Credit Suisse is told to up its cushion

  • @ArmitageJim

The Swiss central bank has called on Credit Suisse to stage a "marked increase" its capital levels this year in preparation for the potential worsening of the eurozone crisis.

Shares in the banking giant, which employs thousands in London, fell 10 per cent on the news. The Swiss National Bank suggested suspended dividend payments or selling new shares to raise cash, as well as cutting back the amount of assets it has that need to be secured. The central bank also said that rival bank UBS should boosts its capital buffers by keeping a lid on its dividend payments.

Credit Suisse said it was among the "best capitalised and funded global banks" and exceeded current Swiss requirements.