Skip to main content

SWISS NATIONAL BANK PRESIDENT PHILIPP HILDEBRAND


SUGGESTION TO THE SWISS NATIONAL BANK PRESIDENT PHILIPP HILDEBRAND

To:                        The Right Honorable Swiss National Bank President Philipp Hildebrand

From:                     Athinarayanan Sanjeevraja

Date:                     September 20, 2011.

RE:                        Swiss Franc Valuation

Suggestion:             Increase money supply, lend to other European countries.      

Good Morning President. When I wrote to you regarding rise in Swiss Franc in the month of July 25, 2011 large margin of currency appreciation in a short period of time is not good for sustainable economy. SNB have taken the appropriate measures on its Swiss Franc to counter valuation of being appreciated because the current valuation of the Swiss Franc poses an acute threat to the tourist and manufacturing industry and carries the risk of deflationary development. Massive international capital inflows will raise the value of the currency, reducing the competitiveness of the nation’s export and on the other hand drive down the interest rates and reducing fixed income. You have taken the appropriate measures to put a cap on the exchange rate. It is absolutely necessary when the exchange rate is far higher than the healthy economy put a cap on the exchange rate unlike downward pressure, you are not likely to run out of currency to sell to support the exchange rate. Of course, you will get a large quantity of foreign exchange in return. I would like to recommend accumulate foreign exchange fund but not US bonds.

If Swiss Franc is too high, we can’t sell our products. It will dramatically affect the Swiss industry unlike commodities is that it takes a huge amount of knowledge and capital investment to produce goods in the field of chemicals, pharmaceuticals, engineering, electronics and transportation sectors. These industries all make up a far more important part of the Swiss economy. Once Swiss industries lost, it is not easy to regain. However the core issue is SNB currency interventions have only resulted in temporary success. It may fail due to global demand. I would recommend the SNB should intervene more directly to create sustainable economy.

Thank you very much for kind attention to these issues.

Sincerely,
Athinarayanan Sanjeevraja.

Comments

Popular posts from this blog

THANK YOU NOTE TO FORMER CHIEF JUSTICE OF INDIA DR A S ANAND

To: The Hon’ble   Dr. Justice A.S. Anand, Former Chief Justice of   India & Empowered Committee Chairman From: Athinarayanan Sanjeevraja Date: Wednesday, July 25, 2012 RE: Thank you and the members of Empowered Committee and the five judge constitution Bench of Supreme Court Judges.   My lord, please accept my heartfelt thank you and the members of Empowered Committee and the five judge constitution bench of Supreme Court Judges on behalf of myself and all of the people in Tamilnadu for saving lakhs of farmers in the southern districts of Tamilnadu and the fine report you made. I wish you continued success in what you are doing my lord. The completion of the remaining judgement on Mullaperiyar will require Dharma. Every judgement should apply Dharma. Dharma should not be destroyed in any of our judgement. My lord, As you knew that “ according to lease agreement indenture granted full right, power and liberty to the Tamilnadu to construct make...

ISRAEL-IRAN-SYRIA CONFLICTS

To: The Right Honourable Israel Prime Minister Mr. Benjamin Netanyahu, From: Athinarayanan Sanjeevraja Date: May 09, 2018 RE: Israel – Iran – Syria Conflicts Suggestion The Honourable Prime Minister Mr. Benjamin Netanyahu, I am writing this letter to you on Israel air strike in Syria yesterday. You are trying to do everything possible to stop Iranian bases in Syria. Do you believe that Iran is building permanent bases inside Syria or close to Israel? How much land has Iran captured or taken from Syria? My answer is none. But you are openly threatened Iran.   Let me put it very clearly to you, there are no winners with war but losers are there. I agreed that you have strongest military force on earth. You could easily arrange a favourable peace treaty with Syria and Iran but you don’t want to negotiate with the Syria and Iran. Israel could not exist as a permanent aggressor without US. It is my humble request you to negotiate peace treaty with Syria and Ir...

Nagorno-Karabakh conflict

To put things into perspective, Nagorno-Karabakh is not an independent entity but an occupied territory of the Azerbaijan Republic and is recognised by the international community and the UN. The fact that the Armenian Prime Minister's son is doing his military service in the Armenian army located in Azerbaijan's Nagorno-Karabakh and started an undeclared war against Azerbaijan, occupied Nagorno-Karabakh and 7 adjacent regions of Azerbaijan, and massacred and forcefully deported Azerbaijani aborigines was the main reason for the lack of peace in the region. The laws of armed conflict failed to protect the Nagorno-Karabakh civilian population, individual civilians, and civilian property. The laws of armed conflict failed to discriminate between those taking parts in the fighting in Nagorno-Karabakh. The laws of armed conflict failed to protect the environment as war causes severe or long term damage to the environment. The fact here is that there is a number of international doc...