ZURICH, March 25 (Reuters) – Credit score Suisse (CSGN.S) tapped the Swiss Nationwide Financial institution for “a big multi-billion quantity” final weekend to safe its liquidity, the nation’s finance minister Karin Keller-Sutter instructed Swiss broadcaster SRF on Saturday.
The troubled Swiss financial institution had stated final week it supposed to borrow as much as 50 billion Swiss francs from the nation’s central financial institution to spice up its liquidity.
“Final weekend, a big multi-billion quantity was withdrawn by Credit score Suisse for liquidity safety,” Keller-Sutter stated.
She stated this was as a result of prospects had once more withdrawn cash, but in addition as a result of counterparties have been demanding ensures when they’re doing enterprise with the financial institution.
Keller-Sutter stated “it’s to be assumed” that the determine was above 50 billion Swiss francs ($54.35 billion), however stated the Swiss Nationwide Financial institution had the precise quantity.
“The vital factor is that the state of affairs has stabilised,” she stated.
Final Sunday, UBS (UBSG.S) agreed to purchase its rival Credit score Suisse (CSGN.S) for 3 billion Swiss francs in inventory and agreed to imagine as much as 5 billion francs in losses in a merger engineered by Swiss authorities to stop extra market turmoil in international banking.
($1 = 0.9199 Swiss francs)
Reporting by Noele Illien
Modifying by Jane Merriman
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