CIA Factbook The World Factbook 1994: SwitzerlandEconomy 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 of membership in the European Economic Area in 1992. The Swiss finally emerged from a three-year recession in mid-1993 and posted a -0.6% GDP growth for the year. After a three-year struggle with inflation, the Swiss central bank's tight monetary policies have begun to pay off. Inflation slowed to 3.3% in 1993 from about 4% in 1992 and is expected to slow down further to 1.5% in 1994. Unemployment, however, will continue to be a problem over the near term. Swiss unemployment reached 5.1% in 1993 and will likely remain at that level through 1994 before declining in 1995. The voters' rejection 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 twenty-first 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—$149.1 billion (1993) National product real growth rate: -0.6% (1993) National product per capita: $21,300 (1993) Inflation rate (consumer prices): 3.3% (1993 est.) Unemployment rate: 5.1% (1993 est.) Budget: • revenues: $23.7 billion • expenditures: $26.9 billion, including capital expenditures of $NA (1993 est.) Exports: $63 billion (f.o.b., 1993) • commodities: machinery and equipment, precision instruments, metal products, foodstuffs, textiles and clothing • partners: Western Europe 63.1% (EC countries 56%, other 7.1%), US 8.8%, Japan 3.4% Imports: $60.7 billion (c.i.f., 1993) • commodities: agricultural products, machinery and transportation equipment, chemicals, textiles, construction materials • partners: Western Europe 79.2% (EC countries 72.3%, other 6.9%), US 6.4% External debt: $NA Industrial production: growth rate 0% (1993 est.) Electricity: • capacity: 17,710,000 kW • production: 56 billion kWh • consumption per capita: 8,200 kWh (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 Illicit drugs: money-laundering center 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—1.715 (January 1994), 1.4776 (1993), 1.4062 (1992), 1.4340 (1991), 1.3892 (1990), 1.6359 (1989) Fiscal year: calendar year