History of Liechtenstein

As the war dragged on, the country faced increasing civil unrest and dissatisfaction, particularly of that towards to the government of Leopold Freiherr von Imhof.^[27] Figures such as Wilhelm Beck formed an opposition group against him, and in November 1918 he was subject of a de facto coup d'état against him. The coup forced Imhof's government to resign and the establishment of a Provisional Executive Committee in his place until 7 December headed by Martin Ritter, who was the first Liechtensteiner head of government.^[28] Despite diplomatic efforts by Liechtenstein, they received no representation in the negotiations or signing of the Treaty of Versailles, though the country received indirect recognition of its sovereignty in the Treaty of Saint-Germain-en-Laye.^[23]

Interwar period (1919–1939)

In 1919, following the dissolution of Austria-Hungary the Liechtenstein government could no longer rely on Austria to fulfil their monetary and diplomatic needs. Liechtenstein and Switzerland signed a treaty under which Switzerland assumes the representation of Liechtenstein's interests at the diplomatic and consular level in countries where it maintains a representation and Liechtenstein does not.^[29][30] Liechtenstein has used the Swiss franc since 1920 and the two countries entered a customs union in 1924.^[31][32] Liechtenstein applied to join the League of Nations in 1920, though unsuccessful. Switzerland was the only country to vote in favour of their ascension at the League of Nations Assembly on 17 December 1920, as opposed to 28 against.^[33]

The November 1918 putsch would begin a period of the next three years where both the

Under the initiative of Franz Joseph II, the Progressive Citizens' Party and Patriotic Union participated in a coalition government formed to prevent government deadlock and help retain Liechtenstein's neutrality overseen by him and led by Josef Hoop and Otto Schaedler respectively.^{[49][50][51][52]} Franz Josef, Hoop and Alois Vogt paid an official visit to Berlin in March 1939 where they met Adolf Hitler and Joachim von Ribbentrop in which they discussed safeguarding Liechtenstein's independence and neutrality while maintaining good relations.^[53] Franz Joseph later reminisced on the visit and stated that Hitler showed little interest in them and that it only took place in order to "flatter Hitler's ego".^[49]

In the same month, the German National Movement in Liechtenstein (VBDL) staged an amateurish coup attempt, first trying to provoke an intervention from Nazi Germany by burning swastikas, followed by declaring the annexation of Liechtenstein into Germany. The leaders were almost immediately arrested and the hoped-for German invasion failed to materialise.^[54][55]

World War II

During World War II, Liechtenstein remained neutral, while family treasures within the war zone were brought to Liechtenstein (and London) for safekeeping. At the same time, Liechtenstein tied itself as closely as possible to Switzerland during the war in hopes of retaining the country's neutrality.^[50] It achieved the de facto inclusion of Liechtenstein in the Swiss national supply.^[51] Notable figures in the Liechtenstein government, such as Alois Vogt, retained contacts with Nazi Germany, such as Volksdeutsche Mittelstelle, who regarded him as a trusted contact.^[56] Franz Joseph himself periodically sent congratulatory letters to Hitler, such as the thwarting of the 20 July plot, of which he briefly replied.^[57] Though Nazi Germany did have plans for the annexation of Liechtenstein, primarily Operation Tannenbaum, these were never implemented and Liechtenstein's neutrality was not violated during the war.^[58][59]

At the close of the conflict, Czechoslovakia and Poland, acting to seize what they considered to be German possessions, expropriated the entirety of the Liechtenstein dynasty's hereditary lands and possessions in Bohemia, Moravia, and Silesia^[60] — the princes of Liechtenstein lived in Vienna until the Anschluss of 1938. During the war, Liechtenstein's princely family owned land in Austria whose managers hired Nazi forced labor, but a much later inquiry found the family not to have known about this.^[61] The expropriations (subject to modern legal dispute at the International Court of Justice) included over 1,600 square kilometres (600 sq mi) of agricultural and forest land (most notably the UNESCO listed Lednice–Valtice Cultural Landscape), and several family castles and palaces.^{[citation needed]} Citizens of Liechtenstein were also forbidden from entering Czechoslovakia during the Cold War.

Just before the end of the war, Franz Joseph granted political asylum to

After World War II, the country's low taxes have spurred strong economic growth. Liechtenstein became increasingly important as a financial center. In dire financial straits following the war, the Liechtenstein dynasty often resorted to selling family artistic treasures, including for instance the portrait "Ginevra de' Benci" by Leonardo da Vinci, which was purchased by the National Gallery of Art of the United States in 1967.^[60] Liechtenstein prospered, however, during the decades following, as its economy modernized with the advantage of low corporate tax rates which drew many companies to the country.^[65]

In 1949, Liechtenstein ceded the Ellhorn mountain to Switzerland as a result of Swiss demands and threats to, among other things, end the customs union between the two countries. Despite the local community in Balzers previously refusing to do so in November 1948, the transfer was approved by the Landtag of Liechtenstein the following month. In exchange to the transfer, Switzerland agreed to forgive much of Liechtenstein's debt that it had acquired to the country throughout World War II.^[66]

Liechtenstein was neutral during the

On 6 December 1992 a referendum was to be held in Switzerland on a federal resolution on the accession to the European Economic Area (EEA).^[72] In correspondence with the customs union between the two countries, a similar referendum was to be held in Liechtenstein at a similar time.^[73]

Hans-Adam II called for the referendum to be held before the corresponding referendum in Switzerland, against the countries custom union and the wishes of the government with the Landtag of Liechtenstein. On 28 October 1992, he threatened to dismiss the Landtag and Prime Minister Hans Brunhart over the dispute and appoint an acting Prime Minister in his place. In response, approximately 2000 people demonstrated in front of the government house in Vaduz. In the same day, the government and Hans-Adam II negotiated and came to an agreement that scheduled the referendum after the corresponding one in Switzerland, though notably it affirmed that Liechtenstein would commit to agreements with the EEA despite the result in Switzerland.^[74]

As a result, the 1922 customs union treaty between Liechtenstein and Switzerland was now compromised, and was no longer viable due to conflicting interests regarding accession to the EEA.^[75][76] In 1994, the treaty was revised to allow for greater freedom for Liechtenstein in defining its foreign policy.^[77] A referendum on the topic took place on 9 April 1995, which was accepted by 55.9% of voters.^[78][79] Liechtenstein subsequently joined the EEA in May the same year.^[73]

Liechtenstein during the 21st century

This section needs expansion. You can help by adding to it. (January 2024)

In a referendum on 16 March 2003, Prince Hans-Adam, who had threatened to leave the country if he lost, won a large majority (64.3%) in favour of overhauling the constitution to effectively give him more powers than any other European monarch. The new constitution gave the prince the right to dismiss governments and approve judicial nominees and allowed him to veto laws simply by refusing to sign them within a six-month period.^[80][81]

On 15 August 2003, Hans-Adam announced he would step down in one year and hand over the reins to his son

In June 2012 voters decided in a constitutional referendum that Crown Prince Alois should be allowed to retain his power of veto over decisions made in nationwide ballots.^[86]

See also

• List of Princes of Liechtenstein
• Military history of Liechtenstein
• List of heads of government of Liechtenstein
• Politics of Liechtenstein

General

• History of Europe

References