Credit Suisse to borrow up to 50 billion Swiss francs from Swiss National Bank
2023.03.15 21:48
© Reuters. A man walks near Credit Suisse bank headquarters in New York City, U.S., March 15, 2023. REUTERS/Eduardo Munoz
(Reuters) – Credit Suisse Group AG on Thursday said it will borrow up to 50 billion Swiss francs ($54 billion) from the Swiss National Bank, in what it called “decisive action” to strengthen its liquidity.
The move came after Swiss regulators pledged a liquidity lifeline to Credit Suisse in an unprecedented move by a central bank after the flagship Swiss lender’s shares fell by as much as 30% on Wednesday.
Credit Suisse said the borrowing will be made under the covered loan facility and a short-term liquidity facility, fully collateralized by high quality assets.
It also announced offers for senior debt securities for cash of up to 3 billion francs.
“This additional liquidity would support Credit
Suisse’s core businesses and clients as Credit Suisse takes the necessary steps to create a simpler and more focused bank built around client needs,” it said.
