By Jonathan Davies

The Swiss franc has surged in value after its central bank ended the cap on the currency's value against the euro.

The value of the Swiss franc was up as much as 30% after the Swiss National Bank (SNB) said that the cap, which was introduced in 2011, was no longer justified.

Following the move, the SNB also raised its key interest rate from 0.25% to 0.75%, increasing the amount investors have to pay to hold Swiss deposits.


Swiss shares reacted poorly to the news,FIFA Coins falling by 6%. Investors and analysts have suggested that the strength of the currency will cause companies to struggle to export.

The Swiss watchmaker Swatch saw its share prices fall by 15% following the SNB's decision. Swatch chief executive Nick Hayek even described it as a "tsunami" for the Swiss economy.

Join us on
Follow @freshbusiness