Law /
USD shooting up so high for PLN [76]
The problem with CHF is that around 700000 people in Poland took CHF mortgage. If it stays like that some of them may bankrupt.
I find that extremely interesting because in 2010, the Swiss government set the exhange rate at minimum of 1 EUR : 1.20 CHF, meaning that the Swiss Franc could never get stronger than 1.20 to the Euro. Obviously, that block must have been lifted, however, i did not hear about that it was at any point.
This may not only be a blow to the Polish home owners who have mortgages in CHF (to be honest, they probably don't deserve otherwise for being that stupid), it could also have a major affect on Swiss retail and export.
When i stayed in Switzerland, the Franc went from 1 - 1:30 to 1 - 1:10 which saw many people exchanging their Francs to Euro and do ther shopping across the border in Germany, France and Italy. It was also the time when the Swiss government decided on the 1 - 1:20.