Give 7,200 euros to each citizen? This is the sketch of the helicopter of money that arises in Switzerland

Can you imagine that for Reyes they receive 7,200 euros as a gift? In Switzerland this is a real possibility. There is a proposal underway for the country’s central bank (SNB) to give each citizen 7,500 francs. The problem right now is that you are at a stalemate, promoters are not getting enough signatures to take it to a referendum in the country. But they still have until April to do it.

The concrete proposal of the organizers / promoters is that the central bank of Switzerland deliver 53,000 million francs (52,000 million euros) to all citizens as a ‘money helicopter’ It seems to have slowed down in recent weeks.

This ‘story’ measure, printing money and distributing it among citizens, is gaining followers in recent times. However, there is a risk of generating more inflation at a time when prices are already rising at a high rate.

7,500 francs per citizen

The measure envisaged giving 7,500 francs tax-free to all citizens of the coffers of the SNB (Switzerland’s central bank), but it seems unlikely that the initiative will get enough signatures to push it through a national referendum.

The Swiss newspaper view reported that only about half of the 100,000 required signatures had been collected and the deadline of late April is slowly approaching.

“It is very difficult to collect signatures during a pandemic”, assures the newspaper Luca Volar, a local politician in the canton of St. Gallen and one of the main promoters of the plan. “We would have expected a little more support from the population.”

The initiative was launched in late 2020 as the SNB and many other central banks around the world were struggling with weak inflation. The notion of having central banks create cash out of thin air and distribute it directly to people, known as helicopter money, has gained popularity in certain circles as a way to boost the supply of money to the economy and keep prices down. healthy growth.

Although the concept dates back to Nobel Prize-winning economist Milton Friedman, those primarily responsible for monetary policymaking have generally been cautious in implementing it. SNB President Thomas Jordan has ruled it out in the past.