Swiss National Bank

Switzerland’s central bank is independent of the government, which means it is free to set interest rates. Its policy goal is price stability, which it says is an important precondition for economic growth and prosperity. It bases its monetary policy on a medium-term inflation forecast. Its chosen reference interest is the three-month Libor rate (London Interbank Offered Rate). The SNB issues bank notes and distributes coins on behalf of the government. Its profit is broadly speaking divided up among the cantons (two-thirds) and the federal government.