President of the Swiss National Bank (SNB) Thomas Jordan has stated that officials are “relatively comfortable” with Switzerland’s inflation prospects, according to a Le Temps report.

A day after data revealed that annual consumer price growth unexpectedly slowed in June, comments from the central bank's outgoing chief underscore that policymakers increasingly perceive the risks as relatively mild.

“All our models show inflation converging in the medium term at around 1% at constant exchange rates,” Jordan stated.

“We’re seeing fewer so-called second-round effects, which leads us to believe that we’re heading that way. The strength of the Franc also reduces risk of inflation. It’s important to continue monitoring the situation, but for the moment it’s relatively comfortable.”

Jordan, who is set to be succeeded by Vice President Martin Schlegel in October, spoke just weeks after the Swiss National Bank implemented a second consecutive interest rate cut and shortly before the French election runoff, which led to the Franc strengthening due to safe-haven flows, Swiss Info reports.

Furthermore, when questioned as to concerns over another surge in the currency, Jordan recognised the exchange rate has “an influence on monetary conditions in Switzerland.”

“Political uncertainty, in Europe and elsewhere, can have an impact on the Swiss franc, which is a safe-haven asset,” he went on to add. “This is something we need to take into consideration” and “as we’ve already proven, we’re also ready to intervene on the foreign exchange market if necessary. Only if necessary.”