The collapse of Credit Suisse in 2023 has brought to light a culture of secrecy and mistrust within the Swiss government.
A parliamentary inquiry revealed that undocumented "non-meetings" among officials hindered the government's ability to respond effectively to the bank's deteriorating situation.
This lack of transparency left key ministers uninformed and obstructed preparations for the eventual state-backed takeover by UBS.
The Swiss government's attempts to maintain its reputation as a financial haven inadvertently contributed to the crisis, as informal gatherings went undocumented due to fears of tarnishing Switzerland's image.
This secrecy created a chaotic environment where critical information about Credit Suisse's problems was not adequately communicated, leading to confusion and disarray among government officials.
The investigation found that key figures favored informal discussions over documented meetings, leaving government officials without essential documentation outlining the bank's issues or potential solutions.
Former finance minister Ueli Maurer downplayed the severity of the situation and the lack of formal communication exacerbated the challenges faced by the government.
The fallout from Credit Suisse's collapse has had significant implications for Switzerland's reputation as a global financial center, challenging the belief that governments possess a clear blueprint for managing financial crises.
The report highlights the need for a reevaluation of Switzerland's approach to financial governance, emphasizing the importance of transparency and effective communication in crisis management.
The lessons learned from the Credit Suisse debacle may shape the future of financial governance in Switzerland and beyond.