The Treasurer’s Guide to Trade Finance

Switzerland

Economic and trade overview

Key figures

Economy 2011 Trade 2011 (USD billion)

GDP (USD) 661 bn Goods Exports 346

GDP per capita (USD) 85,820 Imports 320

GDP volume growth (year-on-year) + 1.9% Net + 25

Population 7.70m Services Exports 74

MMR (year average) 0.07% Imports 52

Exchange rate CHF / USD (year average) 0.8880 Net + 23

BoP (goods, services & income) as % of GDP + 9.5% Source: IFS, IMF, January 2013

International/Regional memberships

European Free Trade Association (EFTA):
since 3 May 1960. Iceland, Liechtenstein and
Norway are also members.

International Monetary Fund (IMF):
since 29 May 1992.

World Trade Organization (WTO):
since 1 July 1995.

Government trade policy

ƒ Switzerland benefits from free trade with its
fellow EFTA (www.efta.int) member states.

ƒ The majority of Switzerland’s trade
regulations and practices correspond with
the European Union (EU) customs code
(ec.europa.eu/trade).

ƒ Switzerland has negotiated numerous bilateral

trade agreements with the EU and its member

states. It has also negotiated a bilateral

investment protection agreement with China.

ƒ EFTA has negotiated bilateral trade

agreements with 24 countries plus the

Southern African Customs Union (SACU)

and Gulf Co-operation Council (GCC). It is

also negotiating free trade agreements with

14 countries. It has negotiated co-operation

agreements with four countries and the

Mercosur trading bloc.

ƒ National export credit insurance provider:

Swiss Export Risk Insurance (SERV —

http://www.serv-ch.com).

ƒ Switzerland maintains approximately 30 free

zones and ports.

Currency and exchange controls

Official currency: Swiss franc (CHF).

Exchange rate arrangement: free floating.

Switzerland does not impose foreign exchange
controls.

ƒ Switzerland applies controls to equities
purchased abroad by residents from non-
residents if they represent over 30 percent of
an insurance company’s technical reserves.

Bank accounts

Permission to hold currency accounts

Within

Switzerland

Outside

Switzerland

CHFForeign currency CHFForeign currency

Resident

company ✔ ✔ ✔ ✔

Non-resident

company ✔ ✔ ✔ N/A