2004 in Figures Office of Economic Affairs 9490

© 2004 Fürstentum Liechtenstein

Published by: Office of Economic Affairs Bureau of Statistics Gerberweg 5, 9490 Vaduz Telephone +423 / 236 61 11 Fax +423 / 236 69 31 www.avw.llv.li

Pictures:  Municipality of  Paul Trummer,  Office of Economic Affairs, Bureau of Energy Consumption and Conservation, Vaduz  National Museum, Vaduz  Government Spokesperson’s Office, Vaduz

Printed by: Key: BVD Druck + Verlag AG A dash (-) in place of a figure 9494 indicates absolute zero. A dot (.) in place of a figure indicates that the figure is not Cover picture: available or has been omitted for Municipality of Ruggell other reasons.

2 Liechtenstein in Figures 2004

Table of contents

Geographical situation 4

Climate 6

History and constitution 8

Population 10

National economy 16

Employment 21

Agriculture 28

Industry and skilled trades 30

Trade and services 33

Transport and communication 37

Energy 39

Public finance 41

Official statistics publications 46

Liechtenstein in Figures 2004 3

Geographical situation

VADUZ A

BALZERS

PLANKEN

SCHAAN

TRIESEN

TRIESENBERG

ESCHEN

GAMPRIN

MAUREN

RUGGELL

SCHELLENBERG CH

4 Liechtenstein in Figures 2004

Area Wooded area 67 km2 42 % Agricultural area 55 km2 34 % Unproductive area 24 km2 15 % Settlement area 14 km2 9 % Total area 160 km2 100 %

Geographical limits North: 47o 16’ 14’’ north South: 47o 02’ 54’’ north West: 9o 28’ 18’’ east East: 9o 38’ 08’’ east

Municipalities: area and height

Population Area Height above sea Municipality/district density (km2) level (m) (inhabitants/km2) Vaduz 17.3 455 289 26.4 512 175 19.6 472 222 Triesenberg 29.8 884 87 Schaan 26.8 450 210 5.3 786 70 Upland 125.2 180 10.3 453 388 Mauren 7.5 472 483 6.1 472 213 Ruggell 7.4 433 248 3.5 626 271 Lowland 34.8 336 Liechtenstein 160.0 214 At 160 km2 Liechtenstein is the fourth smallest country in Europe.

Dimensions 24.6 km at longest point, 12.4 km at widest point.

Highest mountain Grauspitz: 2599 m.

Lowest point Ruggeller Riet: 430 m.

Frontiers 41.1 km with Switzerland, 34.9 km with .

Liechtenstein in Figures 2004 5

Climate

Average temperatures in Vaduz

1998-2003 2002 2003 January 1.5 oC 0.0 oC 0.5 oC February 3.0 oC 6.5 oC -1.7 oC March 7.5 oC 8.3 oC 8.1 oC April 10.1 oC 9.8 oC 10.7 oC May 15.9 oC 14.8 oC 16.1 oC June 18.5 oC 19.8 oC 22.6 oC July 18.7 oC 18.6 oC 20.0 oC August 19.5 oC 18.0 oC 22.6 oC September 14.6 oC 13.4 oC 15.2 oC October 10.9 oC 10.8 oC 7.5 oC November 4.9 oC 8.0 oC 6.9 oC December 2.5 oC 4.2 oC 2.5 oC Annual average 10.6 oC 11.0 oC 10.9 oC

6 Liechtenstein in Figures 2004

Annual sunshine levels in hours

2000 1800 1600 1400 1200 1000 800 600 400 200 0

1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Annual rainfall in mm

1400

1200

1000

800

600

400

200

0 982 983 984 985 986 987 988 989 990 991 992 993 994 995 996 997 998 999 000 001 002 003 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 2 2 2 2

Average annual temperatures in oC

12

10

8

6

4

2

0 982 983 984 985 986 987 988 989 990 991 992 993 994 995 996 997 998 999 000 001 002 003 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 2 2 2 2

Liechtenstein in Figures 2004 7

History and constitution

History 1342 Creation of the earldom of Vaduz 1396 The earldom of Vaduz becomes directly subject to the Holy Roman Emperor 1434-37 Unification of upland (earldom of Vaduz) and lowland (domain of Schellenberg) 1699 Prince Johann Adam Andreas purchases the domain of Schellenberg 1712 and the earldom of Vaduz 1719 Vaduz and Schellenberg become the Imperial Principality of Liechtenstein 1806 Inclusion in Confederation of the Rhine: Liechtenstein becomes a sovereign state 1815 Accession to the German Confederation 1852 Customs treaty with Austria 1862 A new constitution comes into force which provides for a Landtag (parliament) to represent the people 1868 Abolition of the Liechtenstein army 1919 Cancellation of the customs treaty with Austria 1921 A new constitution comes into force; its main elements still apply today 1924 Customs treaty with Switzerland, introduction of the Swiss franc as the official currency 1950 Membership of the International Court of Justice at The Hague 1960 Supplementary protocol on participation in EFTA 1972 Supplementary agreement on inclusion in Switzerland’s EC and ECSC agreements 1978 Member of the Council of Europe 1980 Currency treaty with Switzerland 1990 Liechtenstein becomes 160th member of the UN 1991 Member of EFTA 1995 Joins the European Economic Area (EEA) 1995 Joins the World Trade Organization (WTO) 1997 Foundation of Archbishopric of Vaduz

8 Liechtenstein in Figures 2004

Constitution State, The principality of Liechtenstein is a hereditary constitution constitutional monarchy, based on a democratic and parliamentary system. Power lies with the Prince and the people and is exercised by both in accordance with the provisions of the constitution (Article 2 of the constitution). Head of State HSH Prince Hans-Adam II. von und zu Liechtenstein, Herzog von Troppau und Jägerndorf, Graf von Rietberg, succeeded Prince Franz Josef II. on 13 November 1989. On 15 August 2004, the Sovereign Prince of Liechtenstein has entrusted the Hereditary Prince to exercise his sovereign powers as his representative. Government Five-member government nominated by parliament and appointed by the Prince for four years. Head of Government Otmar Hasler (FBP) Deputy Head of Government Rita Kieber-Beck (FBP) Other members: Hansjörg Frick (FBP) Dr. Alois Ospelt (FBP) Dr. Ernst Walch (FBP) Parliament 25 members elected by the people for four years in universal, direct and secret elections. Distribution of seats 2001 – 2005: 13 seats Progressive Citizens’ Party (FBP) 11 seats Patriotic Union (VU) 1 seat Free List (FL) Courts Civil and criminal cases are heard initially by the Landgericht, at appeal by the Obergericht and at supreme court level by the Oberster Gerichtshof. Public law cases are dealt with by the Administra- tive Court and the Staatsgerichtshof. The courts are all in Vaduz.

Liechtenstein in Figures 2004 9

Population

Resident population of municipalities

Municipality/ Resident population district (31.12.2003) Vaduz 5005 Triesen 4633 Balzers 4353 Triesenberg 2591 Schaan 5639 Planken 373 Upland 22594 Eschen 3993 Mauren 3625 Gamprin 1301 Ruggell 1834 Schellenberg 947 Lowland 11700 Liechtenstein 34294

10 Liechtenstein in Figures 2004

Resident population

of which % Year Inhabitants Liechten- Other other steiners nationalities nationalities 1901 7531 6419 1112 14.8% 1911 8693 7343 1350 15.5% 1921 8841 7845 996 11.3% 1930 9948 8257 1691 17.0% 1941 11094 9309 1785 16.1% 1950 13757 11006 2751 20.0% 1960 16628 12494 4134 24.9% 1970 21350 14304 7046 33.0% 1980 25215 15913 9302 36.9% 1990 29032 18123 10909 37.6% 2000 32863 21543 11320 34.4% 2001 33525 22030 11495 34.3% 2002 33863 22297 11566 34.2% 2003 34294 22508 11786 34.4%

Resident population

35000

Other nationalities 30000 Liechtensteiners

25000

20000

15000

10000

5000

0

1901 1911 1921 1930 1941 1950 1960 1970 1980 1990 2000 2001 2002 2003

Liechtenstein in Figures 2004 11

Resident foreign population by nationality

Other of which Year nationalities Swiss Austrian German Italian Other 1930 1691 436 746 301 106 102 1941 1785 584 733 300 60 108 1950 2751 1191 876 402 125 157 1960 4143 1536 1184 836 376 211 1970 7046 2518 1822 1152 938 616 1980 9302 4055 1945 1029 894 1379 1990 10909 4459 2069 1026 1071 2284 2000 11320 3805 2006 1131 1028 3350 2001 11495 3750 1997 1143 1109 3496 2002 11566 3693 1996 1140 1127 3610 2003 11786 3653 2042 1174 1176 3741

Resident population by age

Total resident Age Year population 0 - 14 15 - 64 65 + 1961 17125 4844 10901 1380 1976 24169 5978 16136 2055 1991 29386 5696 20728 2962 2000 32863 6088 23335 3440 2001 33525 6189 23826 3510 2002 33863 5741 24249 3873 2003 34294 6157 24431 3706

Age distribution of resident population (31.12.2003)

Liechtensteiners Other nationalities 100 + 95-99 90-94 85-89 80-84 75-79 70-74 65-69 60-64 55-59 50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 10-14 5-9 0-4

2000 1500 1000 500 0 05001000 1500 2000

12 Liechtenstein in Figures 2004

Resident population by marital status

separated, divorced, single married Year widowed Men Women Men Women Men Women 1961 4845 4796 3334 3254 272 624 1976 6308 5985 5317 5106 347 1106 1991 7079 6711 6634 6513 662 1787 2000 7490 7070 7555 7423 993 2332 2001 7609 7111 7812 7640 1016 2337 2002 7688 7131 7881 7722 1062 2379 2003 7809 7194 7963 7781 1109 2438

Marital status (31.12.2003)

divorced, widowed separated 4.4% 5.9%

single 43.7% married 46.0%

Marriages in 2003

Number of persons who got married 286 100.0% Liechtenstein men / Liechtenstein women 88 30.8% Liechtenstein men / Women of other nationalities 80 28.0% Men of other nationalities / Liechtenstein women 60 21.0% Men of other nationalities / Women of other nationalities 58 20.3%

Causes of death in 2003

Cause of death Deaths Men Women Infections 1 1 - Malignant cancer 51 27 24 Heart, circulation, blood 80 43 37 Respiratory organs 21 6 15 Digestive organs 3 1 2 Infirmity 11 4 7 Accident and violent deaths 5 3 2 Suicides 4 3 1 Others 23 8 15 Unknown 18 7 11 (mainly deaths reported from abroad) Total 217 103 114

Liechtenstein in Figures 2004 13

Births Liechtensteiners Other nationalities Total 450

400

350

300

250

200

150

100

50

0 1960 1970 1980 1990 2000 2001 2002 2003

Deaths Liechtensteiners Other nationalities Total 300

250

200

150

100

50

0 1960 1970 1980 1990 2000 2001 2002 2003

Surplus of births Liechtensteiners Other nationalities Total 300

250

200

150

100

50

0 1960 1970 1980 1990 2000 2001 2002 2003

14 Liechtenstein in Figures 2004

Households in 2000 (bold: number of households; italics: number of persons)

Households 13322 32884

Private households Collective 13282 households 32244 40 640

Multiple-person Single-person households households 8961 4321 27923 4321

Family Non-family households households 8705 256 27342 581

Single persons Couples without Two parents Single parents with parent(s) children with children with children 145 2978 4656 926 318 6158 18385 2481

Liechtenstein in Figures 2004 15

National economy

Currency On 26 May 1924 the Swiss franc (CHF) was declared the legal currency of Liechtenstein and all coins, bank notes and other payment media used in Switzerland were also recognised as official payment media in Liechtenstein.

Rate of inflation1

Year in % 1985 3.4 1990 5.4 1995 1.8 2000 1.6 2001 1.0 2002 0.6 1 Annual average of the Swiss 2003 0.6 national consumer prices index

16 Liechtenstein in Figures 2004

Rate of inflation1

7.0%

6.0%

5.0%

4.0%

3.0%

2.0%

1.0%

0.0%

1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 1 Annual average of the Swiss national consumer prices index

Income from gainful activity1 since 1960

Year Million CHF 1960 56.7 1 Income from gainful activity of those 1970 194.4 employed in Liechtenstein and with 1980 549.5 compulsory AHV (old-age and survivors) insurance (active resident 1990 1092.7 population minus outward frontier 2000 1867.1 commuters plus inward frontier 2001 1988.6 commuters), and contributions of 2002 2063.0 those not gainfully employed with 2003* 2020.3 voluntary AHV insurance *Reduction partially due to new salary declaration method

Old age pension scheme Assets (as at 31.12.) in million CHF Old-age and survivors Company pension Year insurance scheme (AHV) (BV) 1997 1361.4 1700.5 1998 1472.1 1912.5 1999 1583.2 2109.0 2000 1701.5 2330.9 2001 1773.4 2414.7 2002 1693.4 2277.5 2003 1785.0 .

Liechtenstein in Figures 2004 17

National Account Indicators since 1998 – at current prices

Gross domestic Gross national GDP per person GNI per product income Year employed1 inhabitant (GDP in million (GNI in million (in CHF) (in CHF) CHF) CHF) 1998 3595 163000 3534 112000 1999 4002 174000 3869 121000 2000 4195 170000 4112 125000 20012 4205 160000 3782 112000 1 Persons employed in full-time equivalents 2 Provisional numbers

Gross domestic product (GDP) in 2001 (current prices) In comparison with neighbouring countries National currency (bn.) CHF 1 (billions) Liechtenstein CHF 4.2 4.2 Switzerland CHF 422.5 422.5 Austria EURO 212.5 320.9 Germany EURO 2074.0 3131.7 1 Foreign currencies converted to CHF at yearly average rates

A distinctive feature of the Liechtenstein GDP is that it derives to a considerable extent from the work done by working personnel domiciled abroad. In 2001, 45% (12908 persons) of people at work in Liechtenstein were cross-border commuters from abroad. For this reason per capita GDP cannot be calculated from average population numbers in Liechtenstein alone. GDP per inhabitant would yield misleading results in a comparison between countries.

Gross value added in 2001 (current prices) By economic sector

General services Financial services 25% 30%

Industry and goods production 39%

Households, agriculture 6%

18 Liechtenstein in Figures 2004

Number of enterprise units

Change in Economic sector 2001 2002 2003 % 01/03 Sector 1 126 128 124 -1.6% (Agriculture, forestry) Sector 2 600 599 594 -1.0% (Industry, commerce) Sector 3 2180 2288 2326 6.7% (Trade and services) Size of firms 1-9 employees 2432 2553 2573 5.8% 10-49 employees 399 386 394 -1.3% 50-249 employees 63 61 62 -1.6% > 250 employees 12 15 15 25.0% TOTAL 2906 3015 3044 4.7%

Social policy in Liechtenstein x sickness and maternity insurance (1910) x occupational accident insurance (1910) x non-occupational accident insurance (1932) x old-age and survivors insurance (1952) x family allowance (1957) x bad weather compensation in the construction industry (1957) x assistance for housing development (1958) x disability insurance (1959) x occupational illnesses protection (1961) x savings premiums (1964) x supplementary allowances for old-age, survivors and disability insurance (1965) x social assistance for individual cases (1966) x unemployment insurance (1970) x blind persons allowance (1971) x widowers pension (1981) x maternity benefits (1982) x insolvency compensation (1985) x company pension scheme (1989)

Social security agreements with Switzerland, Austria, Germany and Italy.

Liechtenstein in Figures 2004 19

Liechtenstein as a location

Advantages x social, legal and economic stability x high level of political continuity and stability x political neutrality and neutral neighbour countries x little state intervention in business process x liberal economic policy x conservative-liberal stance of government and people x well-trained population eager to work x long working hours x cooperation between employers and workers x liberal tax legislation with privileged holding company status x sound public finances x little bureaucracy x direct administrative channels x rapid processing of application and request x flexible public administration x high competitiveness x favourable conditions for investment x strong financial capacities, low interest rates x efficient banking system x banking laws including confidentiality x customs and currency union with Switzerland x member of the European Economic Area x good infrastructure x high quality of life; short distances to travel to work, recreation areas nearby x broad cultural spread

Disadvantages x no own raw materials x limited labour market x marginal position in Swiss economic area x minor international importance x heavily dependent on other countries x no measures to promote economic development x high price of land for buildings x high costs of buildings

20 Liechtenstein in Figures 2004

Employment

Employment

Resident of which population of which Year inward total other in gainful outward (31 Dec) commuters employed nation- employ- commuters alities ment 1880 3137 . . . . 1891 3282 . . . . 1901 3120 . . . . 1911 3479 . . . . 1921 4323 . . . . 1930 4436 . 1501 4586 . 1941 4874 723 101 4161 676 1950 6018 380 7001 6338 2007 1960 7575 179 17001 9096 3893 1970 9336 368 2601 11569 6240 1980 12266 723 3297 14840 8212 1990 13970 9501 6885 19905 11933 2000 16710 1105 11192 26797 16960 2001 17011 1136 12908 28783 18728 2002 16886 1102 13030 28814 18805 2003 16824 1182 13413 29055 19081 1 Estimate

Liechtenstein in Figures 2004 21

Employment by economic sector since 1950

30000

SektorSector 3 25000 SektorSector 2 SektorSector 1

20000

15000

10000

5000

0 1950 1960 1970 1980 1990 2000 2001 2002 2003

Employment by economic sector since 1950

100% Sector 3 90% Sector 2 80% Sector 1

70%

60%

50%

40%

30%

20%

10%

0% 1950 1960 1970 1980 1990 2000 2001 2002 2003

Employment since 1950

30000

Inward commuters

25000 Resident population in gainful employment in Liechtenstein

20000

15000

10000

5000

0 1950 1960 1970 1980 1990 2000 2001 2002 2003

22 Liechtenstein in Figures 2004

Employment by economic sector (31.12.2003)

Resident of which population in Inward Employed in outward gainful commuters Liechtenstein commuters employment Sector 1 (agriculture and forestry) 352 10 44 386 Sector 2 (industry + skilled trades) 5962 414 7525 13073 Mining and quarrying 39 1 9 47 Processing industries 4034 341 6647 10340 Energy and water supply 160 5 46 201 Construction trades 1729 67 823 2485 Sector 3 (trade and services) 10510 758 5844 15596 Retail, repairs 1517 185 957 2289 Hotels and restaurants 701 58 184 827 Transport, communications 525 54 549 1020 Banking and insurance 1200 45 834 1989 Real estate, informatics, business 1442 133 1149 2458 services Legal consultancy, trust management 1265 23 881 2123 Public administration 1327 19 158 1466 Education 675 69 255 861 Health and social services 1103 129 484 1458 Other services 755 43 393 1105 Total 16824 1182 13413 29055

Employment by economic sector (31.12.2003)

Agriculture and Trade and forestry services 1.3% 53.7%

Industry and skilled trades 45.0%

Liechtenstein in Figures 2004 23

Persons employed by economic sector (2002) Compared with neighbour countries

Sector 1 Sector 2 Sector 3 Agriculture and Industry and Trade and forestry skilled trades Services Liechtenstein 1.3% 44.9% 53.9% Switzerland 4.2% 25.2% 70.6% Austria 5.7% 29.7% 64.6% Germany 2.4% 27.8% 69.8%

Persons employed by economic sector (2002)

Sector 1 Sector 2 Sector 3

100%

80%

60%

40%

20%

0%

Liechtenstein Switzerland Austria Germany

24 Liechtenstein in Figures 2004

i Employment in Liechtenstein (31.12.2003)

Inward commuters

Resident in Liechtenstein Inward 53.8% commuters 46.2%

Inward commuters by residence

Switzerland 45.2% Austria 52.0%

Others 2.8% Other nationalities at the workplace

Other Liechtensteiners nationalities 34.3% 65.7%

Liechtenstein in Figures 2004 25

Total employment as at 31 December 2003 - Summary

Resident permanent 34294 Inhabitants in gainful Employed in non-permanent 476 employment Liechtenstein 34770 16824 29055

Not in gainful employment

17946

Inward commuters

13413

Outward commuters 1182

Other nationalities

resident in

Liechtenstein In gainful Employed in 5972 employment Liechtenstein

Liechtensteiners 16824 15642 resident in

Liechtenstein

9670

26 Liechtenstein in Figures 2004

Labour market

Total Employed Year Total Unemployed in job Vacancies in (31 Dec) unemployed % of employed seekers Liechtenstein 1990 29 91 45 19905 0.2 1991 106 193 77 20444 0.5 1992 154 251 49 20037 0.8 1993 286 365 38 20756 1.4 1994 217 262 46 21109 1.0 1995 200 258 27 21932 0.9 1996 366 397 47 22523 1.6 1997 314 388 32 23120 1.4 1998 482 557 28 23855 2.0 1999 299 367 31 25343 1.2 2000 290 352 28 26797 1.1 2001 354 410 66 28783 1.2 2002 413 477 44 28814 1.4 2003 651 727 27 29055 2.2

Unemployment figures as at 31 December Percentage of total employed

2.5%

2.0%

1.5%

1.0%

0.5%

0.0%

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 Unemployed persons registered at the public employment office .

Liechtenstein in Figures 2004 27

Agriculture

Farmland (excluding the alps) accounts for some 23% of Liechten- stein’s 16000 ha. In 2003, 1% of all those employed in Liechtenstein worked in agriculture and horticulture, while 0.2% were employed in forestry. Two thirds of the gross agricultural return come from the dairy industry. With milk production at 13737 tonnes in 2003 Liechtenstein was more than self-sufficient in milk and milk products.

28 Liechtenstein in Figures 2004

Agricultural holdings by size

Size in ha 1955 1965 1975 1985 1995 Total 1365 898 582 448 401 < 5 1120 621 372 263 253 5 – 10 203 168 83 60 20 10 – 20 34 91 78 59 49 > 20 8 18 49 66 79

Number of agricultural holdings

1400 > 20 ha 1200 10 - 20 ha 5 - 10 ha < 5 ha 1000

800

600

400

200

0 1955 1965 1975 1985 1995

Livestock and milk production

1955 1965 1975 1985 1995 Cattle 5262 5224 5625 6228 6089 of which cows 2436 2376 2129 2777 2656 Pigs 3950 4458 3890 3784 2738 Sheeps 541 832 1861 2373 3118 Goats 368 95 43 125 206 Poultry 21003 9964 2573 2464 2728 Milk production 4300 5683 6270 12814 12729 (in 1000 kg)

Liechtenstein is a fodder-growing country. Some 2400 ha of its agricultural land are used for cattle and other fodder animals, while mountain pasture accounts for a further 2000 ha. Around 1100 ha are used for arable farming, vegetables, fruit and wine production (60000- 100000 liter per year).

Liechtenstein in Figures 2004 29

Industry and skilled trades

Industrial export since 19501

Year Million CHF 1950 15 1960 83 1970 333 1980 887 1990 2213 2000 4622 1 2001 4422 Only firms which are members of 2002 4294 the Liechtenstein Chamber of 2003 4646 Commerce and Industry

Exports by group of countries (2003)

Switzerland 595 million CHF 12.8% Other countries 2051 million CHF EEA 44.1% 2000 million CHF 43.1%

30 Liechtenstein in Figures 2004

Industrial exports by economic area since 19811

in million CHF

5000 4500 OtherÜbrige coun Lätriesnder Schweiz Switzerland 4000 EU + EFTA (ohne Schweiz) EU + EFTA (excluding Switzerland) 3500 3000

2500 2000 1500 1000 500 0

81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 9 9 9 1 19 1 19 1 19 19 19 19 19 19 19 19 19 19 1996 19971998 1999 2000 2001 2002 2003

Main export partners (Year 2003)

1. USA 5. Italy 2. Germany 6. Taiwan 3. Switzerland 7. Hongkong 4. France 8. Spain

1 Staff in foreign branches of industrial firms (as at 31.12.2003)

Number of Number of employees foreign Sales, Research, 3 Production Total branches administration development Europe 2 133 8934 9692 700 19326 America 28 3084 1376 136 4596 Asia 29 1483 1043 13 2539 Australia 4 279 16 - 295 Africa 1 104 13 - 117 Total 195 13884 12140 849 26873 1 only firms which are members of the Liechtenstein Chamber of Commerce and Industry

2 without the Trübbach plant of Unaxis Balzers Ltd. in Switzerland 3 organisations in other countries in which Liechtenstein firms have a majority holding

Liechtenstein in Figures 2004 31

Structure

Liechtenstein has a broadly diversified economic structure with a significant emphasis on industrial production. In comparison with other national economies, Liechtenstein is more strongly industrial and less service-oriented than generally assumed.

Despite the small size of the country, the Liechtenstein national economy covers 15 of the 16 economic segments in the international classification, more than most small european states. The most important branches of the heavily export-oriented industrial sector are mechanical engineering, plant construction, manufacturing of precision instruments, dental technology, and the food-processing industry. In all of these areas, the emphasis is less on the production of mass and inexpensive goods, but rather on the development of high quality, high-tech products.

Many industrial firms are active in very specialized market niches. Through intense research and development work, domestic companies have achieved the status of global market leaders in their areas.

In addition to many large companies, the many small and medium-size businesses make up the backbone of industry. The average business in Liechtenstein has less than 10 employees, but these employees distinguish themselves by high qualifications and productivity.

32 Liechtenstein in Figures 2004

Trade and services

Tourists staying in hotels and guest houses

Hotels and Beds Overnight Year Arrivals guest houses1 available1 stays 1960 59 1060 40136 76362 1970 70 1415 72421 145247 1980 64 1760 85033 182443 1990 60 1387 77735 149861 2000 49 1314 62894 133485 2002 47 1260 49752 108319 2003 43 1194 50207 107152 1 as at August

Arrivals and Overnight stays

Overnight stays Arrivals

200000 180000 160000 140000 120000 100000 80000 60000 40000 20000 0

1965 1970 1975 1980 1985 1990 1995 2000 2001 2002 2003 Liechtenstein in Figures 2004 33

Banks

(in million CHF) 1980 1990 2000 2002 2003 Nominal balance 4364 17348 36964 32665 34908 Net profit 20 59 549 252 332 Number of employees 485 1144 1773 1830 1629 in Liechtenstein

Nominal balance (million CHF)

40000

35000

30000

25000

20000

15000

10000

5000

0 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002

Total staff working in Liechtenstein

2000

1800

1600

1400

1200

1000

800

600

400

200

0 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002

Client assets (as at 31.12.) in million CHF

1995 2000 2002 2003 Net client deposits 1,2 30265 70613 58602 65639 Relevant capital 20518 28397 25558 27707 Trusts2 5342 13670 12035 10121 Total client assets 56124 112680 96194 103467 1 Client deposits offset against items relevant to balance 2 incomplete figures

34 Liechtenstein in Figures 2004

Domestic investment companies

2000 2001 2002 2003 Net assets (million CHF) 3038 5601 6098 11978 Individual portfolios 66 108 148 183 Number of enterprises 44 72 90 107 Number of employees 17 22 30 33

Net assets (million CHF) 14000

12000

10000

8000

6000

4000

2000

0 2000 2001 2002 2003

Domestic insurance companies

2000 2001 2002 2003 Gross premiums written 334.3 497.7 672.6 1474.7 (million CHF) Investment assets (million CHF) 1565 1870 2350 3730 Technical provisions (million CHF) 1350 1500 1940 3250 Equity (million CHF) 186.8 266.3 281.1 475.1 Number of enterprises 14 19 21 23 Number of employees 74 98 119 126

Gross premiums written and investment assets (million CHF)

Gross premiums written Investment assets

4000

3500

3000

2500

2000

1500

1000

500

0 2000 2001 2002 2003

Liechtenstein in Figures 2004 35

Domicile-establishing and holding companies

A distinction is drawn between: x companies trading in Liechtenstein (require a permission to trade or a licence; subject to capital and earnings tax) x domicile-establishing and holding companies (must be entered on Commercial Register; subject to special company tax and coupon tax)

Activities of domicile-establishing and holding companies: x grouping of international capital and economic interests x grouping or control of direct investments x real estate management x licence exploitation for intangible rights x all types of services x private investment and investment management x distribution of investment income to family welfare bodies, charities and other users

Forms of companies x association x limited company x limited liability company x cooperative x establishment (Anstalt) x foundation x trust enterprise x trust x ordinary company x undisclosed partnership and occasional company x collective company (public trading company) x limited partnership

36 Liechtenstein in Figures 2004

Transport and communication

Motor vehicles

Motor vehicles Cars Year per 1000 per 1000 (01 July) number number inhabitants inhabitants 1970 8208 392 6210 297 1980 15269 592 12569 487 1990 21233 746 16891 594 2000 28447 866 21784 672 2001 29608 883 22626 688 2002 30463 909 23265 694 2003 30746 907 23524 694 2004 31220 910 23935 698

Liechtenstein in Figures 2004 37

Number of vehicles

35000

30000

25000

20000

15000

10000

5000

0 1970 1980 1990 2000 2001 2002 2003 2004

Number of cars

30000

25000

20000

15000

10000

5000

0 1970 1980 1990 2000 2001 2002 2003 2004

Road traffic accidents

1970 1980 1990 2000 2002 2003 Accidents 338 344 340 424 582 565 Injuries 90 126 115 150 138 147 Fatalities 12 9 3 3 - 5

Post and public transportation

1975 1985 1995 2002 2003 Post offices 12 12 12 12 12 Number of letters posted in 1000s 8306 11978 16856 16164 13951 Number of parcels posted in 1000s 227 393 445 335 455 Post bus travellers in 1000s 1603 2026 3008 3361 3476

38 Liechtenstein in Figures 2004

Energy

Thermalgraphic imaging for detection of heat losses

Energy consumption/imports

(in MWh) 1980 1990 2000 2002 2003 Electricity 144955 221176 302018 318340 329582 Firewood 11625 12407 25419 16265 21510 Coal1 1661 304 195 98 106 Fuel oil1 443941 420929 260123 287249 294995 Diesel oil1 37863 69417 79646 66600 71296 Petrol1 121175 233050 223819 213790 226867 Liquid gas1 27101 3684 1530 1173 1262 Natural gas1 . 140705 296992 336717 360203 Total 788321 1101672 1189742 1240232 1305821 Self supply 66569 67819 103494 93792 77762 Consumption per 31 38 36 37 38 inhabitant 1 100% import

Liechtenstein in Figures 2004 39

Energy consumption in 2003

Firewood 1.6%

Electricity Natural gas 25.2% 27.6%

Coal, liquid gas 0.1% Fuel oil Petrol 22.6% 17.4%

Diesel oil 5.5%

Energy consumption

MWh 1400000 ElectricityElectricity FirewoodFirewood 1200000 FuelFuel oil oil Diesel oil PePetroltrol Natural gas gas

1000000

800000

600000

400000

200000

0 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 20 20 20 20

40 Liechtenstein in Figures 2004

Public finances

Taxes in Liechtenstein

1. Taxes on natural persons:

PROPERTY AND INCOME TAX (national tax with 160 to 200% surtax of the municipalities) x 1.62 to 8.51‰ property tax x 3.24 to 17.01% income tax

REAL ESTATE GAINS TAX x 3.24 to 34.02% of the real estate profit

DEATH DUTY, INHERITANCE TAX AND GIFT TAX x progressive according to degree of relationship and size of assets x rate of tax: - death duty 0.5 to 5% - inheritance tax 0.5 to 27%

2. Company taxes:

CAPITAL AND EARNINGS TAX x levied on companies trading in Liechtenstein x capital tax: 2‰ x earnings tax: 7.5 to 20%

COUPON TAX x levied on capital interest coupons from legal persons, bonds, etc. x rate of tax: 4%

Liechtenstein in Figures 2004 41

STAMP DUTY x stamp duty on domestic equities: usually 1% of the issue value with a tax-free allowance of CHF 250000.-- x transaction duty on transfers of securities: 1.5 resp. 3‰ of the value x Fee on insurance premiums: 2.5% on life insurance premiums, 5% on all other insurance premiums

FORMATION TAX (DUTY) x upon formation of a company and capital increase if there is no stamp tax to pay x rate of tax: 0.3 to 1% of the company capital with a tax-free allowance of CHF 250000.--, resp. 2‰ for foundations, minimum CHF 200.--

HOLDING AND OFFSHORE COMPANIES x capital tax on capital and reserves of domicile-establishing and holding companies x rate of tax: 1‰, minimum CHF 1000.--

TAXES ON FOREIGN INSURANCE COMPANIES x instead of capital and earnings tax x 1% on premium receipts from life and old-age insurance x 2% on all other premium receipts

CAPTIVES x 0.5 to 1‰ capital tax on equity capital

INVESTMENT COMPANIES x 0.4 to 1‰ on property

3. Excise duties:

VALUE-ADDED TAX x 7.6% on supplies of goods and services, some at reduced rate of 3.6 or 2.4%

MOTOR VEHICLE TAX x levied on registered vehicles x CHF 50.-- to CHF 2200.-- depending on capacity or weight

CUSTOMS DUTIES

4. Other taxes and duties: LOCAL AUTHORITY - on the national property and income SURCHARGE tax (maximum 250%) TICKET TAX - 10% of the entrance fee for public events DOG LICENCE - CHF 20.-- to CHF 200.-- HOUSEHOLD CHARGE - Flat-rate charge for use of local infrastructure: CHF 50.-- TRADE TAX - CHF 128.-- to CHF 4848.-- (Gewerbeumlage)

42 Liechtenstein in Figures 2004

National and local finances National budget current account Liquidity revenue and expenditure in million CHF

1960 1970 1980 1990 2000 2002 2003 Revenue 15.8 75.3 202.5 361.1 825.4 776.9 793.9 Expenditure 9.7 49.7 139.8 294.3 594.5 759.3 676.6 Surplus 6.1 25.6 62.7 66.8 230.9 17.6 117.3

Total national budgets in million CHF

Surplus (+) Revenue Expenditure % investments deficit (-) 1960 15.8 16.0 39.1% -0.2 1970 75.7 88.1 43.6% -12.4 1980 205.8 183.8 24.0% 21.9 1990 365.8 405.3 27.4% -39.5 2000 1129.6 684.4 13.1% 445.2 2001 804.1 751.4 15.0% 52.7 2002 1091.5 1122.0 19.0% -30.6 2003 1077.4 1052.9 21.9% 24.5

National capital expenditure account in million CHF

1960 1970 1980 1990 2000 2002 2003 Own investments 4.3 29.9 27.2 87.2 56.1 60.2 93.5 Investments to local authorities, public companies, private 2.0 8.5 16.9 23.8 33.2 29.5 33.6 sector, other countries Total investments 6.3 38.4 44.1 111.0 89.3 89.8 127.0

Total budgets of the municipalities in million CHF

Surplus (+) Revenue Expenditure % investments deficit (-) 1980 86.7 86.2 60.1% 0.5 1990 146.3 145.6 52.1% 0.7 2000 265.5 223.4 41.4% 42.1 2001 311.1 268.8 48.2% 42.3 2002 299.6 273.0 45.1% 26.7 2003 266.1 249.3 41.3% 16.9

Liechtenstein in Figures 2004 43

National budget 2003 Current account expenditure By subject category in million CHF

Personnel costs 142.2 21.0% 800 Expenditure on personPersonalaufwandnel costs 80.7 11.9% expeSachaunditurefwand on materials materials 700 regularLaufen contributionsde Beiträge Regular contributions 312.0 46.1% finaFinancialnzzuweisungen allocations Financial allocations 118.7 17.5% 600 interestZinsaufwand/Kursverluste paid/portfolio losses Interest paid / depreciAbschr.ations Finanzve on armssetsögen 12.7 1.9% portfolio losses 500 Depreciations on 10.4 1.5% assets 400 Liquidity 676.6 100.0% Expenditure 300 Depreciations on port- 68.6 folio securities 200 Total 745.2

100

0 1960 1970 1980 1990 2000 2002 2003

By area of responsibilities in million CHF

General 900 81.5 10.9% administration Public safety 44.0 5.9% 800 Education 120.8 16.2% 700 Culture, leisure 27.5 3.7%

Health 18.9 2.5% 600 Social welfare 173.1 23.2% Transport 31.8 4.3% 500 Environment, town 5.2 0.7% and country planning 400 Economy 28.1 3.8% Finance, taxation 214.3 28.8% 300

Total 745.2 100.0% 200

100

0 1960 1970 1980 1990 2000 2002 2003

44 Liechtenstein in Figures 2004

National budget 2003 Current account profit By earnings groups in million CHF

Taxes and duties 598.9 75.4% 900 VermögenInvestmentsserträge income Charges, fees 40.8 5.1% 800 RückerstattungenRepayments from vonlocal Repayments from Gemeiauthoritiesnden 16.6 2.1% local authorities Entgelte,Charges, Gebührenfees 700 Investments income 137.7 17.3% SteuernTaxes and un dduties Abgaben Total 794.0 100.0% 600

500

400

300

200

100

0 1960 1970 1980 1990 2000 2002 2003

Tax yields 2003 (State and Communes) Fiscal equalisation

Taxes, duties and public charges Total tax yields1 Gross state taxes2 (million CHF) Taxes on assets and profit & income 118.2 17.5% 41.2 6.9% Capital and earnings tax 106.4 15.7% 106.4 17.8% Company tax 90.6 13.4% 90.6 15.1% Value-added-tax 166.8 24.6% 166.8 27.6% Motor vehicle tax 9.6 1.4% 9.6 1.6% Coupon tax 74.9 11.1% 74.9 12.5% Stamp duty and public charge 40.5 6.0% 39.5 6.6% Customs duty and LSVA 38.1 5.6% 38.1 6.3% Sundry others 31.8 4.7% 31.8 5.3% Total yield 676.9 100.0% 598.9 100.0%

Fiscal equalisation (million CHF) Commune Total State share Tax revenue share of the state 598.9 480.2 118.73 of the commune 75.8 - 75.84 Total yield 674.7 480.2 194.5 1 Total revenue of government/public authorities from taxes (fees) (state taxes plus commune surcharge, commune taxes)

2 Gross revenue from taxes (fees) in the state budget (before fiscal equalisation) 3 Fiscal equalisation incl. statutory tax-revenue quotas 4 Local tax revenue (without budgetary levy): commune surcharge on taxes on assets and profit & income, ticket tax, dog-licence fees.

Liechtenstein in Figures 2004 45

Official statistics publications

Published

Liechtenstein in Figures Annually Statistical yearbook Annually Babies’ names Annually Banking statistics Annually Census (several volumes) 10-yearly Construction statistics Annually/quarterly Consumer prices index Monthly Economics trends Quarterly Education statistics Annually Energy statistics Annually Financial market statistics Annually List of publications Occasionally Marital status statistics Annually Motor vehicle statistics Annually National accounts Annually Naturalisation statistics Annually New motor vehicles on the road Monthly/annually Resident population Half-yearly Statistics on agricultural holdings 5-yearly Statistics on jobs and occupation Annually Statistics on livestock Occasionally Tourism statistics Annually/summer, winter seasons

In some cases the specialised official statistics publications are more detailed and up-to-date than the corresponding tables in the Statistical Yearbook. All publications are available on internet www.avw.llv.li. The Statistical Yearbook costs CHF 35.-- plus CHF 5.-- p+p.

More information you will find at the portal of Principality of Liechtenstein www.liechtenstein.li

46 Liechtenstein in Figures 2004