Economy - overview Despite its small size and limited natural resources, Liechtensteinhas developed into a prosperous, highly industrialized, free-enterprise economywith a vital financial service sector and living standards on a par with theurban areas of its large European neighbors. Low business taxes - the maximumtax rate is 18% - and easy incorporation rules have induced about 25,000 holdingor so-called letter box companies to establish nominal offices in Liechtenstein,providing 30% of state revenues. The country participates in a customs unionwith Switzerland and uses the Swiss franc as its national currency. It importsmore than 90% of its energy requirements. Liechtenstein is a member of theEuropean Economic Area (an organization serving as a bridge between EFTA andEU) since May 1995. The government is working to harmonize its economic policieswith those of an integrated Europe.

GDP purchasing power parity - $713 million (1996 est.)

GDP - real growth rate NA%

GDP - per capita purchasing power parity - $23,000 (1996 est.)

GDP - composition by sector
agriculture: NA%
industry: NA%
services: NA%

Inflation rate - consumer price index 0.8% (1996 est.)

Labor force
total: 22,187 of which 13,576 are foreigners; 7,781 commute from Austria andSwitzerland to work each day
by occupation : industry, trade, and building 45%, services 53%, agriculture, fishing,forestry, and horticulture 2% (1995 est.)

Unemployment rate 1.1% (1996)

Budget
revenues: $455 million
expenditures: $435 million, including capital expenditures of $NA (1996 est.)

Industries electronics, metal manufacturing, textiles, ceramics, pharmaceuticals,food products, precision instruments, tourism

Industrial production growth rate NA%

Electricity - capacity 23,000 kW (1995)

Electricity - production 150 million kWh (1995)

Electricity - consumption per capita 8,000 kWh (1995 est.)

Agriculture - products wheat, barley, maize, potatoes; livestock, dairy products

Exports
total value: $2.14 billion (1994)
commodities: small specialty machinery, dental products, stamps, hardware, pottery
partners: EU and EFTA countries 60.57% (Switzerland 15.7%) (1995)

Imports
total value : $852.3 million (1994)
commodities: machinery, metal goods, textiles, foodstuffs, motor vehicles
partners : EU countries, Switzerland (1996)

Debt - external $0 (1996)

Economic aid none

Currency 1 Swiss franc, franken, or franco (SwF) = 100 centimes, rappen, or centesimi

Exchange rates Swiss francs, franken, or franchi (SwF) per US$1 - 1.3936 (January 1997),1.2360 (1996), 1.1825 (1995), 1.3677 (1994), 1.4776 (1993), 1.4062 (1992)

Fiscal year calendar year

NOTE: The information regarding Liechtenstein on this page is re-published from the 1997 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Liechtenstein Economy 1997 information contained here. All suggestions for corrections of any errors about Liechtenstein Economy 1997 should be addressed to the CIA.