Deposits Surge to CHF 3.5 Billion

Indian funds held in Swiss banks have witnessed a dramatic surge, reaching CHF 3.5 billion (approximately ₹37,600 crore) in 2024, according to data released by the Swiss National Bank (SNB) on June 19, 2025. This marks a threefold increase from the previous year and represents one of the sharpest year-on-year rises recorded.

Rebound Follows Historic Low in 2023

The spike in deposits comes after a steep 70% decline in 2023, when Indian holdings had fallen to a four-year low of CHF 1.04 billion. The resurgence is primarily attributed to institutional flows rather than personal accounts, SNB data suggests.

Major Growth from Financial Institutions

A significant portion of the increase stemmed from deposits by Indian financial institutions and local branches, which climbed to CHF 3.02 billion in 2024, up from CHF 427 million the previous year. In contrast, client deposits rose by only 11% to CHF 346 million (₹3,675 crore), representing just a fraction of the total.

Minor Changes in Other Financial Instruments

Guardian trust holdings saw a marginal rise to CHF 41 million, while investments in bonds and securities dipped to CHF 135 million. The SNB clarified that these figures reflect reported holdings or liabilities of Indian clients and are not necessarily linked to untaxed or “black money.”

Automatic Information Exchange Continues

Switzerland has maintained an Automatic Exchange of Information (AEOI) agreement with India since 2018. This mechanism allows for the annual sharing of account-related details between the two nations. Based on these exchanges, India has been pursuing hundreds of cases related to financial misconduct.

Complex Channels and Limited Traceability

While Swiss banking officials attribute the increase to legitimate institutional flows, Indian analysts warn that the use of complex financial channels still makes it difficult to track all funds. Some argue that not all money can be verified due to the layered structure of international financial transactions.

India Climbs Global Rankings

India has also advanced on the global banking reserve rankings, climbing from 67th to 48th place in 2024. The United Kingdom continues to top the chart with CHF 222 billion in holdings, followed by the United States with CHF 89 billion.

Concerns Over Transparency and Regulation

The sudden jump in Indian deposits has reignited concerns about financial transparency and regulatory oversight. Experts urge the need for stringent checks to ensure compliance and prevent illicit financial flows. While the rise may reflect stronger banking ties and legitimate growth, regulators remain cautious about potential misuse.

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