ZURICH, Sept 6 The Swiss National Bank is
setting a minimum exchange rate of 1.20 Swiss francs per euro in
its latest effort to fight the soaring franc. Here is the SNB's
"The current massive overvaluation of the Swiss franc poses
an acute threat to the Swiss economy and carries the risk of a
"The Swiss National Bank (SNB) is therefore aiming for a
substantial and sustained weakening of the Swiss franc. With
immediate effect, it will no longer tolerate a EUR/CHF exchange
rate below the minimum rate of CHF 1.20. The SNB will enforce
this minimum rate with the utmost determination and is prepared
to buy foreign currency in unlimited quantities.
"Even at a rate of CHF 1.20 per euro, the Swiss franc is
still high and should continue to weaken over time. If the
economic outlook and deflationary risks so require, the SNB will
take further measures."
(Reporting by Katie Reid)