There are lots of talking points for delegates to the World Economic Forum in Davos this week, but there is one that was not on the agenda—the appreciation in the value of the Swiss Franc, which has risen between 14 and 18 francs since last week. For billionaires like Mukesh Ambani and Bill Gates, it may not matter but Davos attracts academics, journalists, scientists, NGOs and economists. For them, an average stay of five days in what is already one of the most expensive countries in the world, could mean some heftier bills than previously expected.
A dollar today buys a Davos delegate 88 Swiss centimes, down from 97 centimes a month ago. One consolation is that accommodation is pre-paid and transport around the town is by free shuttle. Once inside, food and drink are provided by individual sponsors. Yet, there are extras. Getting there is by road or rail, or a limo. On Monday, fares were 14% higher than a week ago. Then there are the bars and cafes where delegates meet for a quiet chat. A Johnnie Walker Blue at the Belvedere Hotel, the favourite watering hole, will cost $41 today, about $6 more than last year. Similarly, a bottle of Dom Perignon will cost about $400, up from $343 before the Swiss National Bank’s announcement. For those who like to take time off to ski, even that will cost more this time around. Delegates may spend time debating the health of the global economy but many will be counting their pennies.