Swiss try to cool the franc

Switzerland's government proposed a Sfr2bn (£1.5bn) package yesterday to cushion the impact of the soaring franc on its economy, and pledged to support any measures the central bank deemed necessary to tame the safe-haven currency.

The government has set up a task force to work out the details of the package ahead of parliament's autumn session.

Swiss officials are coming under increasing pressure as the franc's gains start eroding economic growth. Even globally diversified companies such as the drug firm Roche and watch maker Swatch are reporting an impact on earnings and the franc is also weighing on the banking sector.