History of Liechtenstein

Political identity came to the territory now occupied by thePrincipalityofLiechtensteinin 814, with the formation of the subcountry of LowerRhætia.Liechtenstein's borders have remained unchanged since 1434, when theRhineestablished the border between theHoly Roman Empireand theSwisscantons.
The area that is now Liechtenstein was part of the Roman province ofRhaetia.ARomanroad crossed the region from south to north, traversing the Alps by theSplügen Passand, following the right bank of theRhineat the edge of the floodplain, was uninhabited for long lengths of time because of periodic flooding.Romanvillas  have been excavated inSchaanwaldandNendeln.The late Roman influx of theAlemannifrom the north is memorialized by the remains of a Roman fort atSchaan.
The area, part ofRaetia, was incorporated into theCarolingian empire, and divided into countships, which became subdivided over the generations. Because theDuchy of Swabialost its duke in 1268 and was never restored, all vassals of the duchy became immediate vassals of the Imperial Throne (as has happened in much of Westphalia when the duchy of Saxons was divided and partially dissolved in aftermath of the defeat ofHenry the Lion). Until about 1100, the predominant language of the area wasRomansch, but thereafterGermangained ground, and in 1300 an Alemannic population called theWalsers(originating inValais) entered the region. In the 21st century, the mountain village ofTriesenbergstill preserves features of Walser dialect.
The medieval county ofVaduzwas formed in 1342 as a small subdivision of the Werdenberg county of the dynasty ofMontfort of Vorarlberg. The 15th century brought three wars and some devastation. Centuries later,Carl Alexander Heideloffwas the one who built the Lichtenstein Castle (with the help of peasants).   But the 17th century was a lowpoint, with some plague, some skirmishing from the struggles of theThirty Years' Warbut most of all from awitch hunt, in which more than 100 persons were persecuted and executed.
The Principality takes its name from the Liechtenstein family, rather than vice versa, and the family in turn takes its name fromLiechtenstein CastleinLower Austria, which it owned from at least 1140 until the 13th century and from 1807 onwards. Over the centuries, the family acquired huge landed estates, mostly inMoravia,Lower AustriaandStyria.
All of these rich territories were held in fief under other more senior feudal lords, particularly under various lines of theHabsburgfamily, to which many Liechtensteins were close advisors. Thus, without holding any land directly under theHoly Roman Emperors, the Liechtenstein dynasty was unable to meet the primary requirement to qualify for a seat in theImperial Diet, (GermanReichstag), although its head was elevated to princely rank in the late 17th century.
The area that was to become Liechtenstein was invaded by bothAustrianandSwedishtroops during theThirty Years' Warof 1618–1648.During the 17th century the country was afflicted by aplagueand also by theLiechtenstein witch trials, in which more than 100 people were persecuted and executed.
PrinceJohann Adam Andreas of Liechtensteinbought the domain ofSchellenbergin 1699 and the county ofVaduzin 1712. This Prince of Liechtenstein had wide landholdings in Austria, Bohemia and Moravia, but none of his lands were held directly from the Emperor. Thus, the prince was barred from entry to the Council of Princes and the prestige and influence that would entail.
By acquiring the Lordships of Schellenberg and Vaduz, modest areas of mountain villages each of which was directly subordinate to the Emperor because there no longer being aDuke of Swabia, the Prince of Liechtenstein achieved his goal. The territory took the name of the family which now ruled it. On 23 January 1719,Charles VI, Holy Roman Emperor, decreed that the counties of Vaduz and Schellenberg be promoted to a principality with the name Liechtenstein for his servantAnton Florian of Liechtensteinwhereby he and his successors becamePrinces of the Holy Roman Empire.
The prince never visited his principality, and the first visit of a sovereign prince to Liechtenstein did not occur until 1842.Instead, they were represented by the local district office based in Vaduz, consisting of a number of officials, which was regulated by civil service law. It served as the only form of administration in the country until its disbandment in 1848, and was primarily responsible for controlling the country's tax office and reporting significant developments to the prince, who resided in Vienna. Until the end of the 17th century, officials were primarily recruited from neighbouringVorarlberg, and were paid directly by the prince.
In theWar of the First Coalition, Liechtenstein, as part of theHoly Roman Empirecontributed approximately 20 troops to thecoalition forcesfrom 1793 to 1796. During theWar of the Second Coalition, France invaded the country on 6 March 1799 and plundered several towns, includingNendelnthat was burned by French troops, which resulted in the deaths of four people. The Austrian and Volgraberg state militias under command byLieutenant field marshalFranjo Jelačićdefeated 18,000 French troops stationed in Liechtenstein under command of GeneralAndré Massénaand liberated the country by 14 May.
In 1806, Liechtenstein was one of the principalities and countiesMaximilian I of Bavariawanted to annex as his price for joining theConfederation of the Rhinebut Napoleon refused because he had appreciated the personal qualities ofJohann Ias a negotiator, Austria's envoy during the negotiations leading to theTreaty of Pressburg.Thus Liechtenstein became a sovereign state later that year when it joined Napoleon's Confederation of the Rhine upon the dissolution of theHoly Roman Empire.
The French underNapoleonoccupied the country for a few years, but Liechtenstein retained its independence in 1815. Soon afterward, Liechtenstein joined theGerman Confederation(20 June 1815 – 24 August 1866, which was presided over by theEmperor of Austria). In 1818,Johann Igranted a constitution, although it was limited in its nature.1818 also saw the first visit of a member of the house of Liechtenstein, Prince Alois. However, the first visit by a sovereign prince did not occur until 1842.
In 1833,Michael Menzinger[de]applied for the role ofLandvogt.The role originated from the 16th century and functioned as the head of the district office (Oberamt), subordinate to the court of House of Liechtenstein.It was previously an undesired role within the court, but Menzinger applying for the role changed this. For this reason, he is considered the first governor of Liechtenstein.
Like most of Europe at the time, Liechtenstein was subject to theGerman revolutions of 1848–1849which caused increased opposition against the absolute monarchy ofAloys II. The aim of the revolution was to improve the economic and political situation of ordinary citizens in Liechtenstein, primarily fuelled by the worsening economy in the country in the years prior.On 22 March 1848, the people's committee appointed a three-person committee to lead the Liechtenstein revolutionary movement, which includedPeter Kaiser,Karl SchädlerandLudwig Grass. Together, they managed to maintain order in Liechtenstein and formed a constitutional council.Liechtenstein was a member of theNational Assembly in Frankfurtuntil April 1849.
Following the revolution, a constitutional council was elected on 27 July 1848 in response to popular demand from the revolutionaries, of which Schädler was elected as its president. The primary task of the council was the creation the draft for a new Liechtenstein constitution, of which the work was done primarily by him andMichael Menzinger.As a concession towards the revolution, the district office was disbanded and replaced by aDistrict Councilthat was formed on 7 March 1849 with 24 elected representatives and acted as the first democratic representation in Liechtenstein, with Schädler was elected as District Administrator.In addition, the title of Landvogt was changed to governor (Landesverweser) with Menzinger continuing in the role.
After the failure of the German revolutions, Aloys II once again instated absolute power over Liechtenstein on 20 July 1852 and disbanded the district council.However, calls for a new constitution once again appeared early in the reign ofJohann IIand the constitutional council was reformed again led by Karl Schädler, once again tasked with drafting a new constitution, of which, similarly to 1848, he did most of the work.The draft was reviewed by an unknown German legal expert and formed the basis of the1862 Constitution of Liechtenstein, which was ratified on 26 September.It was heavily inspired by the constitution ofVorarlbergand largely addressed the demands of the revolutionaries in Liechtenstein.This constitution established civil liberties in the country and formed theLandtag of Liechtensteinfor the first time.
During theAustro-Prussian Warof 1866, Prince Johann II placed his soldiers at the disposal of the Confederation but only to “defend the German territory of Tyrol”.However, the Landtag had not been consulted regarding the deployment and the war was unpopular among the population, as such it faced resistance from the Landtag.As a result, Johann II promised a loan to the country and refused to have his men fight against other Germans.The Liechtenstein contingent took up position on theStilfser Jochunder the command ofPeter Rheinbergerin the south of Liechtenstein to defend the Liechtenstein/Austrian border against attacks by the Italians under Garibaldi. A reserve of 20 men remained in Liechtenstein at Vaduz Castle. When the war ended on 22 July, the army of Liechtenstein marched home to a ceremonial welcome in Vaduz. Popular legend claims that 80 men went to war, but 81 came back. It is disputed who the additional person was: An Austrianliaison officermay have joined up with the contingent on the way back, but it has also been claimed that the man was an Italian farmer.
The German Confederation dissolved in 1866. In combination with its unpopularity among the population and the rising cost to maintain it, Liechtenstein disbanded its army of 80 men on 12 February 1868 and declared its permanentneutrality, neither joining the newGerman Empirein 1871, nor theAustrian Empire.In 1893, former soldiers of the Liechtenstein army founded a veterans association, which had 141 members in 1896. Its last surviving member,Andreas Kieber, died in 1939, aged 94 years old.This neutrality was respected during both World Wars, and ultimately would allow the country to avoid the fate of the other German monarchies.
Liechtenstein did not participate inWorld War I, claiming neutrality. However, until the end of the war, it was closely tied toAustria-Hungarydue to the customs union between the two countries and was sympathetic to theCentral Powers. The majority of the Liechtenstein government did not expect the war to last long, thus no food or economic preparations were made for it.At the outbreak of the warFrance,Russiaand theUnited Kingdominterned Liechtensteiners and partially confiscated their assets.As a result, the Liechtenstein government made various declarations that the country was neutral and a separate entity from Austria-Hungary.
From September, food deliveries from Austria-Hungary, which Liechtenstein relied on, began to decrease. This quickly reduced the initial level of support for the war. In addition, Switzerland was pressured by Britain and France to end its food exports to Liechtenstein due to the latter's close ties to Austria-Hungary.In response, the Liechtenstein government, led byLeopold Freiherr von Imhof, issued emergency commissions throughout the country on 14 December 1914. These commissions aimed to manage the procurement of food and raw materials, now in short supply, and to distribute them to the population.
Foreign citizens living in Liechtenstein were conscripted into the armies of their respective home countries, primarily Austria-Hungary andGermany, of which 27 did not return. In addition, many Liechtensteiners also voluntarily enlisted in both armies, including several members of the house of Liechtenstein. In total, 4 Liechtenstein citizens are known to have been killed in the war despite the country being neutral, includingPrince Heinrich of Liechtenstein, who is the highest member of the house of Liechtenstein to have been killed in action.Three Liechtensteiners were imprisoned forespionageduring the war.
TheEntente powersimposed an economic embargo on Liechtenstein in 1916.The country faced economic devastation and food shortages as a result due to the lack of natural resources, which increased smuggling within the country significantly and forced the country to reduce its reliance on Austria-Hungary and seek closer economic ties with Switzerland.By 1916 all food deliveries from Austria-Hungary had ceased, which forced Liechtenstein to seek closer ties with Switzerland in order to ensure food deliveries continued.
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.Figures such asWilhelm Beckformed an opposition group against him, and in November 1918 he was subject of a de factocoup d'étatagainst him. The coup forced Imhof's government to resign and the establishment of aProvisional Executive Committeein his place until 7 December headed byMartin Ritter, who was the first Liechtensteiner head of government.Despite diplomatic efforts by Liechtenstein, they received no representation in the negotiations or signing of theTreaty of Versailles, though the country received indirect recognition of its sovereignty in theTreaty of Saint-Germain-en-Laye.
In 1919, following thedissolution of Austria-Hungarythe Liechtenstein government could no longer rely on Austria to fulfil their monetary and diplomatic needs. Liechtenstein and Switzerland signed a treaty under whichSwitzerlandassumed the representation of Liechtenstein's interests at the diplomatic and consular level in countries where it maintains a representation and Liechtenstein does not.Liechtenstein adopted theSwiss francin 1920 and the two countries entered acustoms unionin 1924.Liechtenstein applied to join theLeague of Nationsin 1920, though unsuccessfully. Switzerland was the only country to vote in favour of their accession at theLeague of Nations Assemblyon 17 December 1920, as opposed to 28 against.
The November 1918 putsch would begin a period of the next three years where both theProgressive Citizens' PartyandChristian-Social People's Partyworked together in creating a new constitution based on aconstitutional monarchy, much of which was loosely based on theSwiss Federal Constitution.The drafting process included prominent politicians such as Wilhelm Beck,Josef OspeltandJosef Peer, of which Beck and Peer created the first draft for the constitution. It was signed into law byPrince Karl Aloyson behalf of Johann II and Josef Ospelt as a government representative on 5 October 1921.It established the rule of partialparliamentary democracymixed with that ofconstitutional monarchy, as well as providing for referendums on decisions of the Landtag.It also abolished the three seats in the Landtag appointed by the Prince and lowered the voting age from 24 to 21 withuniversal male suffrage.
The country was subject to an embezzlement scandal in the1928 Liechtenstein embezzlement scandal, where it was revealed that leading members of the Christian-Social People's Party had embezzled funds from theNational Bank of Liechtensteininto various speculative transactions. The scandal forcedthe governmentofGustav Schädlerto resign and early elections to be called.
Since the rise ofNazi Germanyin 1933 and the introduction ofanti-Jewish lawsin Germany, Liechtenstein experienced a large rise ofJewishemigrants to the country in which the government led byJosef Hoophad supported thenaturalizationof the refugees under a new citizenship law.In doing this, Liechtenstein faced attacks from German press and internal sources such as theLiechtenstein Homeland Service.Hoop personally attempted to temper relations with Germany through the use of private contacts and actively downplayed the threat ofNational-socialismwithin Liechtenstein.Most notably, German film directors and theatre managers Fritz and Alfred Rotter with a Jewish background were naturalized in Liechtenstein in 1931. Following German press and demands for their extradition local Liechtenstein Nazis used the event to kidnap the two men and forcefully return them to Nazi Germany in theRotter kidnapping. However, this failed and as a result of a highly publicized trial it held back the formation of an organized Nazi party in Liechtenstein until 1938.
In January 1937,Carl Freiherr von Vogelsang, it was revealed that the editor ofLiechtensteiner Vaterlandand a founding member of theLiechtenstein Homeland Service, had sent a letter asking the policeFriedrichshafenor the border guards inLindauto arrest Ludwig Hasler, the head of the Liechtenstein tax office, claiming that his upcoming trip to Germany for a foreign exchange was a part of a conspiracy by German-Jewish emigrants three years prior in 1934.As a result, Hoop ordered a search of the offices of theVaterlandfor any incriminating letters and Vogelsang promptly left the country.A majority of the Landtag approved of Hoop's actions, but members of thePatriotic Unioncalled for his resignation over the issue, believing the search to be unconstitutional. It was decided that two specialjudgeswould determine the legal implications of the case.Eventually, in July 1937, it was concluded by both judges that Hoop had not acted unconstitutionally by ordering the search against Vogelsang, and Hoop was subsequently legallyacquittedof any wrong-doing.
On 31 March 1938, in the wake of theAnschluss of Austria,Franz Imade his grandnephewFranz Joseph IIregent and moved to Feldberg,Czechoslovakia. On 25 July, he died while at one of his family's castles, Castle Feldberg, and Franz Joseph formally succeeded him as prince of Liechtenstein as Franz Joseph II.Around the same time, theGerman National Movement in Liechtenstein (VBDL), a local LiechtensteinNaziparty, was formed and advocated for the annexation of Liechtenstein into Nazi Germany.There were plans for the party, with connections to theVolksdeutsche Mittelstelle, to be democratically elected into power via funding from Germany, then it would end the customs union with Switzerland and align towards Germany, leading to an eventual annexation of Liechtenstein into Germany. The plans were reportedly supported byJoseph Goebbels.However, it was personally blocked byAdolf Hitlerhimself as he did not want to complicate relations with Switzerland.
Under the initiative of Franz Joseph, the Progressive Citizens' Party and Patriotic Union started negotiations for the formation of a coalition government, led by Josef Hoop andOtto Schaedlerrespectively.This coalition was designed to avoidpolitical deadlockwhile there was ongoing threat from Nazi Germany, and more importantly, prevent the VBDL from gaining any seats within the Landtag.A compromise for the coalition was to introduce a proportional representation to the country, despite it beingrejected via referendumthree years prior.It was introduced unanimously on 18 January 1939.Shortly after, Franz Joseph, in agreement with both parties, disbanded the Landtag and called for new elections.However, the subsequent1939 general electionwas only used to distribute a roughly equal number of seats in the Landtag between the two parties, as such it became known as the "silent election" as no actual voting took place.This was primarily due to both parties desire to not hold an election campaign period that would jeopardize the recently-formed coalition government and allow for the VBDL to be able to gain support.
In March 1939, Franz Josef, Hoop andAlois Vogtpaid an official visit toBerlinwhere they metAdolf HitlerandJoachim von Ribbentropin which they discussed safeguarding Liechtenstein's independence and neutrality while maintaining good relations.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".
On 24 March 1939, the1939 putschtook place. The plan was for members of the VDBL to march onVaduzand seize control of the government, which was hoped would cause clashes between them and the government. German troops from Feldkirch would then move into Liechtenstein in response to a call for help and incorporate the country into Germany. The plan failed however, as they were stopped by opponents, and most VBDL members were arrested or fled.No German invasion took place as it was blocked by Hitler's orders following intervention by Alois Vogt. It was is not exactly known why Hitler decided to not intervene in the coup, though it has been speculated that he had little interest in Liechtenstein, and that he did not want to provoke a war with Switzerland.This led to theLiechtenstein Loyalty Association, anonpartisanorganisation designed to oppose the actions of the VBDL that was formed earlier in the year, to heighten its operations and launch a signature campaign reaffirming Liechtenstein's independence, which gained 2492 signatures.
DuringWorld War II, Liechtenstein remained neutral, while family treasures within the war zone were brought to Liechtenstein (andLondon) for safekeeping. At the same time, Liechtenstein tied itself as closely as possible toSwitzerlandduring the war in hopes of retaining the country'sneutrality.It achieved the de facto inclusion of Liechtenstein in the Swiss national supply.Franz Joseph himself periodically sent congratulatory letters to Hitler, such as the thwarting of the20 July plot, of which he briefly replied.Though Nazi Germany did have plans for the annexation of Liechtenstein, primarily inOperation Tannenbaum, these were never implemented and Liechtenstein's neutrality was not violated during the war.In 1943, at the request of both the Progressive Citizens' Party and Patriotic Union, Franz Joseph extended the government's term indefinitely while there was ongoing threat from Nazi Germany, primarily to prevent the (VDBL) from gaining seats in theLandtag.General elections were not held again untilApril 1945, shortly before the end of the war.
Notable figures in the Liechtenstein government, such as Alois Vogt, retained contacts with Nazi Germany during the war, such asVolksdeutsche Mittelstelle, who regarded him as a trusted contact.Three Liechtensteiner's were sentenced to death by Switzerland for spying for Nazi Germany during the war.Most notably,Alfred Quaderer, a Liechtenstein citizen who became an agent for the Volksdeutsche Mittelstelle was sentenced to death for treason against Switzerland in March 1944.Despite efforts by Quaderer's sister and mother to have him pardoned, such as pleading to Franz Joseph for a private audience, they were denied, and he wasexecuted by firing squadon 7 June 1944, aged 24 years old.
Just before the end of the war, Franz Joseph granted political asylum toFirst Russian National Armypro-Axis pro-emperorGrand Duke Vladimir Kirillovich of RussiaWhite emigres led by GeneralBoris Smyslovsky, who were being cared for by theLiechtenstein Red Cross. On 16 August 1945, theSoviet Unionsent a delegation to Liechtenstein in an attempt to repatriate the Russians, which was refused despite increasing Soviet pressure to participate in the repatriation program.Eventually the government ofArgentinaoffered the Russians asylum, and about a hundred people left.This is commemorated by amonumentat the border town ofHinterschellenbergwhich is marked on the country'stouristmap. According to prime ministerAlexander Frick, with the support of Franz Joseph, the Russians were at no point in danger of beingextraditedand the general population of Liechtenstein supported the government in providing asylum to them.
At the close of the conflict,CzechoslovakiaandPoland, acting to seize what they considered to be German possessions, expropriated the entirety of the Liechtenstein dynasty's hereditary lands and possessions inBohemia,Moravia, andSilesia— the princes of Liechtenstein lived inViennauntil theAnschlussof 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.The expropriations (subject to modern legal dispute at theInternational Court of Justice) included over 1,600 square kilometres (600 sq mi) of agricultural and forest land (most notably the UNESCO listedLednice–Valtice Cultural Landscape), and several family castles and palaces.Citizens of Liechtenstein were also forbidden from entering Czechoslovakia during theCold War. In August 1945,Pierre Laval, the Prime Minister ofVichy France, had attempted to seek refuge in Liechtenstein after being flown to theAmerican-occupied zone of Austria, but was turned away.
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" byLeonardo da Vinci, which was purchased by theNational Gallery of Artof theUnited Statesin 1967.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.
In 1949, Liechtenstein ceded theEllhornmountain to Switzerland as a result of Swiss demands and threats to, among other things, end thecustoms unionbetween the two countries. Despite the local community inBalzerspreviously 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.
Liechtenstein was neutral during theCold War, but sided with theWestideologically, politically and economically. The nuclear threat has led to the expansion of civil defence since the 1960s in Liechtenstein. In 1964–1965, the Liechtenstein government built a command bunker with protection against nuclear bombs inVaduz. Liechtenstein condemned the suppression of theHungarian Revolution of 1956and the1968 invasion of Czechoslovakia. Liechtenstein boycotted theOlympic Gamestwice- in1956inMelbournein protest against the suppression of theHungarian uprisingand in1980in Moscow due to theSoviet war in Afghanistan.Women in Liechtenstein received voting rights for the first time, followinga referendum on the topic(among men only) in 1984.
Franz Joseph II handed over most of his powers to his son,Hans-Adamon 26 August 1984.On 13 November 1989, he succeeded him as prince asHans-Adam II.In 1996, Russia returned the Liechtenstein family's archives, ending a long-running dispute between the two countries. In 1978, Liechtenstein became a member of theCouncil of Europe, and then joined theUnited Nationsin 1990 followingSecurity Council Resolution 663and a member of theEuropean Free Trade Association(EFTA) in its own right in 1991.
On 6 December 1992 a referendum was to be held in Switzerland on a federal resolution on the accession to theEuropean Economic Area (EEA).In correspondence with thecustoms unionbetween the two countries, a similar referendum was to be held in Liechtenstein at a similar time.
Hans-Adam II called for the referendum to be held before thecorresponding 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 ministerHans Brunhartover 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.
As a result, the 1923 customs union treaty between Liechtenstein and Switzerland was now compromised, and was no longer viable due to conflicting interests regarding accession to the EEA.In 1994, the treaty was revised to allow for greater freedom for Liechtenstein in defining its foreign policy.A referendum on the topictook place on 9 April 1995, which was accepted by 55.9% of voters.Liechtenstein subsequently joined the EEA in May the same year.
In 1997, at the start ofMario Frick's second term, the coalition government that had existed between the Progressive Citizens' Party and Patriotic Union since 1938 was dissolved, marking the first time either party had been in opposition to each other since.
In areferendumon 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.
On 15 August 2003, Hans-Adam announced he would step down in one year and hand over the reins to his sonAlois. on 15 August 2004, Prince Hans-Adam handed over the  practical running of the principality to his son, Crown Prince Alois, although still remaining official head of state.
On 1 July 2007, the first twoconsulsin the history of the Principality were appointed to represent Liechtenstein in theUnited States of America.On 1 March 2007, theSwiss Armed Forces"invaded" Liechtenstein territory by mistake, with 170 Swiss Army troops crossing the border.
On 27 November 2005, Liechtenstein votersrejected an initiativethat would prohibitabortionand birth control in the country. The initiative was supported byRoman CatholicArchbishopWolfgang Haas. Prince Alois was initially sympathetic to the proposal, but he became neutral during the run-up to the vote. Instead, a government-sponsored counter proposal was ratified.In 2011, Alois announced he would veto any relaxing of the ban on abortion in Liechtenstein, which was an subject for referendum later that year.Such a veto was not necessary, however, as the voters rejected the proposal.
Following the prince's threat, an initiative called "Damit deine Stimme zählt" ("So that your voice counts") was launched to change the constitution of Liechtenstein to prevent the prince from vetoing legislation approved in referendums.The referendumwas held on 1 July 2012, and 76% of voters upheld the prince's power to veto referendum results.
In November 2022, theLandtag of Liechtensteinpassed a motion calling on the government to introduce a bill legalizing same-sex marriage, with broad support from across the political spectrum. A bill legalizing same-sex marriage was introduced in February 2024 and passed its final reading in the Landtag on 16 May 2024 by a 24–1 vote.On 21 October 2024, Liechtenstein joined theInternational Monetary Fund.