In an economy that is increasingly internationally linked and globally dependent, the economic policy of the small country of Liechtenstein is in a special situation. Since its own influence is limited, the general conditions for business activity must be stable and favorable. In addition to political continuity, this requires a predictable legal and social order and a liberal economic order overall. This is also determined by the small State apparatus. The level of State intervention in economic processes is therefore kept low. A solid financial policy of public budgets, fast administrative channels, and a low level of bureaucracy overall are supported by restrained tax legislation.

The favorable locational factors for the financial services sector result in great financial strength with a low interest rate. This contributes to favorable investment conditions. The assets of bank clients are legally shielded through statutory bank secrecy or rather bank client secrecy. Significant in this connection is also the use of the Swiss franc on the basis of the currency union with Switzerland.

The highly developed Liechtenstein national economy with a strong export industry, efficient financial enterprises, and a broad spectrum of small and medium-size businesses, especially in the various trades, requires highly trained and educated employees. The educational institutions are at a high level. The retirement age is relatively high, and the working hours are longer than in other European States. Thanks to a high income level, employees are highly performance motivated. Relations between employers and employees are cooperative.

The key goal is to strengthen the competitiveness of businesses and to make the efforts of entrepreneurs worthwhile. Of essential importance is the integration into the European Economic Area through the EEA Agreement and into the world economy through membership in the World Trade Organization (WTO). The traditional integration into the economic and currency area of Switzerland should also not be forgotten.

Even those factors that could otherwise be seen as locational disadvantages contribute to an increase in economic strength. The lack of domestic natural resources delayed the beginnings of industrial development, but entails a structural advantage in the highly developed national economies of today. The limited labor market raised the income level and results in a rational use of labor and low unemployment. Its low level of influence abroad and its strong international dependence require Liechtenstein to rely on its own market performance, but also on an international legal order predicated on objective criteria and not on power or size. Due to the lack of any economic or export subsidies, entrepreneurs know that they must prove themselves only in the market.

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