The case
The investment patterns of Swiss companies in 2023 marked a significant shift, with investments in foreign subsidiaries surpassing withdrawals for the first time since 2018, as reported by the Swiss National Bank (SNB).
The commentary
Swiss companies from the industry and services sectors (excluding foreign-controlled finance and holding companies) markedly ramped up investments abroad, totaling CHF 92 billion, a significant increase from the previous year. In contrast, foreign-controlled finance and holding companies decreased their direct investments abroad by CHF 43 billion.
The majority of Swiss investments, totaling CHF 59 billion, were directed to European countries. Investments outside Europe were focused on the United States (CHF 15 billion) and Asia (CHF 7 billion). In Central and South America Swiss companies reduced their investments by CHF 23 billion.
At the end of 2023, Swiss direct investments abroad amounted to CHF 1,288 billion, slightly lower than CHF 1,319 billion in 2022. Finance and holding companies continued to hold the largest share of the capital stock abroad, accounting for 37% of the total.