Why in Switzerland

A brief history of Switzerland

After the Middle Ages, a time where Switzerland was ruled by feudal Germanic tribes and great catholic monasteries, the Old Swiss Confederacy arose. From the 11th to the 13th centuries, many cities (among them the federal capital Berne, Lucerne, Fribourg) were founded. Skilled craftsmen specialized in production of high quality goods and trade became more important. So did the roads crossing the Alps. Switzerland as we know it today was born after the french revolution. From 1815 to 1848 liberals and conservatives debated about the new structure of the country. The former loose confederacy, almost without common structures, was replaced by a confederation of 25 (today 26) autonomous cantons (federal states) with enforced central structures.

The Swiss banking system and economy

Switzerland's tradition of financial discretion goes back to the 17th century. In the wake of World War I, as many European currencies became unstable, the consistent (not to mention neutral) Swiss Franc attracted depositors. After France, incensed by the loss of revenue, raided a Swiss bank's office in Paris and revealed the names on its accounts, the Swiss passed a law in 1934 making such disclosures criminal. Faced with criticism from foreign governments, Switzerland has changed some of its ways. It added laws to combat money laundering and cracked down on numbered accounts in the 1990s. After World War II Switzerland could establish as an important player on the world market not only because of its unique banking system but also its tradition in machine building and chemical and pharmaceutical industry.

Political stability

The country's domestic politics have been characterized by coalition governments and stability. Since 1957 four major parties have participated in coalition governments: the centre-right, Catholic-oriented Christian Democrats; the centre-left Social Democrats; the centrist, Protestant-oriented Liberal Democrats; and the right-wing Swiss People's Party. Such a government guarantees full political representation of the citizens. In addition to this, more than 100 years of experience with referendums on national, cantonal and communal level have shown how direct democracy guarantees not only a maximum amount of self-determination to the citizens, but also a stability of the political system Switzerland is often envied for.

Neutrality and international organizations headquarters on Swiss soil

Switzerland is a neutral state and neutrality is one of the most important principles of Swiss foreign policy. Neutrality means that a state does not take part in armed conflicts. However, that does not prevent Switzerland from carrying out humanitarian work in war and conflict situations. Switzerland has been neutral since 1516. This established policy is the reason why Switzerland has been home to international organizations for more than a century. To date, it has concluded a “headquarters agreement” with 25 international organizations: 22 organizations have their headquarters in Geneva, 2 in Berne and 1 in Basel.

Neutrality and international organizations headquarters on Swiss soil

Organization (IBE/UNESCO), Geneva
International Labour Organization (ILO), Geneva
International Telecommunication Union (ITU), Geneva
United Nations Office at Geneva (UNOG), Geneva
Universal Postal Union (UPU), Berne
World Meteorological Organization (WMO), Geneva
World Intellectual Property Organization (WIPO), Geneva
World Health Organization (WHO), Geneva
In Addition to the UN organizations, Switzerland hosts many others, such as the European
Organization for Nuclear Research (CERN), Global Fund to Fight AIDS, Tuberculosis and
Malaria (GFATM), International Committee of the Red Cross (ICRC), World Trade
Organization (WTO), International Organization for Standardization (ISO), World Anti- Doping Agency (WADA).