The cabinet has said it will not introduce any fresh measures to combat the impact of the strong franc on the domestic Swiss economy.

In its last meeting before the summer break, the cabinet reiterated that defining monetary policy is the exclusive domain of the Swiss National Bank (SNB).

The government intends to continue its efforts to support the Swiss economy, but “categorically rejects all ineffective measures and ones which would be counter-productive for the Swiss economy,” it said in a statement on Wednesday.

“The cabinet expresses complete confidence in the capacity of the SNB to take steps called for by the current situation.”

The cabinet said the increased value of the strong franc was due to the strong competitiveness of the Swiss economy, and the success of policies designed to boost growth and ensure stability.

It said the debt crises experienced by other countries had increased the attractiveness of the franc as a “safe haven” currency, which in turn added pressure on its value.

Meanwhile a report from the economics ministry said the impact of the strong franc on the price of imports was not yet clear. In many cases the lowering of production costs abroad and the effect of changes in the exchange rate of the franc against the euro had not been passed on to customers. It said that it wanted to create more transparency in the matter.

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