We use a regime-switching approach to model the implementation of SNB monetary policy. The regime-switching technique is crucial for assessing the exibility inherent in the SNB's monetary policy strategy. The empirical findings support the idea that repo operations are instrumental in smoothing the implementation of monetary policy in normal times, while changes in the official operational target ccompanied by the accommodating use of repo operations produce the intended effects in periods of distress. A significant contribution also comes from some new measures designed to improve liquidity in the Swiss franc money market during the financial crisis of 2007-8.