ZURICH (Reuters) - The Swiss National Bank is not engaged in currency manipulation via its foreign currency purchases, Chairman Thomas Jordan said on Thursday, after the country appeared on a U.S. Treasury watch list.
“We do not manipulate the currency, but we have to intervene to steer monetary conditions in Switzerland, Jordan told Bloomberg TV on the sidelines of the World Economic Forum annual meeting in Davos.
“We never intend to weaken the Swiss franc to get an advantage over other countries,” he added, saying the SNB’s aim was to prevent the Swiss franc becoming too strong.
The safe-haven currency remained “highly valued” Jordan said, adding this made it important the SNB continued with its current expansive monetary policy of negative interest rates of -0.75% and currency interventions when needed.
Reporting by John Revill; Editing by Alex Richardson