Swiss National Bank’s Next Chairman Committed to Price Stability, Reports Reuters

ZURICH (Reuters) – Thomas Jordan, the Swiss National Bank’s outgoing chairman, made his final public appearance on Thursday, accompanied by his successor, Vice Chairman Martin Schlegel. Schlegel committed to maintaining the central bank’s focus on achieving price stability.

During a press conference in Zurich to discuss the SNB’s recent interest rate decision, the topic of Jordan’s departure after 12 years of leadership was minimally addressed. With the pressure lifted after Jordan’s 42nd monetary policy meeting resulted in the SNB’s third rate cut this year, he appeared more relaxed and directed more questions to Schlegel, who will take over on Tuesday.

Schlegel, who has been with the SNB since 2003 and is often depicted in Swiss media as a protégé of Jordan, acknowledged the significance of Jordan’s exit as marking the end of an era, yet assured there would be no significant policy shifts.

“Our mandate is price stability, and this will remain our mandate,” Schlegel stated in an interview. “This is also our priority at the Swiss National Bank.”

Price stability, defined as maintaining inflation within a range of 0-2%, has been a primary objective during Jordan’s tenure. This target has been met over the past 15 months as the SNB raised interest rates and allowed the appreciation of the Swiss franc, which helped stabilize import prices.

Observers have speculated that the change in leadership might alter the bank’s style, given Jordan’s prominent role during significant events, including the termination of the minimum exchange rate against the euro and the collapse of Credit Suisse.

When asked how his approach might differ from Jordan’s, Schlegel emphasized continuity: “I think the important question is what will be the same,” he replied. “The mandate and the focus on price stability will remain unchanged.”

At 48 years old and with over 20 years of experience at the SNB, Schlegel expressed his readiness for the new challenges ahead.

“This will be my eighth position at the SNB, and I have always been open to new challenges,” he commented. “Steady progression has been my path, and a bit of luck has also been helpful.”