SNB Sets Profit Distributions of Up to CHF 6 Billion Through 2030

The Federal Department of Finance (FDF) and the Swiss National Bank (NBHC ) have signed an agreement covering the SNB’s profit distributions for the financial years 2026 to 2030, the central bank announced in an ad hoc announcement dated 1 October 2026. Provided the SNB’s financial situation permits, up to 6 billion Swiss francs (CHF) per annum will be distributed to the Confederation and the cantons.

The new agreement applies from the 2026 financial year and replaces the agreement of 29 January 2021, which governed distributions for the financial years 2020 to 2025. The SNB said the modalities remain unchanged and that the multi-year format is intended to smooth distribution flows in the medium term.

The maximum annual distribution of CHF 6 billion comprises a base amount of CHF 2 billion, payable when net profit reaches at least CHF 2 billion, plus four possible supplementary distributions of CHF 1 billion each at net profit thresholds of CHF 10 billion, CHF 20 billion, CHF 30 billion and CHF 40 billion. The agreement text sets five tiers: a distribution of CHF 6 billion for net profit of CHF 40 billion or more; CHF 5 billion for net profit of CHF 30 billion to under CHF 40 billion; CHF 4 billion for CHF 20 billion to under CHF 30 billion; CHF 3 billion for CHF 10 billion to under CHF 20 billion; and, below CHF 10 billion, a distribution of the net profit up to a maximum of CHF 2 billion. If net profit is between 0 and CHF 2 billion, the amount remaining after deduction of the dividend is distributed to the Confederation and the cantons.

No distribution is made in the event of a net loss, and the distribution together with the dividend paid to shareholders may not result in a negative distribution reserve. The agreement describes the distribution reserve as a fluctuation reserve corresponding to a profit or loss carried forward: the non-distributed amount of the annual result is allocated to it, and any shortfall for a distribution is drawn from it.

Under the payment mechanics, the SNB transfers the profit distribution to the Federal Finance Administration following the ordinary General Meeting of Shareholders, and the Federal Finance Administration transfers two-thirds of the amount to the cantons in accordance with the distribution formula set out in art. 31 para. 3 of the National Bank Act (NBA). Under art. 31 NBA, a dividend not exceeding six percent of the share capital is paid from net profit, with one-third of any remaining net profit accruing to the Confederation and two-thirds to the cantons. The agreement’s preamble notes that the SNB determines the allocation to the provisions under art. 42 para. 2 (d) NBA, and that the portion of the annual result remaining after that allocation is deemed the distributable annual profit under art. 30 para. 2 NBA.

The Federal Council took note of the agreement on 18 September 2026, and the cantons were informed on 25 September 2026. The agreement was signed in Berne and Zurich on 1 October 2026 by FDF Head Karin Keller-Sutter, Bank Council President Barbara Janom Steiner and Governing Board Chairman Martin Schlegel.

Provisions Allocation Lowered to 8%

Under the National Bank Act, the SNB is obliged to set up provisions from its annual result to maintain the currency reserves at the level necessary for monetary policy. Citing the improvement in its equity situation in recent years, the SNB will lower the minimum allocation to the provisions from 10% to 8% as of the 2026 financial year, subject to annual approval by the Bank Council.

In explanatory notes published alongside the agreement, the SNB said the 8% minimum allocation is based on the previous year’s level of provisions. The notes state that provisions for currency reserves rose by CHF 61 billion over the 2020–2025 agreement period and that the SNB’s equity ratio has recovered from its historic lows, with the distribution reserve amounting to around CHF 22 billion at the end of 2025.

The notes state that, with a balance sheet length of around CHF 900 billion and assets consisting almost exclusively of investments denominated in foreign currencies, positive or negative annual results in the double-digit billions are common and earnings forecasts are subject to a very high level of uncertainty. According to the notes, the step model takes account of that uncertainty: the Confederation and the cantons participate in high profits when the thresholds for supplementary distributions are reached, while the distribution is reduced when profits are low and the distribution reserve shrinks.

2025 Result and Recent Distributions

For the 2025 financial year, the SNB reported an annual result of CHF 26,145.7 million, according to its published financial statements. An allocation of CHF 12,734.9 million to provisions for currency reserves left a distributable annual result of CHF 13,410.8 million, and the addition of CHF 12,937.6 million carried forward in the distribution reserve produced a net profit of CHF 26,348.4 million. The SNB paid a 6% dividend of CHF 1.5 million and a CHF 4,000 million distribution to the Confederation and cantons, leaving a distribution reserve after appropriation of profit of CHF 22,346.9 million.

For 2024, the SNB reported an annual result of CHF 80,729.1 million and a net profit of CHF 15,939.1 million, with a CHF 3,000 million distribution under the previous agreement. The balance sheet as at 31 December 2025 showed total assets of CHF 893,857.5 million and provisions for currency reserves before appropriation of profit of CHF 127,348.9 million.