Home > Term: compulsory stockpile credit
compulsory stockpile credit
In Switzerland: credit granted to finance the mandatory stockpiles of essential raw materials and foodstuffs maintained in accordance with the Federal Law on Economic Planning for War and Emergencies of September 30, 1955. In order to facilitate the financing of stocks and reduce the costs involved, the Swiss Federal Government is fully liable to the lending banks for the repayment of credit extended. Borrowers are subject to strict formalities and controls on the part of the Federal Office for National Economic Supply. The significance of compulsory stockpiling and compulsory stockpiling credit has receded greatly since the Cold War ended in 1989. See also compulsory stockpile bill.
- Part of Speech: noun
- Industry/Domain: Banking
- Category: Investment banking
- Company: UBS
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- Stefan K
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