Indian money in Swiss banks falls by over 10%

New Delhi: Money held by Indians in Swiss banks fell by over 10% last year to 1.8 billion Swiss franc (about Rs 12,615 crore), amid an enhanced clampdown against the famed secrecy wall of Switzerland’s banking system by Indian and other governments.

The funds held by Indians with banks in Switzerland fell by CHF 215 million to CHF 1,815 million (1.98 billion in the US dollar terms), from 2,030 million Swiss franc, as per the latest data released on Thursday by the country’s central banking authority SNB (Swiss National Bank).

This is the second lowest amount of funds held by Indians in the Swiss banks and follows an increase of over 40% in the previous year, 2013.

Rise in foreign clients’ deposits

In contrast, the money held in Swiss banks by their foreign clients from across the world surprisingly rose during 2014 to 1.5 trillion Swiss franc ($1.6 trillion or Rs 103 lakh crore), from about Rs 90 lakh crore at the end of 2013 — the record low level so far.

During 2012, the Indians’ money in Swiss banks had fallen by over one-third to its lowest ever level of 1.42 billion Swiss franc (Rs. 8,530 crore).

As per the latest data, the total Indian money held in Swiss banks at the end of 2014 included 1,776 million Swiss franc or Rs. 12,350 crore held directly by Indian individuals and entities (down from 1,952 million a year ago), and another 38 million Swiss franc (down from 77.3 million Swiss francs at 2013-end) through ‘fiduciaries’ or wealth managers.

However, “amounts due to customers’ savings and deposit accounts” was only CHF 52 million (down from CHF 63 million a year ago), while over CHF 100 million was due through other banks and the remaining amount of well over one billion Swiss francs have been classified as “other amounts due to the customers” from India.

The latest data from Zurich-based SNB comes at a time when Switzerland has begun sharing foreign client details after submission of evidence of wrongdoing by India and other foreign countries.

It has been facing growing pressure from India and many other countries to share foreign client details, although its own lawmakers were resisting such measures for a long time.