Economy—overview: Despite its small size and limited natural resources, Liechtenstein has developed into a prosperous, highly industrialized, free-enterprise economy with a vital financial service sector and living standards on a par with the urban areas of its large European neighbors. Low business taxes—the maximum tax rate is 18%—and easy incorporation rules have induced about 73,700 holding or so-called letter box companies to establish nominal offices in Liechtenstein, providing 30% of state revenues. The country participates in a customs union with Switzerland and uses the Swiss franc as its national currency. It imports more than 90% of its energy requirements. Liechtenstein is a member of the European Economic Area (an organization serving as a bridge between European Free Trade Association (EFTA) and EU) since May 1995. The government is working to harmonize its economic policies with those of an integrated Europe.

GDP: purchasing power parity—$730 million (1998 est.)

GDP—real growth rate: NA%

GDP—per capita: purchasing power parity—$23,000 (1998 est.)

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

Population below poverty line: NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices): 0.5% (1997 est.)

Labor force: 22,891 of which 13,847 are foreigners; 8,231 commute from Austria and Switzerland to work each day

Labor force—by occupation: industry, trade, and building 45%, services 53%, agriculture, fishing, forestry, and horticulture 2% (1997 est.)

Unemployment rate: 1.6% (1997)

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—production: 150 million kWh (1995)

Electricity—production by source:
fossil fuel: NA%
hydro: NA%
nuclear: NA%
other: NA%

Electricity—consumption: NA kWh

Electricity—exports: NA kWh

Electricity—imports: NA kWh

Agriculture—products: wheat, barley, maize, potatoes; livestock, dairy products

Exports: $2.47 billion (1996)

Exports—commodities: small specialty machinery, dental products, stamps, hardware, pottery

Exports—partners: EU and EFTA countries 60.57% (Switzerland 15.7%) (1995)

Imports: $917.3 million (1996)

Imports—commodities: machinery, metal goods, textiles, foodstuffs, motor vehicles

Imports—partners: EU countries, Switzerland (1996)

Debt—external: $0 (1996)

Economic aid—recipient: 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—1.3837 (January 1999), 1.4498 (1998), 1.4513 (1997), 1.2360 (1996), 1.1825 (1995), 1.3677 (1994)

Fiscal year: calendar year