The highest body of authority in charge of the overall financial stability in Switzerland is the Swiss National Bank (SNB).
Debt financing is when companies borrow external money to fund projects, or in the case with startups, to kick start operations.
Companies, generally, whether start ups or blue chips, may at some point in time, during or before the existence of the business, need to seek some form of funding.
Generally, whether interest rates are increased or lowered, banks will always have ways of using them to their advantage.
Central banks increase the interest rates during times of increased inflation, and lowers them when inflation is low.
The relationship between interest rates and inflation is inversely related, meaning that when one goes up the other goes down, and vice versa.
From the lender’s side, interest rate is the percentage compensation received from offering a loan service. From the borrower’s side, interest rate is the percentage cost paid to acquire a loan service.