Economy Of 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)
 
Investment gross fixed  
Population below poverty line NA
 
Household income or consumption by percentage share
lowest 10%: NA
highest 10%: NA
 
Distribution of family income - Gini index  
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 agriculture 1.3%, industry 47.4%, services 51.3% (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.)
 
Public debt  
Agriculture products wheat, barley, corn, potatoes; livestock, dairy products
 
Industries electronics, metal manufacturing, dental products, ceramics, pharmaceuticals, food products, precision instruments, tourism, optical instruments
 
Industrial production growth rate NA
 
Electricity production  
Electricity production by source  
Electricity consumption  
Electricity exports  
Electricity imports  
Oil production  
Oil consumption  
Oil exports  
Oil imports  
Oil proved reserves  
Natural gas production  
Natural gas consumption  
Natural gas exports  
Natural gas imports  
Natural gas proved reserves  
Current account balance  
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
 
Reserves of foreign exchange gold  
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

 

 

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This information was reproduced in part from the CIA World Fact book.

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