are now experiencing the first global energy crisis with Europe at the epicentre. A central element of Revaz’s plan to get Switzerland through the crisis is reduced...

An article published by RTS presents data that shows men outnumber women among the leaders of 20 of Switzerland’s 26 largest state affiliated companies. Photo by Pixabay on Pexels.comLike in much of the developed world politicians in Switzerland are pushing to get more women into top spots. Switzerland’s Federal Council has said it aims to have 40% of leadership positions in state affiliated companies filled by women before 2023. Currently, this objective looks out of reach. Out of the...

A recent report by the government that collected data from a sample of Swiss pension funds shows a significant deterioration in the financial health of Switzerland’s 2nd pillar pension funds over the first half of 2022. Inflation, higher interest rates and falling stock markets have hit the fortunes of the funds. © Scottnodine | Dreamstime.comBy the end of June 2022, 285 of the funds included in the survey owed more than they were worth, a phenomenon known as under coverage. The average...

Despite the current heatwave residents of Switzerland have not forgotten about how they might heat themselves over winter. With gas shortages looming and persistently high heating oil and gas prices, some are stockpiling wood. Photo by Skylar Kang on Pexels.comIncreased demand for wood is pushing prices higher. Wood prices have already risen 10%, according to RTS. Some vendors have never delivered such large quantities of wood during summer as they have this year. We are selling wood...

In 2019, the village of Gambarogno in Ticino offered abandoned houses known as “rustici” to anyone prepared to renovate them for 1 franc. Last week, the scheme ended without anyone taking up the offer. © Adriana Stampfl | Dreamstime.comThe scheme was inspired by similar schemes in Italy. However the Swiss offer ran into challenges. Some were practical and others administrative. While some rustici are supplied with water, there is no electricity and gas and they are located far from...

A survey of expats published on 12 July 2022 ranks Switzerland 43rd out of 52 nations on ease of settling in. © Niccolo Pontigia | Dreamstime.comThe definition of an expat is based on the sample used in the Expat Insider 2022 survey. This group was 46 years old on average, more female (52%) than male (47%), most likely to have moved to Switzerland for work (51%) and was well paid – 56% earned US$ 100,000 or more. Close to a third (31%) worked in either IT, healthcare or pharmaceuticals....