Switzerland’s second largest bank Credit Suisse March 16 said which will take 50 billion Swiss francs (about $53.7 billion) from the country’s Central Bank.
The additional liquidity will support the bank’s operations and customers, while Credit Suisse is taking steps to create a simpler and more focused bank built around customer needs, it said.
On the eve of the National Bank of Switzerland (SNB) expressed readiness to help the bank Credit Suisse, whose shares fell by 24.2%. The financial regulator said in a statement that Credit Suisse fully complies with the capital requirements that apply to systemically important banks.
The stock price of Credit Suisse and the value of its debt securities fell due to the market reaction to the bankruptcy of the American Silicon Valley Bank. According to the Swiss exchange SIX Swiss Exchange, at the bottom point, the value of securities was 1.7 Swiss francs per share. In this regard, there was a decrease in the leading index of European banks Euro Stoxx Banks by 7%.
The day before, American analyst and investor Robert Kiyosaki, who predicted the collapse of Lehman Brothers in 2008, said that he expects Credit Suisse to go bankrupt.
On March 11, it became known about the bankruptcy of Silicon Valley Bank in the USA. The organization went bankrupt in less than two days. After the bank made an unsuccessful operation with securities, depositors began to withdraw funds sharply from their accounts.
