Swiss government says no need for stimulus program to cushion impact of franc's rise

BERLIN – The Swiss government says it sees no need for an economic stimulus to cushion the impact of the dramatic rise of the country’s currency.

The governing Federal Council said Wednesday that there’s no sign of a serious crisis, despite conceding that the Swiss economy is expected to cool this year and unemployment to rise slightly. It says sufficient measures were taken to cushion the blow of the sharp appreciation of the Swiss franc earlier this year.

The Swiss National Bank abruptly abandoned Jan. 15 a policy of preventing the euro from trading below 1.20 francs, causing an immediate surge in the Swiss currency. That instantly made Swiss exports, and vacations to the Alpine country, more expensive.

One euro now buys around 1.03 francs.