Recent forecasts and market updates suggest a challenging outlook for the Singapore Dollar (SGD) against the Swiss Franc (CHF). In early January 2025, the Monetary Authority of Singapore (MAS) transitioned to a more accommodative monetary policy for the first time since 2020, aimed at addressing lethargic economic growth and slowing inflation rates. By April 2025, MAS further eased its stance, responding to rising U.S. tariffs and subsequently downgraded Singapore's GDP growth forecast for the year to a range of 0% to 2%. Analysts predict that such policy shifts could weaken the SGD in the face of ongoing economic pressures.
At the same time, the Swiss Franc has faced its own headwinds. Following the imposition of high tariffs on Swiss exports by the U.S. in July 2025, the Swiss National Bank (SNB) ramped up its foreign currency purchases to counteract the CHF's appreciation, indicating concerns over export competitiveness. The SNB also reduced its key policy interest rate in March 2025 amidst persistent low inflation and global economic uncertainties, which has further complicated the overall economic environment for Switzerland.
Market data shows the SGD to CHF exchange rate at recent lows around 0.6167, just 1.0% below its three-month average of 0.623. This trading pattern reflects a stable range of 2.5% from 0.6160 to 0.6312. Analysts are cautious, suggesting that with the current economic adjustments in Singapore and the adverse external pressures from the U.S. tariffs impacting Switzerland, the SGD may remain under pressure, potentially leading to further weakening against the CHF.
In summary, both currencies are grappling with significant economic challenges, yet the MAS’s proactive measures to stimulate growth juxtaposed with the SNB’s intervention efforts suggest a complex interplay in the SGD-CHF exchange dynamics. Stakeholders in international transactions should remain vigilant to these developments as market conditions evolve.
