Liechtenstein

Background:

The Principality of Liechtenstein was established within the Holy Roman Empire in 1719; it became a sovereign state in 1806. Until the end of World War I, it was closely tied to Austria, but the economic devastation caused by that conflict forced Liechtenstein to enter into a customs and monetary union with Switzerland. Since World War II (in which Liechtenstein remained neutral), the country's low taxes have spurred outstanding economic growth. Shortcomings in banking regulatory oversight have resulted in concerns about the use of the financial institutions for money laundering. Liechtenstein has, however, implemented new anti-money-laundering legislation and recently concluded a Mutual Legal Assistance Treaty with the US.

Geography Liechtenstein

Location:
Central Europe, between Austria and Switzerland

Geographic coordinates:
47 16 N, 9 32 E

Map references:
Europe

Area:
total: 160 sq km
water: 0 sq km
land: 160 sq km

Area - comparative:
about 0.9 times the size of Washington, DC

Land boundaries:
total: 76 km
border countries: Austria 34.9 km, Switzerland 41.1 km

Coastline:
0 km (doubly landlocked)

Maritime claims - as described in UNCLOS 1982 (see Notes and Definitions):
none (landlocked)

Climate:
continental; cold, cloudy winters with frequent snow or rain; cool to moderately warm, cloudy, humid summers

Terrain:
mostly mountainous (Alps) with Rhine Valley in western third

Elevation extremes:
lowest point: Ruggeller Riet 430 m
highest point: Grauspitz 2,599 m

Natural resources:
hydroelectric potential, arable land

Land use:
arable land: 25%
permanent crops: 0%
other: 75% (1998 est.)

Irrigated land:
NA sq km

Natural hazards:
NA

Environment - current issues:
NA

Environment - international agreements:
party to: Air Pollution, Air Pollution-Nitrogen Oxides, Air Pollution-Sulfur 85, Air Pollution-Sulfur 94, Air Pollution-Volatile Organic Compounds, Biodiversity, Climate Change, Desertification, Endangered Species, Hazardous Wastes, Ozone Layer Protection, Wetlands
signed, but not ratified: Air Pollution-Persistent Organic Pollutants, Climate Change-Kyoto Protocol, Law of the Sea

Geography - note:
along with Uzbekistan, one of only two doubly landlocked countries in the world; variety of microclimatic variations based on elevation

People Liechtenstein

Population:
33,436 (July 2004 est.)

Age structure:
0-14 years: 17.8% (male 2,950; female 3,014)
15-64 years: 70.5% (male 11,745; female 11,837)
65 years and over: 11.6% (male 1,598; female 2,292) (2004 est.)

Median age:
total: 38.8 years
male: 38.3 years
female: 39.3 years (2004 est.)

Population growth rate:
0.86% (2004 est.)

Birth rate:
10.65 births/1,000 population (2004 est.)

Death rate:
6.94 deaths/1,000 population (2004 est.)

Net migration rate:
4.85 migrant(s)/1,000 population (2004 est.)

Sex ratio:
at birth: 1 male(s)/female
under 15 years: 0.98 male(s)/female
15-64 years: 0.99 male(s)/female
65 years and over: 0.7 male(s)/female
total population: 0.95 male(s)/female (2004 est.)

Infant mortality rate:
total: 4.77 deaths/1,000 live births
female: 3.07 deaths/1,000 live births (2004 est.)
male: 6.47 deaths/1,000 live births

Life expectancy at birth:
total population: 79.4 years
male: 75.8 years
female: 83.02 years (2004 est.)

Total fertility rate:
1.51 children born/woman (2004 est.)

HIV/AIDS - adult prevalence rate:
NA%

HIV/AIDS - people living with HIV/AIDS:
NA

HIV/AIDS - deaths:
NA

Nationality:
noun: Liechtensteiner(s)
adjective: Liechtenstein

Ethnic groups:
Alemannic 86%, Italian, Turkish, and other 14%

Religions:
Roman Catholic 76.2%, Protestant 7%, unknown 10.6%, other 6.2% (June 2002)

Languages:
German (official), Alemannic dialect

Literacy:
definition: age 10 and over can read and write
total population: 100%
male: 100%
female: 100%

Government Liechtenstein

Country name:
conventional long form: Principality of Liechtenstein
conventional short form: Liechtenstein
local short form: Liechtenstein
local long form: Fuerstentum Liechtenstein

Government type:
hereditary constitutional monarchy on a democratic and parliamentary basis

Capital:
Vaduz

Administrative divisions:
11 communes (Gemeinden, singular - Gemeinde); Balzers, Eschen, Gamprin, Mauren, Planken, Ruggell, Schaan, Schellenberg, Triesen, Triesenberg, Vaduz

Independence:
23 January 1719 Imperial Principality of Liechtenstein established; 12 July 1806 established independence from the Holy Roman Empire

National holiday:
Assumption Day, 15 August

Constitution:
5 October 1921

Legal system:
local civil and penal codes; accepts compulsory ICJ jurisdiction, with reservations

Suffrage:
18 years of age; universal

Executive branch:
chief of state: Prince HANS ADAM II (since 13 November 1989, assumed executive powers 26 August 1984); Heir Apparent Prince ALOIS, son of the monarch (born 11 June 1968)
elections: none; the monarch is hereditary; following legislative elections, the leader of the majority party in the Diet is usually appointed the head of government by the monarch and the leader of the largest minority party in the Diet is usually appointed the deputy head of government by the monarch
cabinet: Cabinet elected by the Parliament, confirmed by the monarch
head of government: Head of Government Otmar HASLER (since 5 April 2001) and Deputy Head of Government Rita KIEBER-BECK (since 5 April 2001)

Legislative branch:
unicameral Parliament or Landtag (25 seats; members are elected by direct, popular vote under proportional representation to serve four-year terms)
election results: percent of vote by party - FBP 49.90%, VU 41.35%, FL 8.71%; seats by party - FBP 13, VU 11, FL 1
elections: last held 11 February 2001 (next to be held by NA 2005)

Judicial branch:
Supreme Court or Oberster Gerichtshof; Court of Appeal or Obergericht

Political parties and leaders:
Patriotic Union (was Fatherland Union) or VU [Heinz FROMMELT]; Progressive Citizens' Party or FBP [Matt JOHANNES]; The Free List or FL [Dr. Pepo FRICK, Elisabeth TELLENBACH-FRICK, Adolf RITTER]

Political pressure groups and leaders:
NA

International organization participation:
CE, EBRD, EFTA, IAEA, ICCt, ICRM, IFRCS, Interpol, IOC, ITU, OPCW, OSCE, PCA, UN, UNCTAD, UPU, WCL, WHO (observer), WIPO, WTrO

Diplomatic representation in the US:
chief of mission: Ambassador Claudia FRITSCHE
chancery: 1300 Eye Street NW, Suite 550W, Washington, DC 20005
telephone: [1] (202) 216-0460
FAX: [1] (202) 216-0459

Diplomatic representation from the US:
the US does not have an embassy in Liechtenstein, but the US Ambassador to Switzerland is also accredited to Liechtenstein

Flag description:
two equal horizontal bands of blue (top) and red with a gold crown on the hoist side of the blue band

Economy Liechtenstein

Economy - overview:
Despite its small size and limited natural resources, Liechtenstein has developed into a prosperous, highly industrialized, free-enterprise economy with a vital financial service sector and living standards on a par with its large European neighbors. The Liechtenstein economy is widely diversified with a large number of small businesses. Low business taxes - the maximum tax rate is 20% - and easy incorporation rules have induced many holding or so-called letter box companies to establish nominal offices in Liechtenstein, providing 30% of state revenues. The country participates in a customs union with Switzerland and uses the Swiss franc as its national currency. It imports more than 90% of its energy requirements. Liechtenstein has been a member of the European Economic Area (an organization serving as a bridge between the European Free Trade Association (EFTA) and the EU) since May 1995. The government is working to harmonize its economic policies with those of an integrated Europe.

GDP:
purchasing power parity - $825 million (1999 est.)

GDP - real growth rate:
11% (1999 est.)

GDP - per capita:
purchasing power parity - $25,000 (1999 est.)

GDP - composition by sector:
agriculture: NA%
industry: 40%
services: NA% (1999)

Population below poverty line:
NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices):
1% (2001)

Labor force:
29,000 of whom 19,000 are foreigners; 13,000 commute from Austria, Switzerland, and Germany to work each day (31 December 2001)

Labor force - by occupation:
industry 47.4%, services 51.3%, agriculture 1.3% (31 December 2001 est.)

Unemployment rate:
1.3% (September 2002)

Budget:
revenues: $424.2 million
expenditures: $414.1 million, including capital expenditures of $NA (1998 est.)

Industries:
electronics, metal manufacturing, dental products, ceramics, pharmaceuticals, food products, precision instruments, tourism, optical instruments

Industrial production growth rate:
NA%

Agriculture - products:
wheat, barley, corn, potatoes; livestock, dairy products

Exports:
$2.47 billion (1996)

Exports - commodities:
small specialty machinery, connectors for audio and video, parts for motor vehicles, dental products, hardware, prepared foodstuffs, electronic equipment, optical products

Exports - partners:
EU 62.6% (Germany 24.3%, Austria 9.5%, France 8.9%, Italy 6.6%, UK 4.6%), US 18.9%, Switzerland 15.7%

Imports:
$917.3 million (1996)

Imports - commodities:
agricultural products, raw materials, machinery, metal goods, textiles, foodstuffs, motor vehicles

Imports - partners:
EU, Switzerland

Debt - external:
$0 (2001)

Economic aid - recipient:
none

Currency:
Swiss franc (CHF)

Currency code:
CHF

Exchange rates:
Swiss francs per US dollar - 1.3467 (2003), 1.5586 (2002), 1.6876 (2001), 1.6888 (2000), 1.5022 (1999)

Fiscal year:
calendar year

Communications Liechtenstein

Telephones - main lines in use:
19,900 (2002)

Telephones - mobile cellular:
11,400 (2002)

Telephone system:
general assessment: automatic telephone system
domestic: NA
international: country code - 423; linked to Swiss networks by cable and microwave radio relay

Radio broadcast stations:
AM 0, FM 4, shortwave 0 (1998)

Radios:
21,000 (1997)

Television broadcast stations:
NA (linked to Swiss networks) (1997)

Televisions:
12,000 (1997)

Internet country code:
.li

Internet Service Providers (ISPs):
44 (Liechtenstein and Switzerland) (2000)

Internet users:
20,000 (2002)

Transportation Liechtenstein

Railways:
total: 18.5 km
standard gauge: 18.5 km 1.435-m gauge (electrified)
note: owned, operated, and included in statistics of Austrian Federal Railways (2002)

Highways:
total: 250 km
paved: 250 km
unpaved: 0 km

Waterways:
none

Pipelines:
gas 20 km (2003)

Ports and harbors:
none

Airports:
none (2003 est.)

Military Liechtenstein

Military - note:
defense is the responsibility of Switzerland

Transnational Issues Liechtenstein

Disputes - international:
Liechtenstein's royal family claims restitution for 1,600 sq km of land in the Czech Republic confiscated in 1918

Illicit drugs:
has strengthened money-laundering controls, but money laundering remains a concern due to Liechtenstein sophisticated offshore financial services sector