This Swiss Franc update looks at the factors that could effect the rate of exchange for your currency transfers in the short term. The table below shows the different in CHF you would have achieved when buying £200,000 over the past two weeks.

Currency Pair% ChangeDifference on £200,000
GBP/CHF2.69%CHF 6600

The Swiss Franc has been arguably one of the strongest currencies in the past year and this could potentially be about to improve. The Swiss National Bank will today reveal their latest interest rate decision which is set to confirm no changes to the rate and suggest stimulus is still on standby just in case required. The rate decision will be followed with a statement from the SNB which will provide the logic behind their thinking.

The Swiss Bank have been vocal previously in suggesting until there is any movement from the European Central Bank then they’re unlikely to change anything. However as the ECB are thought to be tapering back on the current bond buying program come September, due to a flurry of positive data in the last few months, a change could be on the cards.

The Swiss Central Bank are notorious for not informing the markets before they make decisions, famously back tracking on their policy to peg the Franc to the Euro in 2015 sending shockwaves through the markets. Should the ECB start to appear more bullish about the Eurozone then there could be justification for the SNB to raise interest rates without a major strengthening of the Franc.

Where does this leave GBP/CHF rate?

If there was to be an increase in the Swiss interest rate then that could push the GBP/CHF rate below 1.20. Anyone looking to sell Francs is already currently trading at the lowest level in 3 months and in the last 2 weeks a well-timed transfer of 200,000 CHF to Sterling would have helped you achieve an extra £4,290.

The uncertainty surrounding the UK’s position within Europe and the strength the Swiss Franc has received arguably as a safe haven currency, could see the strength continue for the foreseeable future. If you do have an upcoming Swiss Franc requirement I would suggest getting in touch with your broker to enable you trade at the best time.

For more information on how future data releases could affect your Swiss Franc requirement, call our trading floor on 01494 725 353 or email me here.


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Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.