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Finance minister rules out state support to cope with inflation

Swiss Finance Minister Ueli Maurer
Swiss Finance Minister Ueli Maurer said the state had “no money” to support consumers hit by higher prices. © Keystone / Gian Ehrenzeller

Swiss Finance Minister Ueli Maurer has spoken out against government support for consumers affected by higher energy prices.

“Petrol prices are affordable in wealthy Switzerland,” he toldExternal link the Tages-Anzeiger newspaper on Wednesday.

The government set up a working group in April to study whether measures were needed to ease the burden of households.

But Maurer, from the right-wing Swiss People’s Party, said the state had “no money” to support consumers hit by higher prices.

“Such measures are not necessary with inflation at 2.5%,” he said.

The finance minister told the paper that he feared a looming economic slowdown.

“I think a recession is approaching. Its severity will depend on how long the war in Ukraine lasts and on energy prices,” he said.

Sanction pressure

Turning to the war in Ukraine, Maurer said Swiss banks should resist pressure to step up enforcement of sanctions on Russians being punished in the West for the invasion.

“If anything we should say slow down a bit and don’t implement the sanctions with a ‘Swiss finish’. Our banks probably sanction more harshly than anyone else,” he told the paper.

Maurer said Switzerland should use gas-fired power plants and extend the life of nuclear power plants to help meet its energy needs, adding that Switzerland would help to finance gas terminals that neighbour Germany was building.

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