Bilateral cooperation
Switzerland
Switzerland and Liechtenstein enjoy very close and friendly relations. These have become
stronger especially since the end of the First World War. Numerous bilateral treaties and
agreements are proof of this. Already in October 1919, Switzerland assumed the responsibility
of safeguarding the interests of Liechtenstein and of Liechtenstein citizens through its embas
sies and consulates abroad at the request of the Liechtenstein Government. The two most important bilateral treaties still in force are the 1924 Customs Treaty and the 1980 Currency Treaty.
A Liechtenstein representation in Bern was opened with a legation in 1944, which was converted into an embassy 25 years later. Already from 1919 to 1933, Liechtenstein maintained a legation in Bern, which however had to be closed again on financial grounds. A Swiss ambassador
to Liechtenstein, residing in Bern, was accredited for the first time in 2000.
The Customs Treaty of 1924 laid the cornerstone for the successful economic development
of Liechtenstein. Through that treaty, Liechtenstein was integrated into the Swiss customs area.
In the years 1991 and 1995, the Customs Treaty was amended so that Liechtenstein can – on the
basis of respective separate agreements with Switzerland – itself become a state party to international agreements and a member of international organisations in areas covered by the Cus
toms Treaty, such as when Liechtenstein joined the EEA Agreement in 1995. Apart from its
international legal effect, the Customs Treaty also has symbolic importance for the especially
close relations between Liechtenstein and Switzerland. It has created the basis for harmonisation in the legal, social, and economic domains going far beyond its scope of application. In the
everyday life of Liechtenstein citizens, the open border is seen as extremely positive and ir
revocable.
Likewise of special significance to mutual relations is the Currency Treaty of 1980, with which
Liechtenstein – which has used the Swiss franc since 1921 as its official currency – was integrated into the currency area of Switzerland, while preserving Liechtenstein’s monetary sovereignty in principle. The monetary and currency policy of the Swiss National Bank also
Switzerland
covers Liechtenstein. The shared currency indicates the strong links in economic life
and entails parallel interests in many areas, such as issues pertaining to the financial
continues to be
the most important
bilateral partner
of Liechtenstein.
centre.
Switzerland continues to be the most important bilateral partner of Liechtenstein.
The close connection can be seen in a long list of other treaties concluded with the
Swiss Confederation and in agreements concluded with individual cantons. These treaties and agreements cover a wide range of issues, such as education, health, social security, transportation, agriculture, private insurance, intellectual property, indirect taxes
and duties as well as many areas of cross-border cooperation. The existing treaty arrange
ments require and undergo continuous adjustments. At the same time, new treaty relations are
added, such as recently in the areas of organ transplants, radiation protection, and environmental fees and taxes. The relations with Switzerland have probably never been as strong and
diverse as they are today. Liechtenstein’s foreign policy activities in recent years vis-à-vis third
countries and especially in the multilateral domain have not limited its broadly diversified cooperation with Switzerland. New opportunities – and from Liechtenstein’s perspective, also new
necessities – for cooperation always arise.
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