GENEVA, May 28: The vice-president of the Swiss National Bank defended on Saturday tough new regulatory measures, saying they do not pose a threat to Swiss banks' competitiveness.

“The new regulations are not excessive,” Thomas Jordan said in an interview with the Neu Zurcher Zeitung.

“I am convinced that the competitiveness of Swiss banks is not being threatened.”

The Swiss government last month approved new rules for major banks, including a provision that allows regulators to adjust their salary systems or ban bonuses if they seek state aid.

Parliament will consider the new rules in the coming summer and autumn sittings. If approved, the regulations could come into force in early 2012.

Jordan said that banks must “make an effort” to apply the new rules, noting they could have to build up extra capital and review their organisations.

“But I also want to stress that if these conditions are applied, then the large Swiss banks will be outstanding international finance institutions and will set themselves apart from foreign competition.”—AFP