Switzerland, a small country on the world scale, has successfully made a name for the quality of its services and goods in many fields : watch-making, pharmaceuticals, machine tools, food products (chocolate and cheese), etc. All of these accomplishments attest to the quality of the workforce and its desire to do the job well.
However, if there is one economic activity that stands out in particular for contributing the most to the relative prosperity of our country, it is the financial industry.
[1]
Switzerland is one of the world’s main financial centers, with a strong specialization in private and institutional asset management.
[2]
At the end of 2011, 312 banks were physically present in Switzerland.
The financial sector contributes a significant share of the value added, the employment, and the income and corporate tax revenues of the Swiss economy.
BAKBASEL study “The Swiss financial centre: its economic significance and interaction with business” [3] (summary in French), carried out under a mandate from the Swiss Bankers Association and economiesuisse.
Complete study [4], in German, published on March 2011.
BSA press release [5] about this study.
Key figures on Switzerland as a location for financial services - September 2011 [6], Federal Department of Finance.
Value added [7]
With a value added of nearly CHF 58.6 billion or 10.7% of gross domestic product (GDP), the financial sector was among the key business sectors in Switzerland again in 2010.
The banking sector contributed CHF 36.7 billion to the real value added (6.7% of GDP). The insurance industry contributed CHF 21.9 billion (4% of GDP).
Sources : The Economic Significance of the Swiss Financial Centre - July 2011 [8], Swiss Bankers Association
Employment and productivity [7]
At the end of 2009, around 195'000 people (5.7% of the Swiss working population) were employed in the overall financial sector, of whom 108'000 working for banks and securities dealers, 33'900 for other financial services providers and 53'145 for insurance companies.
Productivity in the financial sector (value added divided by number of employees) is clearly superior compared to the average productivity in other important sectors.
The 5.7% of the working population employed in the financial sector represent 10.7% of the overall gross economic output. In other terms, the productivity per financial sector employee is almost twice the overall average.
Sources : The Economic Significance of the Swiss Financial Centre - July 2011 [8], Swiss Bankers Association
Tax contribution [7]
The banks contributed on average CHF 14-18 billion per annum to the public revenues, either directly through the taxable incomes paid to their employees and the taxable profit distributions, or indirectly through stamp duty and withholding tax most of which were generated by banks.
In 2010, CHF 12 billion or nearly 10% of all tax receipts can be attributed to the banking sector.
Source : The Economic Significance of the Swiss Financial Centre - July 2011 [8], Swiss Bankers Association
Volume of assets managed in Switzerland [7]
By January 2013, the banks managed CHF 4'640 billion of client assets. Out of this amount, 47 % are provided by Swiss clients and 53 % by foreign clients.
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Source: Monthly Statistical Bulletin [10], Swiss National Bank
More information on:
1) Swiss National Bank
www.snb.ch/en [11]
2) Swiss Bankers Association
3) Federal Finance Administration
www.efv.admin.ch/e [13]
Last update: July 2011