Switzerland: Economy
The World Factbook 1993: Switzerland Economy

Overview: Switzerland's economy - one of the most prosperous and stable in the world - is nonetheless undergoing a painful adjustment after both the inflationary boom of the late-1980s and the electorate's rejection late last year of membership in the European Economic Area. Stubborn inflation and a soft economy have afflicted Switzerland. Despite slow growth in 1991-92, the Swiss central bank had been unable to ease monetary policy in the past three years because of the threat to the Swiss franc posed by high German interest rates. As a result, unemployment is forecast to rise from 3% in 1992 to more than 4% in 1993, with inflation moving down from 4% to 3%. The voters' rejection in December 1992 of a referendum on membership in the EEA which was supported by most political, business, and financial leaders has raised doubts that the country can maintain its preeminent prosperity and leadership in commercial banking in the 21st century. Despite these problems, Swiss per capita output, general living standards, education and science, health care, and diet remain unsurpassed in Europe. The country has few natural resources except for the scenic natural beauty that has made it a world leader in tourism. Management-labor relations remain generally harmonious.

National product: GDP - purchasing power equivalent - $152.3 billion (1992)

National product real growth rate: -0.6% (1992)

National product per capita: $22,300 (1992)

Inflation rate (consumer prices): 4.1% (1992 est.)

Unemployment rate: 3% (1992 est.)

Budget: revenues $24.0 billion; expenditures $23.8 billion, including capital expenditures of $NA (1990)

Exports: $62.2 billion (f.o.b., 1991 est.) commodities: machinery and equipment, precision instruments, metal products, foodstuffs, textiles and clothing partners: Western Europe 64% (EC countries 56%, other 8%), US 9%, Japan 4% Imports: $68.5 billion (c.i.f., 1991 est.) commodities: agricultural products, machinery and transportation equipment, chemicals, textiles, construction materials partners: Western Europe 78% (EC countries 71%, other 7%), US 6%

External debt: $NA

Industrial production: growth rate 0.4% (1991 est.)

Electricity: 17,710,000 kW capacity; 56,000 million kWh produced, 8,200 kWh per capita (1992)

Industries: machinery, chemicals, watches, textiles, precision instruments

Agriculture: dairy farming predominates; less than 50% self-sufficient in food; must import fish, refined sugar, fats and oils (other than butter), grains, eggs, fruits, vegetables, meat

Economic aid: donor - ODA and OOF commitments (1970-89), $3.5 billion

Currency: 1 Swiss franc, franken, or franco (SwF)=100 centimes, rappen, or centesimi

Exchange rates: Swiss francs, franken, or franchi (SwF) per US$1 - 1.4781 (January 1993), 1.4062 (1992), 1.4340 (1991), 1.3892 (1990), 1.6359 (1989), 1.4633 (1988)

Fiscal year: calendar year