Switzerland's government trimmed its economic forecasts for this year and next, saying a strong franc is already hurting exports and the currency could get even stronger if Greece fails to reach a deal with creditors. Talks between Greece and its creditors aimed at preventing a default and possible euro exit have collapsed. Investors see the franc as a haven from the uncertainty.
"If an extreme solution (for Greece) were envisaged, the risk and uncertainty relating to the short-term progression of the exchange rate of the Swiss franc to the euro must be taken seriously," economists at the State Secretariat for Economics (SECO) said in a statement on Tuesday.