Indian Money in Swiss Banks rose by 50% to 7000 Cr in 2017

Money kept by Indians in Swiss Banks rose by more than 50% to Swiss Francs (CHF) 1.01 billion (Rs. 6974 Crore) in 2017, the Swiss National Bank’s annual report showed today.

Compared to the rise in money held by Indian clients, the total money kept by all clients around the world rose by just 3%.

Despite a government campaign to eliminate black money, the downward trend of such holdings which began in 2014 have seen a reversal in 2017. In 2016, Indian money declined by 45% to CHF 676 million (4760 Cr).

The Swiss bank said that the total money kept by Indians directly with the country’s banks rose to CHF 999 million (6901 Cr) in 2017 from 665 million (4590 Cr) in 2016. The money held through trusts increased to CHF 16.2 million (112 Cr) in 2017 to CHF 11 million (76 Cr) in 2016.

Indian money in Swiss banks were at a all time high in 2006 with CHF 6.5 billion (44900 Cr) which declined to almost one-tenth in a decade. Since those records rose, this is only the third time when the money has seen a rise – 12% in 2011, 43% in 2013 and 50.2% in 2017.

India and Switzerland have signed a deal in December last year that would automatically allow the two countries to share tax related information from 1 January. The two countries had signed a joint declaration on the implementation of Automatic Exchange of Information in November that mandates Switzerland to conform to global standards on automatic exchange of information. However, such an exchange will begin only in September 2019.