Liechtenstein and the European Union

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Liechtenstein European Union
Liechtenstein and the EU in Europe
  • European Union
  • Liechtenstein
  • The Principality of Liechtenstein is not part of the European Union . Liechtenstein has been a member of the European Economic Area (EEA) since May 1, 1995 and thus participates in the EU internal market . Liechtenstein, together with the other two EEA countries Norway and Iceland, is one of the third countries that are most strongly integrated into European structures .

    At the same time, Liechtenstein has been linked to non-EEA member Switzerland in an economic , customs and currency union since 1924 .

    statistics

    With an area of ​​160 km², Liechtenstein is one of the European dwarf states . It has a resident population of 37,600. The proportion of foreigners is 33%. About half of them are EU citizens.

    63% of Liechtenstein exports go to EU countries. 92% of all direct imports come from the EU (the movement of goods with Switzerland is not included).

    prehistory

    Liechtenstein has been a member of the European Free Trade Association (EFTA) since 1991 . Liechtenstein has been linked to the organization by a special protocol since the EFTA was founded in 1960. Since 1972, through the customs treaty with Switzerland, Liechtenstein has been participating in the free trade agreement concluded by the EFTA states with the European Economic Community (EEC).

    On the basis of two referendums in 1992 and 1995, Liechtenstein joined the EEA on May 1, 1995. In the referendum on December 12, 1992, 55.8% voted for joining the EEA. The participation was 87%. On April 4, 1995, the EEA accession conditions were approved by the people with a majority of 55.9% (participation in the vote 82.1%).

    EU-Liechtenstein relations

    Through its membership in the EEA, Liechtenstein participates in the internal market of the European Union . This gives the Liechtenstein economy access to a common market of the 31 EEA member states with over 500 million people. As an EEA member, Liechtenstein participates in the formulation of the relevant EEA law (right of co-determination), but has no right to make decisions.

    Agricultural products and veterinary issues are exempt from the regulations of the EEA. An agreement that has existed between the EU and Switzerland has also applied to Liechtenstein since 2007.

    Liechtenstein's particular demographic situation is taken into account by special regulations on the free movement of persons and freedom of establishment. In particular, there is a quota regulation for taking up residence.

    Liechtenstein contributes 0.77 percent of the EEA contributions. Twice a year Liechtenstein, Iceland and Norway meet in the EEA Council at foreign ministerial level.

    In addition to its membership in the EEA, Liechtenstein participates in numerous EU programs and agencies, but without voting rights.

    EEA funding mechanism

    In return for Liechtenstein's participation in the internal market, like Norway and Iceland, the country is helping to reduce economic and social inequalities in the poorer EU member states via the EEA financing mechanism. In the period from 2004 to 2009, Liechtenstein payments amounted to 1.2 million euros per year. In December 2009, a general agreement was reached between the EU on the one hand and Norway, Iceland and Liechtenstein on the other hand to extend the financing mechanism for the years 2009 to 2014.

    Schengen

    The Swiss-Liechtenstein border at Balzers (without systematic border controls)

    Liechtenstein has been a full user of the Schengen Agreement since December 19, 2011 . Due to feared easier tax evasion, Germany and Sweden prevented Liechtenstein from joining for a long time. However, on February 15, 2011, the European Parliament approved membership. An evaluation phase lasted through 2011. The responsible Council of Ministers approved Liechtenstein's accession on December 13, 2011. By participating in the Schengen area , Liechtenstein also undertakes to work closely with the police and judiciary of the EU countries.

    Liechtenstein's entry into the Schengen area could not take place in parallel with Switzerland's in November 2008. For the transition period, a pragmatic solution has been found at the temporary Schengen external border between Liechtenstein and Switzerland: video surveillance, sporadic controls and patrols will take place.

    Upon joining the Schengen area, Liechtenstein will also participate in the Dublin Agreement . This is intended to ensure better coordination of asylum policy and the prevention of asylum abuse with the EU.

    taxes and finances

    An agreement on the taxation of interest income on foreign accounts in Liechtenstein has been in force between Liechtenstein and the EU since 2005.

    In April 2009, Liechtenstein declared that it wanted to recognize the OECD standards for the exchange of information on tax issues in the future. This should fight tax fraud and tax evasion more effectively than before. The EU is currently negotiating with Liechtenstein to conclude an anti-fraud agreement.

    outlook

    The report of the Liechtenstein government from March 2010 draws a positive overall balance of Liechtenstein's membership in the EEA. This is tailor-made for the interests of Liechtenstein, in particular for the Liechtenstein economy. An application to join the European Union is currently not on the agenda, but remains an option of Liechtenstein politics. Liechtenstein has already implemented 99.3 percent of the 1110 EU internal market directives.

    literature

    • Government of the Principality of Liechtenstein: Report and application by the government to the Landtag of the Principality of Liechtenstein regarding 15 years of membership of the Principality of Liechtenstein in the European Economic Area (EEA). Printed matter No. 17/2010. Vaduz 2010.

    Web links

    Individual evidence

    1. (p. 11) ( Memento from September 29, 2007 in the Internet Archive ) (PDF; 159 kB)
    2. The Principality of Liechtenstein and the EU ( Memento from June 11, 2010 in the Internet Archive )
    3. http://register.consilium.europa.eu/pdf/en/08/st16/st16651-re01.en08.pdf
    4. Conclusions of the 33rd meeting of the EEA Council ( Brussels , 10 May 2010) at http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/en/er/114337.pdf
    5. 2004/897 / EC: Council decision of November 29, 2004 on the signing of the agreement between the European Community and the Principality of Liechtenstein on regulations that are equivalent to those of Council Directive 2003/48 / EC in the area of ​​taxation of savings income , and approving and signing the Mutual Memorandum