Rich Germans move wealth to Switzerland

Bankers and tax lawyers say potential risks in the German election are making German millionaires nervous and moving their wealth to Switzerland.

Credit Suisse Bank in Switzerland. Photo: Reuters
Credit Suisse Bank in Switzerland. Photo: Reuters

After Germany has a new leader, the government may reintroduce wealth tax and tighten inheritance tax. A tax lawyer said this scenario has caused concern for the super-rich.

According to data from the Bank for International Settlements (BIS), deposits of German households and businesses in Swiss banks increased by nearly $5 billion to $37.5 billion in the first quarter of 2021. This figure does not include stocks, bonds or financial products. Sources close to the company said the cash flow continued to increase.

The move shows that many wealthy people still see Switzerland as a "paradise" to hide their wealth, despite the country's efforts to erase its image as a safe-haven for billionaires.

No country has more assets abroad than Switzerland, and capital inflows have accelerated in 2020, benefiting big banks like UBS, Credit Suisse and Julius Baer. Geopolitical tensions and concerns about the economic consequences of the COVID-19 pandemic further make the stable situation in Switzerland attractive to the rich in other countries.

Google Tech News

Post a Comment

Previous Post Next Post