Source: https://rivet.global/blog/switzerland-strong-franc-currency-risk-exporters
Published: 2026-09-14 · Updated: 2026-09-14 · By Rashidatou K.

# A strong franc and foreign revenue: currency risk for Swiss exporters

How Swiss exporters measure and reduce currency risk when costs are in francs and revenue in euros or dollars: matching, timing conversions and when forwards help.

## Key takeaways

- Swiss exporters with franc costs and foreign revenue lose margin whenever the franc strengthens.
- Paying euro and dollar costs from euro and dollar revenue is the cheapest way to cut exposure.
- Converting the remaining surplus on a schedule smooths the rate and makes the franc budget predictable.
- US tariffs on Swiss goods, raised in 2025 and later reduced by agreement, add a second pressure on dollar margins.

A Jura watch component maker sells 60 percent of its output to customers in Germany and France, priced in euros. It pays 45 people in Switzerland in francs. When the euro fell from about 1.20 francs to below 0.95 over a decade, the same euro order bought steadily fewer franc salaries. Prices could not rise fast enough to make up for it.

## Measure it

Take twelve months of figures and split them by currency:

- Revenue in francs, euros and dollars.
- Costs in francs, euros and dollars.

The difference in each foreign currency is your exposure. Multiply the euro surplus by 5 percent: that is roughly what one bad year for the euro costs you. For many exporters it equals several salaries.

## Match first

The cheapest protection is spending foreign currency in that currency. Euro-priced inputs from German suppliers, EU trade fairs, sales agents in France and dollar software subscriptions can all be paid from the euro and dollar revenue they partly offset.

That requires holding euros and dollars. If every euro lands in a franc account and is converted on arrival, you pay a margin to sell euros and another to buy them back for the supplier.

## Then schedule the rest

The surplus has to become francs for payroll and Swiss costs. Converting each receipt the day it arrives takes whatever rate that day offers. Converting a planned amount each month or quarter, ahead of payroll, averages the rate and makes the franc budget predictable.

Larger exporters add forward contracts on top: a fixed rate for a known future amount. They remove uncertainty and also the benefit if the rate moves your way. See [FX forward contracts explained](/blog/fx-forward-contracts-explained).

## Tariffs on top

Dollar revenue faced a second squeeze in 2025. The US raised tariffs on Swiss goods sharply in August that year, and an agreement later in the year brought the rate down. For exporters pricing in dollars, tariff and currency moves now land on the same margin, which makes holding dollars for US costs, and converting the surplus deliberately, more useful.

## Paying into Switzerland: the local rail

| What | Detail |
|---|---|
| Local rail | SIC instant payments |
| Run by | SIX, on behalf of the Swiss National Bank |
| Settlement | Seconds, 24/7; the larger Swiss banks have accepted instant payments since August 2024 |

Source: [SIX: instant payments](https://www.six-group.com/en/products-services/banking-services/instant-payments.html). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

A Rivet business account lets a Swiss company receive dollars on US account details, and from the Growth plan euros on an IBAN and pounds on sterling details, all in its own name. Balances can be held, used to pay suppliers in 120+ countries, or converted at a rate shown before you confirm. On the Scale plan the account holds 30 currencies, francs included. Rivet is not a bank; regulated partner institutions hold the funds.

## Questions

### How do I measure currency exposure?

Split twelve months of revenue and costs by currency. Net exposure in each currency is revenue minus costs in that currency. Apply a plausible move, such as 5 percent, to see the impact.

### Should a small Swiss exporter hedge?

Start with matching and scheduled conversions. Forwards become worthwhile when a predictable foreign surplus is large enough that a 5 percent move would hurt.

### Can I invoice foreign clients in francs instead?

Some industrial buyers accept francs. Most EU and US clients prefer their own currency, and francs can make you less competitive when the currency is strong.