Growth is too low but focus must be on price stability – SNB's Jordan

Growth is too low but focus must be on price stability – SNB's Jordan

Speaking to national broadcaster SRF, he said economic growth and productivity are too low and many countries are running too much debt and excessive deficits.

One of the most pressing challenges is insufficient growth, Jordan told SRF. Another is the need for structural reforms to increase countries’ productivity and boost growth, he added.

“In many countries the debt level is too high, deficits are too big,” Jordan said on the sidelines of the International Monetary Fund and World Bank spring meetings in Washington.

© Reuters. FILE PHOTO: Thomas Jordan, Chairman of the SNB, attends the press conference at the Swiss National Bank (SNB) in Zurich, Switzerland, March 21, 2024. REUTERS/Denis Balibouse/File Photo

“That cannot be sustainable and will have to be corrected in the future.

“It is very important that at the same time monetary policy remains geared towards price stability, rather than monetary policy being needed to finance debt, otherwise it will not end well.”

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