The Week in Switzerland

Dear Swiss Abroad,
 
This week was probably the most politically important of the year for Switzerland: negotiations with the European Union, which have last several years, were concluded on Friday.

“The agreement between the EU and Switzerland is historic,” said Ursula von der Leyen, president of the European Commission, at a press conference in Bern. “In Switzerland as well as in our 27 member states, in this challenging environment strong partnerships such as ours are not just an advantage, they are a must.”

Also on Friday, a parliamentary commission of inquiry into the crisis at major Swiss bank Credit Suisse was published. It blamed the bank’s downfall on “years of mismanagement”.
 
However, other topics also generated discussion during the week. For example, Swiss Solidarity called for donations for its campaign against violence against children. And a survey showed that a ban on mobile phones in Swiss schools would stand a good chance.

The big stories of the week

Swiss President Viola Amherd (right) shakes hands with European Commission President Ursula von der Leyen in Bern on Friday. Keystone / Alessandro Della Valle

After 197 meetings, Switzerland’s negotiations with the European Union have been completed. The objectives have been achieved in all areas, the Swiss government announced on Friday.

The formal initialling of the deal to update their trading relationship is scheduled for spring 2025. Swiss parliament will also have its say in 2026. There could also be one or more referendums.

Following the failure of the framework agreement in 2021, the Swiss government has opted for a sectoral approach to secure access to the EU internal market. The results of the negotiations are in line with Switzerland’s interests in all 12 areas, the authorities said on Friday.

Regarding the free movement of people, Switzerland will be able to maintain immigration geared to the needs of the economy. The agreement includes a safeguard clause and wages will be protected. Switzerland will also be able to protect its interests in the areas of land transport, agriculture and electricity.

From January 1, 2025, the Swiss will have access to almost all calls for tenders under the EU’s Horizon Europe, Euratom and Digital Europe programmes.

In return, Switzerland has pledged CHF130 million ($145 million) a year to the EU cohesion fund for the years 2025 to 2029. For 2030 to 2036, the annual cohesion payment will increase to CHF350 million.

The successful conclusion of negotiations is a “milestone for the stabilisation and development of relations between Switzerland and the EU”, said Defence Minister Viola Amherd, who holds the rotating Swiss presidency this year.

It is a “joint step forward for the bilateral path”, she said at a joint press conference in Bern on Friday with Ursula von der Leyen, president of the European Commission. “The solution found is in the interests of both parties.”

The political debate has now been launched, Amherd said. Parliament and the electorate will now “take over the main roles”. The democratic processes take time, she said. “They are not always easy, but they score very highly in terms of legitimacy.”

The Organisation of the Swiss Abroad (OSA) said it was good news for the more than 466,000 Swiss Abroad living in EU/EFTA countries.

The right-wing Swiss People’s Party rejected what it called a “subordination treaty” which it described as “undemocratic, unworthy and unacceptable”.

• SRF coverage of the Swiss-EU agreementExternal link (German)
• RTS coverage of the Swiss-EU agreementExternal link (French)
• Swiss strike EU deal after decade of talksExternal link (Financial Times, paywall)
• The rocky relationship between Switzerland and the European Union (SWI)
• Swiss People’s Party statement External link(German)

Keystone / Martial Trezzini

Years of mismanagement led to the collapse of the major Swiss bank Credit Suisse. This is the conclusion reached by the parliamentary commission of inquiry.

Shortly before its demise, Credit Suisse was in the headlines because its top management was spying on each other. According to the inquiry, the work of these managers, who were paid millions, is to blame for the fact that Credit Suisse collapsed in March 2023 and its competitor UBS was ultimately able to take it over.

However, the Swiss Financial Market Supervisory Authority (FINMA) also gets its comeuppance in the report: the authority did indeed carry out its supervisory activities intensively, but this only had a limited effect. “Despite numerous enforcement proceedings and corresponding warnings from FINMA, Credit Suisse continued to be plagued by scandal after scandal,” the report said.

Finally, the inquiry also states that the flow of information between the authorities was insufficient in some cases and that the “too big to fail” legislation was developed too hesitantly. It gives the authorities credit for preventing a global financial crisis in March 2023.

• Our analysis of the winter session of parliament (German/French)
• Swiss lawmakers criticise ‘years of mismanagement’ at Credit Suisse External link(Financial Times, paywall)

Swiss Solidarity

Socially, the week in Switzerland was characterised by Swiss Solidarity’s collection campaign against violence against children all over the world.

Take Bangladesh, for example. It is one of the countries with the highest number of child marriages. Child labour is also widespread. Our reporter Giannis Mavris visited the country and wrote several articles.

This week, the Swiss Solidarity fundraising organisation organised a solidarity weekExternal link. Swiss Solidarity is the humanitarian arm of the Swiss Broadcasting Corporation, SWI swissinfo.ch’s parent company. The donations collected are used to fund projects to protect children from violence and abuse – including the projects that Giannis was able to visit.

This is his conclusion: “Despite the hardships described, Bangladesh is an incredible country, and you can learn a lot from the resilience of its people. The projects we visited – the result of a strong civil society – are proof of this: people are always finding ways to improve their living conditions.”

Here are the three reports that Giannis wrote in Bangladesh:

• Escaping poverty through education: child labour in Bangladesh
• With gang violence and child marriage, childhood is short in Rohingya refugee camps
• Daulatdia: breaking the cycle of sexual exploitation in Bangladeshi brothel

Keystone / Christian Beutler

A ban on mobile phones in Swiss schools would stand a good chance, according to a survey.

Teachers have been annoyed by mobile phones in the classroom for years. France and Italy have already introduced bans on mobile phones. A survey conducted by the Sotomo research institute on behalf of the Berner Generationenhaus now shows that 82% of respondents in Switzerland are in favour of a ban on mobile phones in schools.

The authors interpret the broad support for a ban on mobile phones in schools as a growing awareness of the opportunities and risks of digital technologies: addictive behaviour, concentration problems and disturbed social interactions are at the forefront, particularly among young people.

Many would also like to ban the video app TikTok. However, approval is somewhat lower here: 68% of respondents would be in favour of banning TikTok. Interestingly, parents of teenagers are less clearly in favour of a ban.

• SRF reportExternal link on the mobile phone ban survey. (German)

Quirky Switzerland

swissinfo.ch / Christoph Balsiger

Do you know the Schnabelgeiss (pictured)? Or the Huttenwybli? No? Then it’s time you learnt about a traditional custom that’s been taking place at the end of the year in the village of Meiringen and the surrounding area for centuries.

The Ubersitz has become a crowd-puller for the region. People brave the cold and fatigue for several days and nights. This is because the locals in the villages of the Haslital turn night into day with loud cowbells and drums from December 25-30.

• Ubersitz, the utterly unique – and deafening – Swiss custom

Photo of the week

Keystone / Gaetan Bally

Let’s stay in the Haslital. To commission the new Spitallamm dam at the far end of the valley, the Oberaar Lake had to be emptied. A good opportunity to inspect the 30-tonne throttle valve (centre) and the entire armoured water pipe that runs from the reservoir to the Grimsel 1 power station under the Grimsel Lake. In the winter of 2024-2025, all systems that are normally under water will be inspected and repaired.

The week ahead

Keystone

Now that the parliamentary session is over, the coming week will be characterised by festivities under the Christmas tree.

Three anniversaries should be noted: 90 years ago, on December 23, 1934, the world’s first ski lift was put into operation in Davos. It was a T-bar lift with J-shaped bars on which only one person could be pulled up. In the very first season, the T-bar took 70,000 people up the mountain. The idea of a ski instructor ultimately ensured that the capacity could be doubled – with the side effect that many couples met on ski lifts. The T-shaped bar can still be seen on some lifts today.

Wednesday December 26 marks the 20th anniversary of a tragic event: the tsunami in South East Asia. A magnitude 9.3 earthquake triggered the devastating giant waves in the Indian Ocean, which claimed more than 230,000 lives in 13 countries. Among them were 113 Swiss citizens. Every year on December 26, the victims of the tsunami are commemorated in the affected countries.

Hurricane Lothar also swept across Switzerland on December 26 in 1999. A total of 14 people died in the storm 25 years ago. It also razed 14 million cubic metres of forest. The damage was estimated at CHF1.35 billion ($1.5 billion).

Edited by Samuel Jaberg. Adapted from German by DeepL/ts