Twenty-one cantonal banks benefit from explicit government guarantees from their canton. The cost of capital of these cantonal banks is therefore lower than for private banks, up to 800 million francs per year. In the event of a crisis, it is therefore the taxpayer who bears the cost, which represents a significant risk.
The figure 800 Mio. Fr. cost of capital
The figure 800 Mio. Fr. cost of capital
The Figure
