The Swiss National Bank posted a record annual loss of 132 billion Swiss francs ($143 billion U.S.) for 2022 as volatile stock and fixed-income markets hurt the value of its share and bond portfolios.
The 2022 loss at Switzerland’s central bank stands in stark contrast to a profit of 26 billion Swiss francs recorded in 2021.
The latest figures are preliminary and Swiss National Bank is scheduled to release detailed data on its finances on March 6 of this year.
In addition to volatility in equity and bond markets, a strong Swiss franc, which rose above parity against the Euro currency last year, led to exchange rate losses at the central bank.
The massive 2022 loss means that the Swiss National Bank will not make its usual payout to the Swiss central and regional governments, it said. Last year the bank paid out six billion francs.
Switzerland’s central bank raised interest rates three times in 2022 to lower inflation that has been red hot across Europe.
