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    Credit Suisse Shares Plummet: Swiss National Bank Steps In


    Shares in Credit Suisse have plummeted this week, dragging down other major European lenders in the wake of bank failures in the United States. On Wednesday, Swiss banking giant Credit Suisse saw its shares fall to a record low, putting pressure on the entire European banking sector. After the chairman of the Saudi National Bank, which has a 10 percent stake in Credit Suisse, announced that they would not be providing any more financial aid, Credit Suisse shares experienced a dramatic decline.[0]

    The Swiss National Bank and Swiss financial regulator Finma issued a joint statement on Wednesday afternoon, saying that Credit Suisse meets capital and liquidity requirements for systemically important banks. In case of need, the SNB will put liquidity at Credit Suisse’s disposal. The statement went on to confirm that the “strict capital and liquidity requirements applicable to Swiss financial institutions ensure their stability.”

    The chairman of Credit Suisse’s largest shareholder, the Saudi National Bank, said the market turmoil in shares of the Swiss lender was “unwarranted.”[1] Europe’s benchmark Stoxx Europe 600 Banks index, which tracks 42 big EU and UK banks, has fallen 13% since last Wednesday’s close, while the KBW Bank Index, which tracks 24 leading US banks, has plummeted nearly 23%.[2]

    Last night, Credit Suisse declared that it was going to draw up to 50 billion Swiss francs (approximately £44 billion) from the Swiss National Bank as an assertive measure to increase its liquidity.[3] The move is an attempt to calm fears about the health of global financial institutions following the recent collapse of Silicon Valley Bank and Signature Bank in the US.

    0. “Credit Suisse Teeters as Shares Slide 30 Percent” The Daily Beast, 15 Mar. 2023,

    1. “Saudi National Bank says panic over Credit Suisse is ‘unwarranted'” CNBC, 16 Mar. 2023,

    2. “Unlike the US, Europe kept its banks on a tight rein post-2008. That was smart” CNN, 15 Mar. 2023,

    3. “Credit Suisse Will Borrow Up to $53.7 Billion” The Wall Street Journal, 16 Mar. 2023,

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