Principality of Liechtenstein

Despite global headwinds in recent years, Liechtenstein has preserved high incomes, low unemployment, and sizable buffers with virtually no debt. Yet, its highly open economy is exposed to continuing global and geopolitical shifts and some policy areas require attention. Higher tariffs are weighing on industrial activity and the labor market is weakening. Medium-term spending pressures are rising but are not yet fully quantified. Productivity remains above peers, but the gap is narrowing.