The situation at UBS, the Swiss bank badly hit by the credit crisis, has "visibly stabilised", said Eugen Haltiner, the president of the Swiss financial regulator FINMA, in an interview with a Swiss radio station.

A year ago, UBS received billions of Swiss francs of aid from the Swiss state and the Swiss National Bank. The website of Basler Zeitung, a Swiss daily, reported that Mr Haltiner told radio DRS that he is satisfied with how the bailout worked out, as the Alpine state has now got its bailout money back and even made a profit.

Mr Haltiner added that there is even a chance that the Swiss state might be able to get rid off the toxic assets, worth SFr23 billion, that the SNB brought from UBS during the crisis. Nevertheless, he said that it is still too early for UBS to buy back these risks assets.

However, as a FINMA spokesperson told WealthBriefing in mid-September this year, buying back the toxic assets is an issue between UBS and the SNB only. FINMA would, if UBS were to plan such a buyback, simply check whether this is compatible with regards to capital requirements and the high standards the Swiss regulator has put in place.

Mr Haltiner also spoke about the more general financial situation and said that while the global situation seems to be improving, set-backs should be expected next year.