Priorities of foreign policy Foreign economic and financial centre policy Liechtenstein has a broadly diversified national economy. The high added value is generated especially by the strong industrial sector and the financial services sector. About 40% of jobs and 37% of GDP are generated by industry and manufacturing, which is an extraordinarily high level compared with other European countries. Also of central importance to economic output and the stability of the national budget is the financial centre, which generates 27% of GDP. The political trend towards more transparency and stronger international cooperation in tax matters, the slowdown of the world economy, and especially the turbulences in the Eurozone pose a major challenge to Liechtenstein as a business location. The weak euro and the strong Swiss franc are an enormous burden on industry, which is almost entirely dependent on exports. It is the task of foreign policy to advocate in favour of the interests of the Liechtenstein business location at the bilateral and multilateral level. Consequently, foreign economic and financial centre policy is to a large extent interest-driven policy. According to the allocation of responsibilities, foreign policy plays the leading role in regard to foreign economic policy. In regard to financial centre policy, foreign policy mainly plays a supporting role. Foreign policy As part of an active business location policy, the key concern of foreign economic policy is to create the most favourable framework conditions for cross-border and inter- advocates in favour of the interests of the Liechtenstein business location. national economic relations for the benefit of the private sector. This is true both of the export of goods and services and of the procurement markets. For Liechtenstein’s strongly export-oriented economy, liberalised market access regimes and national treatment guarantees are of special importance. The basis in this regard is provided by Liechtenstein’s memberships in the EEA, WTO and EFTA and its Customs Treaty with Switzerland, which continues to be very important. The Customs Treaty continues to constitute the main legal foundation for the cross-border trade in goods outside the European Economic Area. For a knowledge-based national economy like Liechtenstein’s, the protection of intellectual property is also an indispensable foundation. Liechtenstein actively takes account of this need within the framework of the memberships mentioned above. The conclusion of free trade agreements especially also contributes to the goals of foreign economic policy. Free trade agreements create a predictable, preferential framework for the further development of economic relations. They give Liechtenstein companies access to foreign markets that is at least equal to that of the most important competitors (such as companies from EU countries or the United States). Currently, Liechtenstein and the other EFTA partners have more than 23 free trade agreements in force with partners outside the EU. Great importance will continue to be attached to the expansion of the network of free trade agreements, with special attention paid to the conclusion of agreements with strategically important partners such as India. | 19