Federal Law, Banks And Savings Banks Section V, Banks and the SNB

Section V - The Relationship Between Banks and the Swiss National Bank

Art. 7

1. Banks shall submit their annual balance sheets to the Swiss National Bank.

2. Whenever the size of a bank or the nature of its business activities warrant it, the Swiss National Bank may, in addition, require the submission of detailed semi-annual balance sheets and quarterly or monthly interim balance sheets.

3. The National Bank may demand from the banks additional disclosures concerning these balance sheets. It can, moreover, request other kinds of information, but these must be for the sole purpose of facilitating the task of the National Bank as defined in Art. 2 of the National Bank Law of December 23, 1953.

4. The National Bank establishes the reporting procedure after consultation with the banks; in particular, it may prescribe the use of standard forms.

5. The National Bank takes the necessary measures to be able to supervise the development of Swiss-franc markets.


Art. 8

1. In the case of short-term exceptional capital outflows, which may endanger Swiss monetary and currency policy, the Federal Council may order that banks shall obtain permission of the Swiss National Bank prior to concluding the following transactions or participating in:

a) the placement or underwriting of bonds, rescriptions and other loans evidenced by certificates, which are issued in the name of a debtor with domicile or registered office abroad or of rights not evidenced by certificate with similar function (valuable rights) or instruments derived therefrom (derivatives);

b) the constitution, purchase or distribution of book receivables of all types for debtors with domicile or registered office abroad.

2. The National Bank can deny permission or make permission conditional whenever necessary in order to conduct an appropriate monetary and currency policy. The evaluation of the risks inherent in a transaction are not the responsibility of the National Bank.

3. The National Bank may, if applicable, issue implementing provisions to the Ordinance of the Federal Council.


Art. 9

1. The National Bank shall keep secret all reports and information received.

2. The National Bank publishes statistics where annual accounts, interim balance sheets and notifications from banks are listed as totals or by groups.


Art. 10

repealed

Prepared by: M. J. Wharton.

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