Swiss authorities are attempting to control the escalating value of the Swiss Franc, reports The Guardian.The measures will include a huge increase in monetary supply and a pledge to keep interest rates around 0%.
Investors had been flocking to the Swiss Franc in recent months due to its safe haven status, yet the rise in value led to problems for the Swiss economy.
“Today’s actions will weaken the fundamental attractiveness of the Swiss franc,” Jane Foley, senior currency strategist at Rabonank, told The Guardian. “The SNB [Swiss National Bank] will be well aware that it is swimming against the tide and that without a solution to the eurozone sovereign debt crisis it will be difficult to convince investors to dump the Swiss franc.”
NOW WATCH: Briefing videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.