The Swiss National Bank raised interest levels by 25 basis points, as expected at its second meeting of the current year, which ended moments ago, from 1.50% to reach 1.75%, after raising them by 50 basis points at its first meeting in March, in the bank’s endeavor to address persistent inflationary pressures.

The bank’s interest statement stated that additional interest hikes could not be ruled out for the bank, as the policy rate would be necessary to ensure price stability in the medium term.

Switzerland’s inflation rate was 2.2 percent in May, down in recent months due to lower prices for imported goods, crude products and natural gas.

The bank expects annual inflation to reach 2.2% during the current and next year, and to decline to 2.1% in 2025, compared to its previous forecast of 2.6% for the current year.