Overview
Principality, western Europe.
It is located between Switzerland and Austria. Area: 62 sq mi (160 sq
km). Population (2005 est.): 34,800. Capital: Vaduz. The
Liechtensteiners are descended from the Alemanni tribe that came into
the region after ad 500. Languages: German (official), Alemanni dialect,
Walser dialect. Religions: Christianity (predominantly Roman Catholic;
also Protestant); also Islam. Currency: Swiss franc. The eastern
two-thirds of Liechtenstein’s small territory is composed of the
foothills of the Rhätikon Massif, part of the central Alps. The western
section of the country is occupied by the Rhine River floodplain.
Liechtenstein has no natural resources of commercial value, and
virtually all raw materials, including wood, have to be imported.
Manufacturing includes metalworking, pharmaceuticals, optical lenses,
electronics, and food processing. A tourist centre, Liechtenstein is
also a centre of banking because of its stable political situation and
its absolute bank secrecy. It is a constitutional monarchy with one
legislative house; its chief of state is the prince, and the head of
government is the prime minister. The Rhine plain was occupied for
centuries by two independent lordships of the Holy Roman Empire, Vaduz
and Schellenberg. The principality of Liechtenstein, consisting of these
two lordships, was founded in 1719 and remained part of the Holy Roman
Empire. It was included in the German Confederation (1815–66). In 1866
it became independent, recognizing Vaduz and Schellenberg as unique
regions forming separate electoral districts. In 1921 it adopted Swiss
currency, and in 1923 it joined the Swiss customs union. A coalition
that ruled Liechtenstein for almost 60 years dissolved in 1997. Into the
early 21st century Prince Hans Adam II continued his long-standing
battle for constitutional changes that would increase his powers.
Profile
Official name Fürstentum Liechtenstein (Principality of
Liechtenstein)
Form of government constitutional monarchy with one legislative house
(Diet [25])
Chief of state Prince1
Head of government Head of the Government (Prime Minister)
Capital Vaduz
Official language German
Official religion 2
Monetary unit Swiss franc (CHF)
Population estimate (2008) 35,500
Total area (sq mi) 62
Total area (sq km) 160
1In August 2004 the prince turned over most official day-to-day
responsibilities to his son but did not rescind the role of chief of
state.
2The designation of Roman Catholicism as the “state church” per
article 37 of the constitution was under review in 2008.
Main
small western European principality located between Switzerland and
Austria. Its capital is Vaduz.
Geography
The eastern two-thirds of the country is composed of the rugged
foothills of the Rhätikon Mountains, part of the central Alps. The
highest peak is Grauspitz, which rises to 8,527 feet (2,599 metres), and
much of the principality is at an elevation above 6,000 feet (1,800
metres). The lower slopes of the mountains are covered by evergreen
forests and alpine flowers, while their bare peaks are blanketed by
snow. The mountains contain three major valleys and are drained by the
Samina River. The western section of the principality is occupied by the
Rhine River floodplain, which, together with the valley of the Ill
River, forms a triangular lowland widening northward. The river valley
was once marshy, but a drainage channel built in the 1930s has made its
rich soils highly suitable for agriculture.
The climate of Liechtenstein is mild and is greatly affected by the
warm southerly wind known as the foehn. Annual precipitation ranges,
according to location, from about 35 to 47 inches (900 to 1,200 mm),
though some areas in the mountains can receive as much as 75 inches
(1,900 mm). In winter the temperature rarely falls below 5 °F (−15 °C),
while in summer the average daily maximum temperature varies from the
high 60s to the low 80s F (about 20 to 28 °C). These conditions allow
for the cultivation of grapes and corn (maize), which is unusual in a
mountainous area.
Liechtenstein has a remarkable variety of vegetation. Water milfoil
and mare’s-tail as well as reeds, bulrush, bird’s eye primrose, and
orchids can be found. The forests comprise a mixed woodland with copper
beeches, common and Norway maple, sycamore, linden, elm, and ash.
Liechtenstein is also rich in wildlife, including red deer, roe deer,
chamois, hares, marmots, blackcocks, pheasants, hazel grouse,
partridges, foxes, badgers, martens, polecats, stoats, and weasels.
Liechtenstein is a constitutional monarchy. Its head of state is the
prince, who succeeds to the throne by heredity through the male line as
determined by the regulations of the princely house. The constitution of
1921 provides for a unicameral Landtag, or parliament, which consists of
25 members elected to four-year terms. The traditional regions of Vaduz
and Schellenberg are still recognized as unique regions—the Upper
Country (Oberland) and the Lower Country (Unterland), respectively—and
they form separate electoral districts. All citizens age 18 or older who
live in the principality are eligible to vote in national elections.
The government consists of a prime minister and four other cabinet
officials (with at least two officials from each of the two electoral
districts), who are appointed by the prince on the recommendation of the
Landtag. The 11 Gemeinden (communes) are governed autonomously—but under
government supervision—by mayors and city councils, elected every three
years. To the south, the more industrial Upper Country contains the
communes of Vaduz, Balzers, Triesen, Triesenberg, Schaan, and Planken.
The Lower Country, to the north, is divided into the communes of Eschen,
Mauren, Gamprin, Ruggell, and Schellenberg. The government maintains a
nominal police force, but the standing army was abolished and neutrality
proclaimed in 1868 (defense of the principality is the responsibility of
Switzerland).
Liechtenstein has no natural resources of commercial value, and
virtually all raw materials, including wood, have to be imported. All of
the principality’s forested areas are protected in order to maintain the
ecology of the mountain slopes and to guard against erosion. There is no
heavy industry, but small manufacturing concerns are spread throughout
the principality. Production includes metalworking, pharmaceuticals,
precision instruments, electronic equipment, food processing, and the
manufacture of consumer goods. In 1921 Liechtenstein adopted the Swiss
franc as its currency, and in 1923 it joined a customs union with
Switzerland.
Few workers are employed in agriculture, but the average farming unit
is fairly large, and the biggest concerns concentrate on livestock and
dairying. Crops include corn, potatoes, and cereals. Vineyards are few
and are split into small units. The Alpine slopes are used for grazing
during the summer.
Tourism is a leading sector of Liechtenstein’s economy and is
sponsored by the government. Most visitors come from the surrounding
European countries and centre their activities on Vaduz. The
registration of tens of thousands of foreign firms in Liechtenstein
provides a source of tax income. The principality has also become a
centre of banking because of its stable political situation and its laws
providing absolute bank secrecy. In the late 20th century, however,
Liechtenstein became a centre for money laundering, and its laws were
subsequently altered to prohibit the opening of accounts anonymously.
There is a network of excellent roads connecting Liechtenstein with
its neighbours. The railway, part of the Paris-Vienna express route,
passes through the northern sections of the country. There is no
airport.
Ethnic Liechtensteiners, who comprise about two-thirds of the
population, are descended from the Alemanni tribe that came into the
region after ad 500. Although the official language is German, most of
the population still speaks an Alemanni dialect containing local
variations in pronunciation and vocabulary. Walsers, descendants of
immigrants from the Swiss canton of Valais, settled in Triesenberg at
the end of the 13th century and continue to speak a particularly
distinctive form of the language. About four-fifths of the population
are Christians (with about three-fourths of that total being Roman
Catholics).
Post-World War II industrialization resulted in a shift of people to
the larger communes. The most populous communes are Vaduz, the
administrative and commercial centre, and Schaan, the principal
industrial community. Nevertheless, only about one-fifth of the
population is classified as urban.
Matters of public health are the responsibility of a committee of
public health, which is headed by a state medical officer.
Liechtenstein’s small medical institutions are supplemented by the
excellent neighbouring Swiss facilities, to which the principality
contributes support. Social security is sustained by a variety of
compulsory insurance schemes; the financing of these comprehensive plans
is shared by employers, employees, and the government.
Education is supervised by the National Board of Education and is
compulsory beginning at age 7. The school system consists of primary
schools, secondary schools, a vocational school, grammar school,
commercial high school, music school, and a technical college. There is
no university in the principality.
The world-famous art collections of the princes of Liechtenstein,
exhibited in the Engländerhaus in the centre of Vaduz, include
outstanding works of many 17th-century Dutch and Flemish painters. There
is also a State Art Collection (1969). The Liechtenstein Postal Museum
(founded in 1930) exhibits a large stock of stamps, including national
issues since 1912. The Liechtenstein National Museum in Vaduz houses
primarily early and Roman artifacts. The Liechtenstein National Library
was established in 1961 as a public foundation. A large personal art
collection of the Liechtenstein family also is displayed at the
Liechtenstein Museum in Vienna (which reopened in 2004 after having been
closed since 1938). The Liechtenstein Institute conducts research on
topics relating to the country, especially in the sciences, economics,
and history.
History
The Rhine plain has always been the focus of settlement. For
centuries the valley was occupied by two independent lordships of the
Holy Roman Empire, Vaduz and Schellenberg. The principality of
Liechtenstein, consisting of these two lordships, was founded in 1719
and remained part of the Holy Roman Empire. It was included in the
Confederation of the Rhine from 1806 to 1815 and in the German
Confederation from 1815 to 1866. In 1866 Liechtenstein became
independent. Throughout most of its history, Liechtenstein was a quiet,
rural corner of the world that was largely unaffected by its European
neighbours, maintaining its neutrality in both World Wars I and II.
After World War II, however, the country underwent a remarkably rapid
period of industrialization, led by Francis Joseph II, who served as
prince from 1938 until his death in 1989.
Francis Joseph II was succeeded by his son Hans Adam II, under whom
Liechtenstein joined the United Nations (1990), the European Free Trade
Association (1991), the European Economic Area (1995), and the World
Trade Organization (1995). Relations between the Landtag and the prince
were often tense. The prince offered several constitutional amendments
that would strengthen his role, and he frequently threatened to relocate
to Austria if his wishes were not granted. In a constitutional
referendum in 2003, voters endorsed wider powers for the prince,
including the right to veto legislation and the ability to implement
emergency powers and to dismiss the government (even if it retained
majority support in the Landtag); the referendum also gave citizens the
right to call a vote of confidence in the prince, which could result in
his removal. In 2004 Hans Adam’s son, Crown Prince Alois, assumed the
day-to-day responsibilities of royal governance, though his father
officially remained head of state. In 2006 the principality celebrated
its 200th anniversary.
