SNB distribution shortfall “painful” for cantons
Published: Tuesday, Jan 9th 2024, 11:41
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According to the President of the Conference of Cantonal Finance Directors (FDK), it is painful for the cantons that the profit distribution of the Swiss National Bank (SNB) is likely to fail for the second time in a row.
As the announcement did not come as a complete surprise, the cantons had been cautious when budgeting for any distributions by the SNB, said Zurich Finance Director Ernst Stocker (SVP) on Tuesday at the request of the Keystone-SDA news agency.
The SNB's interim results and the balance sheet loss existing at the end of 2022 had already "indicated a risk". The short-term impact on the canton's finances is therefore likely to be limited on average.
The SNB profit distribution is important for the cantons, Stocker emphasized. In recent years, and particularly between 2020 and 2022, it has been a significant source of income for cantonal budgets.
After good financial statements for the cantons in 2022, the financial situation of the cantons has darkened recently, according to Stocker. Rising expenditure, particularly in the health and social sectors, has put pressure on cantonal budgets.
"However, the specific starting situations vary," says Stocker. There are cantons that have recently had to implement budget consolidation measures (e.g. Jura) or are now planning such measures (e.g. Glarus, Solothurn, Uri). Ultimately, however, all cantons would be affected by a loss of distribution.
The lack of an SNB profit distribution will have a concrete impact on the Canton of Berne's plans to reduce taxes for natural persons. The cantonal government had made this dependent on the profit distribution.
The SNB's profits fluctuate greatly. He is "fundamentally positive that distributions will soon be possible again", explained Stocker. But of course this depends on developments on the financial markets.
©Keystone/SDA
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