Monetary and currency system

Switzerland's currency policy is the responsibility of the Swiss National Bank and the Federal Department of Finance. It is designed to be flexible, so that it can react to the domestic and external stability situation.

The SNB distributes part of its profits to the Confederation and cantons. This distribution is set out in an agreement between the FDF and the SNB. This enables the medium-term planning of distributions and supports federal and cantonal financial planning.

The Federal Act on Currency and Payment Instruments (CPIA) stipulates that the Swiss franc is Switzerland's legal tender (currency). Legal tender comprises banknotes, coins and sight deposits at the Swiss National Bank (SNB). Banknotes can be used for payment without restriction, whereas payments in coins are limited to 100 coins per payment. The SNB issues banknotes, while Swissmint, a unit of the Federal Finance Administration, is responsible for minting coins.