The Swiss National Bureau of Statistics reported that inflation in the country was 0 percent last month, down 0.3 percent from March.
The inflation rate fell in hotels and other accommodation, while prices for clothing and vegetables rose. In addition, the core inflation rate, which excludes fresh and seasonal food and energy, fell by 0.6 percent. Economists believe that the slowdown in inflation was caused by imports, especially energy.
In addition, the Swiss franc strengthened against all major currencies in April as tariffs and fiscal policy in the United States helped make the franc a safe haven for investors.
Switzerland has a historically low inflation rate. The Swiss National Bank (SNB), the central bank, expects this year’s average inflation rate to be just 0.4 percent. Deflation is likely to occur in Switzerland, which will force the SNB to lower interest rates to 0 percent, reports swissinfo.
