Swiss National Bank Chair Jordan spoke with Switzerland’s national broadcaster, Schweizer Radio und Fernsehen (SRF, “Swiss Radio and Television”), saying that in many countries:
- economic growth is too low
- productivity is too low
- the level of debt is too high
- and deficits are too large
and that this is not sustainable. Jordan didn’t offer up specific solutions beyond saying that structural reforms to increase productivity and boost growth are needed. Meanwhile, central banks need a different focus:
- “It is very important that at the same time monetary policy remains geared towards price stability, rather than monetary policy being needed to finance debt, otherwise it will not end well”