Indian Funds in Swiss Banks Surge to ₹37,600 Crore in 2024, Highest Since 2021
New Delhi/Zurich – In a significant financial development, Indian money held in Swiss banks more than tripled in 2024, reaching 3.5 billion Swiss francs (approx. ₹37,600 crore), according to the Swiss National Bank (SNB). The surge was largely driven by funds routed through local branches and other financial institutions.
Interestingly, while the overall figure witnessed a dramatic spike, direct customer deposits by Indian clients grew modestly by just 11%, totaling 346 million Swiss francs (~₹3,675 crore)—only a tenth of the total Indian-linked funds.
This rise marks a sharp rebound from 2023, when Indian funds in Swiss banks had plunged 70% to a four-year low of 1.04 billion francs. The current level is the highest since 2021, when the total had reached CHF 3.83 billion.
⚠️ Note: These figures do not reflect the volume of “black money” allegedly held by Indians in Swiss accounts. The SNB data includes only declared funds reported by Swiss banks and does not account for assets held under third-party entities or in indirect accounts.
Breakdown of Indian-Linked Funds in 2024:
- CHF 3.02 billion: Held via other banks (up from CHF 427 million in 2023)
- CHF 346 million: Customer deposits (up from CHF 310 million)
- CHF 41 million: Held via fiduciaries or trusts (up from CHF 10 million)
- CHF 135 million: Held in bonds, securities, and financial instruments (down from CHF 293 million)
The total liabilities towards Indian clients stood at CHF 3.54 billion by year-end 2024.
India’s Global Ranking Improves
India climbed to the 48th position in terms of funds held in Swiss banks, up from 67th in 2023, but still below the 46th spot held in 2022. In comparison:
- UK topped the chart with CHF 222 billion
- US held CHF 89 billion
- West Indies came third with CHF 68 billion
Neighboring countries:
- Pakistan saw a dip to CHF 272 million
- Bangladesh reported a sharp rise from CHF 18 million to CHF 589 million
What Does This Mean for Black Money Investigations?
Swiss authorities clarified once again that not all Indian assets in Swiss banks can be labeled as illicit or black money. In fact, Switzerland has been actively collaborating with Indian tax authorities under the Automatic Exchange of Information (AEOI) agreement since 2018.
Under this agreement:
- Financial details of Indian residents are shared annually with Indian tax authorities
- Hundreds of cases have been investigated under mutual legal assistance and information-sharing frameworks
Alternative Data: BIS View
The Bank for International Settlements (BIS), considered a more accurate source for non-bank individual deposits, reported a 6% rise in such Indian funds, totaling USD 74.8 million (~₹650 crore). This includes both deposits and loans of Indian clients with Swiss-domiciled banks.
The BIS data had dropped significantly in 2021, 2022, and 2023 before this recent uptick.
Conclusion:
While the jump in Indian-linked Swiss funds is notable, it stems largely from institutional holdings rather than personal accounts. Regulatory frameworks like AEOI have increased transparency, and the distinction between legitimate holdings and illicit assets remains crucial in interpreting these numbers.
