The Swiss Franc has been one of the strongest currencies worldwide, due to its strength and role as a store of value. But, it is possible that the Swiss Franc could become an official national currency soon and change our financial world forever. That could happen because of two factors.
Firstly, it will be one of the first developing nations to join the IMF or the Bank for International Settlements, which will facilitate it in gaining influence and more influence in the global financial world. Although it does not have the power to control the economies of other countries or international organizations, there are strong ties to Germany, which has always supported the Swiss Franc.
Second, the Russians, as far as I know, have not yet joined the Bank for International Settlements, but it seems to be unlikely. If they do, there will be some major changes in the international monetary world and the Swiss Franc will also be affected greatly.
The Swiss Franc currently trades at around about 35 Swiss Francs per US Dollar, but it is possible that the strong exchange rate could diminish in time, causing it to depreciate to 20 Swiss Francs per US Dollar by the year 2020. Some experts say that it may even reach twenty Swiss Francs by the year 2030.
This would obviously lead to a weaker public relations for the Swiss Currency, which is certainly something that we do not want. With the current bad economic times, this would probably not be a good idea.
As far as exchange rates go, having a strong currency does not need strong leadership. It is very likely that the Swiss Central Bank will soon weaken its exchange rate, although this is one of the first things that anyone wants to see before they buy Swiss Franc, so this might be a long time coming.
The Swiss Franc is well-known and well-liked as a safe currency, due to its stability and value against most major currencies. It has maintained this as a popular choice for many years and may even remain so for the future.
In fact, it needs strong leadership in order to boost its credibility and increase the value of the Swiss Franc. This would reduce the risk of the Swiss Central Bank failing and crashing the economy, as well as being a great loss for investors in the currency.
Bahamian citizens must also watch out, as the UK has its own referendum in September and so the British pound may soon fall against the Euro. We don’t want to get hit with currency changes like that.
We want to protect ourselves against these changes, and so the best thing to do is to watch and follow the financial markets carefully. The Swiss Central Bank is unlikely to devalue the Swiss Franc as fast as people hope, but the situation can and probably will change.
The strength of the Swiss Central Bank is helping it to maintain a strong political leadership, which is the best guarantee that it will be able to protect the Swiss Franc and provide the stability it needs. It just has to decide whether or not to have its own national currency.