Why do the headquarters of international organizations like to gather in Switzerland?

There are many reasons, including historical and political environment, tax issues, economic development, language issues, and geographical location.

First of all, let’s talk about historical and political reasons. In 1815, the Congress of Vienna confirmed that Switzerland was a permanently neutral country. It was initially used as a buffer zone for war-torn Europe. The rulers of Switzerland also adhered to this policy and always adhered to neutrality. During World War I, France, Germany and many other European countries announced their participation in the war, and war broke out in Europe. Institutions such as the International Olympic Committee, FIFA, and the predecessor of the World Health Organization were established in Paris, France, because at that time, the essence of Europa was in the United Kingdom, France, and Germany. Paris, France is an international metropolis. After the outbreak of World War I, these international organizations moved to the neutral country of Switzerland to escape the war. Because after Switzerland declares permanent neutrality, it is almost impossible for a large-scale battle to occur in the country. Life safety was assured and other organizations moved in.

As for tax issues, international organizations stationed in Switzerland will receive tax exemptions and certain financial subsidies from the Swiss government. The Swiss government provides certain financial subsidies to organizations such as the United Nations, UNESCO, and the World Health Organization every year, and has a tax reduction policy for staff working in international organizations. This has greatly eased the financial pressure on various international organizations, and the newly established international organizations after World War II are also willing to set up their headquarters in Switzerland.

With a developed economy, Switzerland is one of the most stable economies in the world. The long-term nature of Swiss policies, safe financial system and bank secrecy make Switzerland a safe haven for tax-avoiding investors. A sound financial system makes it easier to provide financial support to international organizations. International organizations need loans and fund allocation, all of which require efficient financial services. UBS is the representative of Swiss finance. ?

Language issues, Switzerland has four official languages: German, French, Italian and Latin Romance. About 65.6% of the residents speak German, 22.8% French, 8.4% Italian, and Latin Romance languages ??0.6%, other languages ??18.7%. International organizations generally carry out organizational activities in various countries, and language becomes their main problem. The Swiss national language has become its official language, and employees recruited in Switzerland can communicate without barriers throughout Europe.

Geographically, Switzerland is located in the heart of Europe, bordering France, Germany and many other countries, and the transportation is very convenient.