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Switzerland Switzerland

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Switzerland

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EconomicPoliticalStructural

Switzerland – Quick View
ECR score90.31 (Mar 2011)
ECR rank3 (Mar 2011)
Economic
GDP 2010USD 476.53 billion
GNI per capita 2009USD 46,990
FDI inflow 2009USD 25,256 million
Inflation 20100.7%
Foreign Exchange Reserves 2010USD 194,713.89 million
Central bank assets 2009USD 2,463,311.16 million
Unemployment rate 20094.1%
Political
Government typeFederal Republic
Economic freedom score81.1
Freedom of information score6th rank
Corruption perception index8th rank
Doing Business Ranking27th
Structural
Birth rate 200910 (per 1,000 people)
Population balance 20090-19 years - 21.1%
Population balance 200920-39 years - 26.6%
Population balance 200940-64 years (35.5%)
Population balance 2009Above 65 years - 16.80%
Life expectancyMale - 79.8 years
Life expectancyFemale - 84.4 years
Mortality rate10 (per 1,000 people)
Literacy rate 200399%
Internet access (Broadband connection)2.6 million

[Top] Economic Overview

Key sectors driving the economic growth in the country include micro technology, biotechnology, pharmaceuticals, banking and insurance. The country’s economy is benefited from a developed service sector and is largely dependent on foreign trade.

(Source: swissworld.org)

Real gross domestic product

In 2010, the country recorded a real GDP of CHF 495.85 billion, increasing 2.6% as compared to 2008.Switzerland Real GDP

(Source: State Secretariat for Economic Affairs)

Nominal gross domestic product

In 2010, the country recorded a nominal GDP of CHF 546.24 billion, increasing 2% over 2009.

Switzerland Nominal GDP

(Source: State Secretariat for Economic Affairs)

GDP growth rate

The country’s GDP experienced growth from 2003 to 2007. However, the country’s economic situation in 2008 and 2009 has seen a downfall. Howver, in 2010, GDP grew at 2.6%, as compared to -1.9% in 2008.

Switzerland Real GDP Growth Rate

(Source: State Secretariat for Economic Affairs)

Gross domestic product per capita

The nation’s GDP per capita at current price for 2010 was USD 67,047.31.

(Source: IMF)

Gross national income (GNI)

The nation’s gross national income (GNI) per capita PPP is USD 46,990 for 2009, as compared to USD 42,220 for 2008.

(Source: World Bank)

Foreign trade of Switzerland

The foreign trade of Switzerland contributes the highest shares to the GDP. Its major trading partners are industrialized countries, who account for 76.5% of exports and 86.6% of imports.

(Source: Swiss Statistics)

Foreign Trade of Switzerland (CHF million)

 

 

Import

Export

Balance

2009

160,187.00

180,533.90

20,347.00

2008

186,883.60

206,330.40

19,446.80

2007

183,577.80

197,532.70

13,954.90

2006

165,410.30

177,474.80

12,064.50

2005

149,094.30

156,977.30

7,883.00

2004

136,986.50

146,312.30

9,325.80

2003

128,595.50

135,472.20

6,876.70

2002

128,207.10

135,740.80

7,533.70

2001

130,052

131,717.10

1,665.10

2000

128,615.30

126,549.10

-2,066.20


(Source: Swiss Statistics)

Tax rate

There is no centralized tax system in Switzerland. Some taxes are levied by federal authorities, whereas others are levied by the cantons (states) and the communes (lowest level of state). There are significant differences on tax levied by each canton. The yearly highest marginal tax rates are given below.

 

Tax Rates (2005-2009)

 

2005

2006

2007

2008

2009

Highest marginal tax rate, corporate tax rate (%)

21.3

21.3

21.3

21.2

21.2

Highest marginal tax rate, individual tax rate (%)

40.4

40.4

40.4

40.0

40.0

Total tax rate (% of profit)

29.9

28.8

29.1

28.9

29.7

 

(Source: World Bank)

Inflation rate

The inflation rate (CPI) in 2010 is confirmed at 0.7%.

Switzerland Inflation Rate 

(Source: Swiss Statistics)

FDI inflow

Favorable monetary policy and a stable political system of Switzerland have been successful to attract many foreign direct investments.

 

Foreign Direct Investment in Switzerland – by country ( CHF million)

 

2005

2006

2007

2008

2009

Europe

24,000

29,870

56,755

-1,055

47,206

North America

-26,048

8,953

4,825

14,300

-22,399

Central and South America

878

162

-8,816

-394

1,744

Asia, Africa and Oceania

-14

147

-45

-231

-272

Total

– 1,184

39,132

52,719

12,620

26,280

 (Source: Swiss National Bank)

Banking sector assets

The banking sector assets declined by 22.84% from 2007 to 2009. 

Switzerland Banking Sector Assets

(Source: Swiss statistics)

[Top] Financial Indicators & Government Financial

In 2010, the total population of country was 3.4 million. The number of males and females in the total population were 1.71 million and 1.69 million respectively.  The country’s population grew by 20% in last ten years, as compared to total population of 2.84 million in 2000.

(Source: Central Statistics)

Gender balance

The gender ratio in the country is slightly imbalanced as number of males per 100 females is 101.1 (2010).

Panama Population by Gender

(Source: Central Statistics, Central Statistics)

The majority of the population, about 32.8%, belongs to the age group of 15-34 years. People aged 65 years and above are the lowest as they form only 6.7% of total population.

(Source: eclac.cl)

Panama Population by age group

(Source: eclac.cl)

Life expectancy

The average life expectancy in Panama in the period 2005-2010 was 75.6 years. For the same period, the life expectancy for males and females was 73 years and 78.2 years respectively.

(Source: eclac.cl)

Mortality rate and birth rate

In 2009, mortality rate (per thousand inhabitants) was 4.5. Infant mortality rate in 2009 was 12.2 per thousand live births. For the same period the birth rate in the country was 19.8 per thousand inhabitants.

(Source: Central Statistics)

Net migration

Net migration rate in Panama during 2005 – 2010 was 0.7 migrants per 1000 population. Percentage of immigrants from the country during 2010 was 3.4%. Females accounted for 51.3% of the total migrant population.

(Source: iom.int)

International migrant stock till mid 2010 was recorded at 121,000 people. This was approximately 3.5% of the entire population.

(Source: UN Data)

Rural/ Urban population ratio

Urban population in Panama was registered at 68.7% of total population in 2010. Growth of urban and rural population during 2005-2010 was 2.8% and 1.6% respectively.

(Source: eclac.cl)

Ethnic environment

Ethnic groups present in the Panama are:

  • Mestizo (mixed African, Amerindian, and European ancestry): 70%
  • Amerindian and mixed (West Indian): 14%
  • Caucasian: 10%
  • Amerindian: 6%

The majority of the population in the country are Catholic Roman.

(Source: state.gov, atp.gob.pa)

Human development index

The country ranks 54th out of 169 countries on the Human Development Index 2010 conducted by the United Nations. The HDI provides a composite measure of three dimensions of human development: living a long and healthy life (measured by life expectancy), being educated (measured by adult literacy and gross enrolment in education) and having a decent standard of living (measured by purchasing power parity, PPP, income).

(Source: UNDP)

[Top] Labour Force and Employment Overview

The country’s literacy rate for population in the age group 15-24 years is 97.9%. The literacy rate in case of males and females is estimated at 98.2% and 97.5% respectively.

(Source: CEPALSTAT)

Total public expenditure on education for 2008 was 3.8% of the country’s gross domestic product.

(Source: eclac.cl)

The country is ranked 60th in the education index of international human development indicators of UN.

(Source: UNDP)

Health care

There are 850 health care centres in Panama, including 61 hospitals, 272 health centres and polyclinics and 517 sub centres and health posts.

(Source: Central Statistics)

Ministry of health (MINSA) and Social security system (CSS) are the two independent entities which govern public health in Panama. Funding from the government is utilised by the ministry of health for hospitals and primary health care centres in the country, while funds collected from the workers’ wages is utilised by those administered by CSS.

(Source: ifmsapanama.org)

Major causes of death in country include tumours, accidents, self-inflicted injuries, aggressions and violence, ischaemic diseases of heart, cerebrovascular diseases and diabetes mellitus.

(Source: Central Statistics)

Public expenditure on health care in the year 2008 was 2.2% of gross domestic product at current prices.

(Source: eclac.cl)

The country is ranked 50th in the health index of international human development indicators of UN.

(Source: UNDP)

[Top] Political Stability

Switzerland is a federal republic made up of 26 cantons. The elections are held once in every four years. People have right to vote in regional or national referendums and people's initiatives. Furthermore, the people can seek to make changes in constitutional proposals and major international treaties through petitions. Such petitions require signatures of at least 50,000 voters.

(Source:BBC News)

Parliament: Legislative authority

In Switzerland the members of parliament are elected by the people. The parliament consists of two chambers namely; the National Council and the Council of States, which are together referred to as the Federal Assembly.

  • The National Council represents the Swiss population and consists of 200 members. Each member is elected for a term of four years.
  • The Council of States represents individual states known as cantons, and is comprised of 46 members.

Government: Executive authority

The government is elected by the legislative authority. It consists of the seven members of the Federal Council, as well as the Federal Chancellor. The parliament elects these seven members for a four year term each and one of them is elected as president for a one year term.

Major political parties active in the country are:

  • Swiss People's Party (SVP)
  • Social Democratic Party (SP
  •  Free Democratic Party (FDP)
  • Christian Democratic Party (CVP)

(Source: The Federal Authorities of the Swiss Confederation)

Business and economic freedom

Switzerland scores 81.1 on the economic freedom index, ranking it as 6th freest economy in 2010.

Switzerland Business & Economic Freedom Scores
(Source: Heritage.org)

Corruption perception

Switzerland is ranked 8th on the World’s Corruption Perception Index (CPI) 2010. CPI measures the perceived level of public-sector corruption across 180 countries and territories around the world.

(Source: transparency.org)

Freedom of information

The country’s media is free from influence of political parties and any government involvement.

Neue Zürcher Zeitung, Tages-Anzeiger, Le Temps, La Tribune de Geneve, Corriere del Ticino are the key newspapers in the country. Public Swiss Broadcasting Corporation (SRG/SSR) operates 18 radio stations and seven TV networks. The country ranks 6th on the world press freedom index 2010.

(Source: BBC News, rsf.org)

Judiciary

The judiciary in Switzerland includes:

  •  Federal Supreme Court
  •  Federal Criminal Court
  •  Federal Insurance Court
  •  Cantonal courts

The highest cases in the country are carried on by the Federal Supreme Court in Lausanne, the Federal Insurance Court in Lucerne and the Federal Criminal Court in Bellinzona.

The Federal Supreme Court consists of 30 permanent judges appointed for six-year terms by the Federal Assembly. The Federal Insurance Court has 11 full- time and 11 part-time judges and the Federal Criminal Court has 11 judges.

(Source: The Federal Authorities of the Swiss Confederation)

[Top] Demographic Overview

Panama has a democratic system of government. Regulatory environment in the country includes three branches –

  • Executive (President and the Vice President)
  • Legislative (71 member single member chamber)
  • Judiciary

The President is the Head of the State, currently Ricardo Martinelli. The Presidential term is five years. The President and members of legislative chamber are elected by votes at the same time.

The country’s parliament, known as the Asamblea Nacional or National Assembly, is unicameral. The National Assembly is comprised of 71 members, who are directly elected for a term of five years.

Major political parties in the country include –

  • Panameñista Party (formally Arnulfista Party)
  • Partido Popular or Popular Party (PP)
  • Democratic Change (Cambio Democratico)
  • Democratic Revolutionary Party (PRD)
  • Nationalist Republican Liberal Movement (MOLIRENA)
  • Patriotic Union
  • Liberal Party
  • The Moral Vanguard Party

(Source:fco.gov.uk, IPU)

Regulatory environment in Panama

Panama’s economic freedom score is 64.9 and is ranked 59th in the 2011 Index of Economic Freedom. The country ranks 13th out of 29 regional countries in the South and Central America/Caribbean region. Panama’s overall score is well above the global and regional averages.

Panama Economic Freedom Indices

(Source:Heritage.org)

Corruption perception

The Corruption Perceptions Index (CPI) is a survey to measure the perceived level of corruption across countries worldwide. Panama is ranked 73rd on this list which indicates that the corruption levels in the public departments in the country is fairly high.

Panama climbed on the CPI rankings since 2009 – it was ranked 84th with a score of 3.4 which indicates the perceived levels of corruption have decreased in the country.

(Source:transparency.org)

Freedom of information

Media in the country has the freedom to report without any interference. It has been observed by the organisation Reporters without Borders that Panama’s media is an exception in the Central American region, which is regarded as unsafe for journalists.

Panama is ranked 81st in the world Press Freedom Index 2010 ranks Panama at 81st rank with a score of 21.83 which indicates that media in Panama is restricted to some extent.

(Source: rsf.org)

Newspapers

  • La Prensa
  • El Siglo
  • La Critica Libre
  • El Panama America
  • La Estrella de Panama
  • Panama News

(Source: BBC)

Judicial system

The judicial branch in the country includes the Supreme Court, court of review and trial courts.

Supreme Court of the nation is comprised of nine Supreme Court magistrates who are appointed by the President. These magistrates appoint appellate judges. Three Supreme Court magistrates take a permanent position in the four chambers of the Supreme Court. The four chambers of the Supreme Court are:

  • First Chamber - Civil matters
  • Second Chamber – Criminal matters
  • Third Chamber – Administrative litigations
  • Fourth Chamber – General business

(Source: oas.org)

[Top] Soft Infrastructure

Education

Switzerland has a decentralised education system. Decisions regarding primary and secondary schools are taken at cantonal (state) level. There is no education minister in the country, however, the Swiss Conference of Cantonal Ministers of Education (EDK) is an association formed by the heads of education of each canton. The EDK decides the education policy throughout the country.

The education levels of men and women differ considerably. The share of women education in compulsory education and upper education is higher.

Switzerland Educational Attainment 

(Source: Swiss Statistics)

Healthcare services

Switzerland has a well developed healthcare system, with universal health insurance coverage and access to a broad range of modern medical services.  

Hospital Type

Number

Rate

General hospitals

129

1.7

Special clinics

184

2.4

Total

313

4.0

Hospital beds per 1,000 inhabitants in 2009 and density

Hospital Type

Number of beds

Density

General hospitals

23,964

3.1

Special clinics

15,574

2.0

Total

39,539

5.1

 

(Source: Swiss Statistics)

[Top] Hard Infrastructure

Transport infrastructure and vehicles

 The various means of public transit in Switzerland include buses, trains, trams and taxis.

Passenger transport (2000-2009) million passenger kilometres

Year

Private road transport (motorized)

Rail

2000

83,152

12,620

2003

84,641

14,509

2005

86,023

16,144

2006

86,816

16,578

2007

87,492

17,434

2008

88,525

18,028

2009

89,930

18,585

 

(Source: Swiss Statistics)

Airports

There are about 65 airports in the country. The major airports are Geneva International Airport (GVA), Basel-Mulhouse-Freiburg Airport (MLH), Bern Airport (BRN), Zurich Airport (ZRH), St. Gallen - Altenrhein Airport (ACH), Samedan - Engadin Airport (SMV) and Lugano - Agno Airport (LUG).

(Source: aircraft charter world.com)

Telecommunications network

  •  79% of the population aged 14 and above use the internet
  • 96.2% of internet users in Switzerland have broadband connection
  • There are 109 radio and television broadcasters in Switzerland
  • There are 9.25 million mobile telephone subscribers
  • There were 2.6 million Broadband connections

(Source: Swiss Federal Office for Communications)

Construction and housing

The urban population in the country accounts for the 73.6% of the total population.

Construction and Housing - Key figure

Building with residential purpose (2000)

1,462,167

Of these, single-family houses (2000)

56.20%

Newly constructed building with apartments (2009)

14,166

Of these, single-family houses (2009)

64.58

Housing stock (2000)

3,569,181

Including 3 - and 4-room apartments (2000)

1,935,877

Vacancy rate (2010)

0.94

New apartments (2009)

39,733

Including 3 - and 4-room apartments (2009)

22,904

Living space per person (2000)

44 sq m

Average rent (2000)

1059 CHF

Inhabitants per dwelling (occupancy density, 2000)

2.3

Residents per room (housing density, 2000)

0.59

Home ownership rate (2000)

34.6

 (Source: Swiss Statistics)

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