Switzerland's parliament opens debate today in an extraordinary session over the bailout of Credit Suisse.
The Swiss National Council and the Council of States begin debate today on topics related to the takeover of Credit Suisse by UBS on March 19 and is scheduled to run through Thursday, according to a report from the «AWP» (in German) news agency.
The main topics for discussion are the Swiss government's approval of 109 billion Swiss francs ($120 billion) of commitments for the bailout, which were released on the day of the takeover, and the number of audit requests received. Secondary topics are how the credits will be used, disclosure of federal government contracts, job protection, and additional emergency credit approvals.
Approval With Conditions
Various parties are staking out their positions. One is demanding regulatory guardrails to prevent another case like that of Credit Suisse from happening again. Another party is seeking a binding commitment to improve a potential future use of too-big-to-fail rules.
Should a «no» vote on the supplementary credits result, it would not torpedo their approval, but rather serve as a rebuke to the Federal Council, according to the report.
For its part, the commission of the Council of States is proposing approving the loan guarantees without any votes of dissent. But that also comes with the condition that any further government funds that might be required not be made through emergency legislation.
No PUK Decision Until Summer
Wednesday's and Thursday's sessions are slated for reconciling differences over the billion-euro emergency loans, with both chambers deliberating for two rounds scheduled for Wednesday so long as no agreement is reached. If unresolved by the end of Wednesday, both chambers return Thursday morning to deliberate on the motion of the unification conference.
For now, there has been no decision on the establishment of a Parliamentary Investigation Commission (PUK), something the National Council has unanimously called for. A decision is unlikely before summer decides on this until the summer, when the Council of States has decided, according to the report.
