Sergio Ermotti remains convinced about the potential of China. In a newspaper interview, the CEO of Switzerland's biggest bank also commented on political challenges facing his own country.

Sergio Ermotti waved away a question of whether he fancied going into politics, adding that he was almost 60 years of age. This did not mean that he had no wishlist for the government in Bern, he told Switzerland's «Handelszeitung»: «The commitment of successful and reliable businessmen would be extremely important.»

Switzerland is becoming steadily less competitive compared with other economies. The country has fallen behind the likes of Georgia, Macedonia and Malaysia in the Ease of Doing Business Index published by the World Bank. And last but not least, the number of companies relocating to the country has almost halved since 2008, Ermotti added. Worrying trends that should alert politicians, according to the banker.

Harmful Initiatives

Current politics aside, Ermotti also expressed his concerns about the future. Swiss voters time and again were called upon to decide about initiatives that had the potential to harm the country's economy. One such attempt had been launched by the populist right which aimed to cancel the deal with the European Union (EU) which allowed Swiss companies look for new employees in the EU – the so-called free movement of people.

The use of political initiatives as a tool was important for the Swiss democracy, but some of the bids had the potential to harm the image of the country, Ermotti added.

Great Potential in China

The top banker remains optimistic about business in China. UBS recently applied to double its stake in a joint venture with a Chinese firm to 51 percent and had its bid supported by the regulator a week ago. China has seen strong growth of wealth recently and also an increase in the number of rich  people, factors that supported the business of the Swiss bank in the Far East.

«We see a great potential for us for the future, because wealth will continue to increase and because capital markets aren't yet fully developed,» Ermotti said. The diversification of where and how money is being invested will undergo strong change.

U.S. – A Strong Partner

Ermotti also believes that the U.S. was an interesting trading partner for Switzerland. He would welcome a free-trade agreement with the economy, the world's largest, he added, because the bank's customers would profit. Also, it would be very bad if the EU agreed to such a pact and Switzerland didn't.

It was in the very best interest of UBS if Swiss companies did well, and a free-trade agreement with the U.S. would help them develop further.