After the American banks, the crisis in Credit Suisse as well
2023-03-16 08:11:15
TiranaPost
Silicon Valley Bank and Signature Bank in America have been taken under state control.
Switzerland has built a reputation as a banker to the rich. But Credit Suisse shares fell to all-time lows this week. Concern over its growing problems reached crisis point, forcing management to turn to the central bank for a lifeline.
Credit Suisse is feeling the pressure. The fall in the stock market has forced investors to abandon anything that smacks of banking risk. People have withdrawn deposits.
Meanwhile its largest shareholder, the Saudi National Bank, ruled this out by investing more in the company.
Unlike Lehman and SVB, Credit Suisse has significant cash, liquid assets to draw on and access to the central bank. It has credit facilities and is less sensitive than many rivals to sharp movements in interest rates.
