Thomas Jordan almost always has to catch it when the Swiss franc floats too high.
Then the President of the Swiss National Bank (SNB) buys foreign currency on a large scale in order to slow down the appreciation and make life easier for the export industry.
The huge foreign exchange holdings brought the SNB a profit of CHF 26 billion in 2021.
That arouses desires in politics.
It's just too tempting: Why, for example, laboriously and with protest from voters, when you can easily cover up the funding gaps with the blessing of money from the SNB's coffers?
It would of course be fatal if Switzerland succumbed to this temptation.
The National Bank was gradually losing its political independence and would soon be abused for further rescue operations.
In addition, the past has shown that billions in profits can turn into billions in losses in no time.
Without a thick safety cushion, the central bank will lose the credibility it needs for its monetary policy.
So: stay away from the SNB!