The financial institution said the additional liquidity “will support the activities of the bank and customers.”
Credit Suisse, the second largest Swiss bank, has applied to the country’s National Bank with a loan request of $54 billion and an offer to buy part of the bank’s debt. Bloomberg reported this with reference to the statement of the financial institution.
The bank will borrow money from the central bank and make a tender offer to buy up to three billion francs of debt denominated in dollars and euros.
It noted that the additional liquidity “will support the activities of the bank and customers.”
The moves are unprecedented for a major Swiss lender since the financial crisis in 2008 and are the biggest step to raise money at Credit Suisse.
At the same time, Credit Suisse’s main shareholder said that “everything has been fixed” at the bank.
To recall, on the eve of Credit Suisse shares fell to their lowest level ever after a Saudi investor refused to increase his stake in the bank. Concerns about the financial condition of Credit Suisse stirred the world markets, in particular, the shares of European banks fell sharply.
On March 10, the US financial regulator shut down California-based Silicon Valley Bank. His bankruptcy was the largest since the financial crisis of 2008. Following SVB, the American authorities shut down New York Signature Bank.
Global financial stocks lost $465 billion due to SVB’s bankruptcy.
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.