SNB's Jordan says franc cap still indispensable

WASHINGTON, April 20 Sat Apr 20, 2013 7:00pm EDT

WASHINGTON, April 20 (Reuters) - The risk of a resurgence in the global financial crisis means that the Swiss National Bank's exchange rate cap is still essential, SNB chairman Thomas Jordan said on Saturday.

Speaking after meetings of the International Monetary Fund, Jordan said Switzerland's determination to cap the franc at 1.20 per euro had wide backing from other countries.

"'Adjustment fatigue' could lead to a resurgence of the crisis and one must add that this would have an impact on Switzerland," he said.

"In such an uncertain environment, the minimum exchange rate policy of the central bank remains indispensable," Jordan said, adding that the franc was still "very high."