UBS Group's (UBS) potential exit from Switzerland would have "serious implications in the medium term" for the country's economy, according to a study released Friday by the Swiss Bankers Association.
"Scenarios leading to a situation where the regulatory and economic framework are largely aligned to the EU could come at a high cost for the banking sector's activities in other regions of the world," according to the study undertaken by Oliver Wyman and sponsored by the banking group.
The Swiss government should define a well-targeted regulatory framework following global standards but customized to Switzerland's specific situation, the study recommended.
The country is seeking to impose tougher banking regulations after the collapse of Credit Suisse and its subsequent acquisition by UBS. Anticipating potentially stricter banking rules, the bank has considered all scenarios, including exiting the country, according to a Reuters report Friday.
UBS did not immediately reply to a request for comment from MT Newswires.
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