Credit Suisse Stock Surges 32% After Swiss National Bank Loan & Debt Buyback

Shares in Credit Suisse surged 32% at the start of trading in Zurich on Thursday, after the bank announced it would tap a loan from the Swiss National Bank and launch an offer to buy beaten-up debt.[0] The second-biggest Swiss lender said it would use a 50-billion-franc ($54 billion) facility from the country’s central bank in what it called “decisive action” to strengthen its liquidity.[1]

The announcement follows the failure of Silicon Valley Bank, the second-largest US bank failure ever, and the closure of Signature Bank and wind down of Silvergate Bank, which have caused investors to brace for a full-blown crisis in the sector.[2]

The Swiss National Bank confirmed Thursday that it will provide liquidity to Credit Suisse “against sufficient collateral,” prompting talk with the Swiss National Bank and financial regulator FINMA.[3] In addition, Credit Suisse also said it would buy back 3bn Swiss francs worth of its debt.[4]

Neil Shearing, chief economist at Capital Economics, commented that “the problems at Credit Suisse are very different to those that brought down SVB a few days ago. But they serve as a reminder that as interest rates rise, vulnerabilities are lurking in the financial system. Key areas to monitor are smaller European banks and shadow banks.”[5]

Credit Suisse’s stock crash on Wednesday, falling as much as 30%, has caused concern over the health of global banks.[6] The Swiss bank's decision to borrow from the Swiss National Bank and buy back its own debt has helped to calm investors’ nerves.[4]

0. “Stock Market Today: Credit Suisse Shares Leap; Dow Futures Edge Down” The Wall Street Journal, 16 Mar. 2023,

1. “Credit Suisse, Snap, Adobe, UiPath, and More Stock Market Movers” Barron's, 16 Mar. 2023,

2. “Credit Suisse just the ‘tip of the iceberg' amid SVB fiasco: JPMorgan” Markets Insider, 15 Mar. 2023,

3. “Nouriel Roubini says Credit Suisse may be too big to save, risks ‘Lehman moment'” Markets Insider, 15 Mar. 2023,

4. “Credit Suisse shares surge after bank agrees £44bn lifeline – business live” The Guardian, 16 Mar. 2023,

5. “Credit Suisse's $50 billion lifeline calms panic over banks” CNN, 16 Mar. 2023,

6. “Credit Suisse Teeters as Shares Slide 30 Percent” The Daily Beast, 15 Mar. 2023,

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