The Swiss central bank lends $54 billion to Credit Suisse in an attempt to avert a global financial crisis.

(Reuters) – Credit Suisse said on Thursday it will borrow up to $54 billion from the Swiss central bank to bolster liquidity and investor confidence after a drop in its shares intensified fears of a global banking crisis.

The Zurich-based bank's announcement helped reverse some of the heavy stock market losses and restored confidence in broader financial markets, which were hit on Wednesday and in Asian trading on Thursday, as investors worried about possible runs on global bank deposits.

In its statement, Credit Suisse said it would exercise a central bank loan option of up to 50 billion Swiss francs ($54 billion). This followed assurances from Swiss authorities on Wednesday that Credit Suisse had met "the capital and liquidity requirements imposed on systemically important banks" and that it could access central bank liquidity if needed.

Credit Suisse is the first major global bank to receive an emergency bailout since the 2008 financial crisis, and its troubles have raised serious questions about whether central banks will be able to sustain their fight against inflation with aggressive interest rate hikes.