Europe

Switzerland
Last reviewed: 04.06.09

Country information

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HISTORY

Switzerland is in many ways unique. Swiss politics has two defining characteristics - neutrality and direct democracy (see Politics below) – shared by few others. Despite four official languages, divisions between Catholic and Protestant areas, and a foreign resident population of 21.8% in 2006, politics is still defined more by consensus than conflict. Traditions of consensus building, neutrality and direct democracy are anchored in Switzerland’s past and above all its Constitution.

The Swiss Confederation was originally founded in 1291, when three cantons (Uri, Schwyz and Unterwalden) agreed on a defensive alliance to protect the inhabitants’ autonomy under the Habsburg Empire. In the following centuries, the Confederation grew steadily as other cantons, towns and villages joined the alliance. In 1798, it was invaded by France and became the unified Helvetic Republic. After regaining its independence in 1815, the Confederation’s borders were fixed by the Congress of Vienna. Switzerland's policy of permanent armed neutrality became internationally recognised.

In 1848 the previous loose confederation of states was replaced by a soundly structured federal state, and the Swiss Federal Constitution was drawn up. This reserved some limited powers to the federal authorities but gave all the rest to the cantons. In the course of time further obligations were allotted to the central authorities and a number of popular rights were guaranteed federally. The distribution of power between approximately 3,000 independent communes, 26 sovereign cantons and the central Confederation with its seat in Berne has remained unaltered to the present day. This Constitution has become part of Swiss identity, helping to overcome the inherent divisions of language and religion. It was thoroughly revised in 2000. The Constitution enshrines both the principle of neutrality and the autonomy of the cantons on which the system of direct democracy is based.

Switzerland’s economy developed as a result of its position on major North-South trading routes. Despite a lack of natural resources it was one of the earliest countries to industrialise. By the end of the 19th century it was one of the most industrialised countries in Europe. It remained neutral in both WWI and WWII, which contributed to its economic stability and created conditions for sustained post-war economic growth. This only came to an end in the 1990s when Switzerland experienced its longest post-war recession and increasing unemployment, in part prompting the rise of the right-wing Swiss People’s Party. But underlying prosperity and commitment to the political principles laid out in its Constitution remain..