Popular votes will decide Swiss next steps

Subject

Political situation in Switzerland.

Significance

The results of the 2015 Swiss federal election indicated a shift to the right and increased political polarisation. Yet the new centre-right majority is not able to adopt policies without making concessions to the left.

Impacts

• Switzerland will probably remain an attractive location even if foreign companies lose their taxation privileges vis-a-vis domestic firms.
• Adopting the institutional agreement with the EU would pave the way for new market access agreements.
• In addition to trade agreements through EFTA, Switzerland seeks to develop its bilateral trade ties with other countries.