ZURICH - The Swiss National Bank (SNB) has announced a lower annual deficit for the fiscal year 2023, marking a significant financial update for Switzerland's central banking institution. The bank disclosed that it ended the year with a deficit of 3 billion Swiss francs, a figure that reflects a combination of losses and gains across its various holdings.
During the year, the SNB faced a loss of 8.5 billion francs resulting from its positions in the Swiss franc. This loss, however, was partially mitigated by positive outcomes in other areas of its portfolio. Notably, the bank reported gains amounting to 4 billion francs from its foreign currency holdings. Additionally, the valuation of its gold assets contributed positively, with an increase of 1.7 billion francs.
The net loss for the year takes into account these numbers along with the impact of the previous year's negative reserves. In response to the financial results, the SNB has taken measures to manage its expenditures. It has suspended the distribution of dividends to its investors, a move that is reflective of its cautious approach in the wake of the reported deficit. Furthermore, payments to Swiss cantons and the central government have also been halted.
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