Principality of Liechtenstein

The Principality of Liechtenstein is a constitutional hereditary monarchy based on a democratic and parliamentary system. This ensures a high degree of political continuity and stability. The sixth-smallest state in the world owes its name to one of the oldest noble families in Europe: the House of Liechtenstein. Since the Customs Treaty with Switzerland came into force in 1924, Liechtenstein has not only been part of the Swiss customs territory but also uses the Swiss franc as its currency.

Liechtenstein has also been a member of the European Economic Area (EEA) since 1995. Companies thus benefit from the advantages of the EU/EEA internal market, the free movement of goods, people, services, and capital. As a member of the European Free Trade Association, the country also benefits from one of the largest networks of concluded free trade agreements worldwide. The Principality of Liechtenstein is stable and sovereign, and its financial center is transparent, secure, and professional.

Ensuring this transparency and security is one of the tasks of the Liechtenstein Financial Market Authority (FMA). In addition to ensuring the stability of the Liechtenstein financial market, preventing abuse, and implementing and adhering to recognized international standards, customer protection is a key task of the FMA Liechtenstein. The FMA thus makes an important contribution to safeguarding the confidence of investors, insured persons, and creditors in the Liechtenstein financial sector.

Furthermore, banks in Liechtenstein have the highest capital adequacy of any European bank. The Principality of Liechtenstein is fully committed to the recognition and implementation of international and European standards of tax compliance and has concluded double taxation agreements and/or tax information exchange agreements with 54 countries worldwide.

Liechtenstein remains one of the few countries in the world without national debt. Rather, the country boasts substantial reserves resulting from its fiscal discipline. Accordingly, Liechtenstein's public sector enjoys considerable capital strength. Political continuity, a stable social, legal, and economic order, a liberal economic policy, and the Swiss franc as legal tender ensure the necessary stability, which is reflected in Liechtenstein's AAA rating from Standard & Poor's.