Corporate Governance in Liechtenstein
Overview
Corporate governance in Liechtenstein is based on company law, financial market legislation, accounting and auditing requirements, and specific rules governing publicly owned enterprises. As an international financial centre and member of the European Economic Area (EEA), Liechtenstein maintains a legal framework influenced by European financial regulation, particularly for banks, investment firms, insurance undertakings, funds, and other regulated financial market participants. Governance obligations vary according to an entity’s legal form, ownership structure, size, and regulatory status.
The principal company-law framework is the Law on Persons and Companies (Personen- und Gesellschaftsrecht, PGR), which governs the establishment, organization, management, and dissolution of legal entities. It establishes the legal foundations for corporate bodies, shareholder and member rights, directors’ responsibilities, representation, and financial accountability. Joint-stock companies and other company forms operate under the provisions applicable to their legal structure. Accounting, auditing, disclosure, and reporting obligations further support corporate accountability, with more extensive requirements applying to entities that fall within specific statutory categories or operate in regulated markets.
Financial institutions are subject to additional governance requirements and supervision by the Financial Market Authority Liechtenstein (FMA). The FMA licenses and supervises regulated financial market participants and monitors compliance with applicable legislation. Depending on the sector, requirements address the suitability and responsibilities of management and supervisory bodies, internal controls, risk management, compliance, auditing, and organizational arrangements. Liechtenstein’s participation in the EEA also means that relevant European financial services rules are incorporated into its regulatory framework.
Corporate governance in publicly owned enterprises follows a separate framework. The Government has overall supervisory responsibility for public enterprises, supported by the Office of Finance, which coordinates the management and monitoring of these entities. The framework combines the Act on the Control and Oversight of Public Enterprises, legislation governing individual public enterprises, and recommendations contained in the Public Corporate Governance Code. These arrangements address the relationship between the state as owner and the enterprise’s governing bodies, including strategic direction, accountability, oversight, and periodic reporting.
For companies operating in the financial sector, governance is closely connected with regulatory compliance, risk control, and the protection of clients and investors. For other commercial entities, the relevant company-law provisions and applicable accounting, auditing, and disclosure requirements provide the main governance foundation. The resulting system combines general corporate law with sector-specific supervision and a distinct framework for state-owned enterprises, reflecting Liechtenstein’s small domestic market and its substantial international financial services sector.
References
Government of Liechtenstein — Legislation
https://www.regierung.li/text/16318/law
Liechtenstein Legal Database — Lilex
https://www.gesetze.li/
Financial Market Authority Liechtenstein — Legal Foundations
https://www.fma-li.li/en/fma/organization/legal-foundations-of-the-fma
Financial Market Authority Liechtenstein — Official Website
https://www.fma-li.li/en
Office of Finance, National Administration of Liechtenstein — Corporate Governance and Investment Controlling
https://www.llv.li/en/national-administration/office-for-finance/things-to-know/corporate-governance-and-investment-controlling
Contact
Organization: Financial Market Authority Liechtenstein (FMA)
Address: Landstrasse 109, P.O. Box 279, 9490 Vaduz, Liechtenstein
Phone: +423 236 73 73
Email: info@fma-li.li
Website: https://www.fma-li.li/en
Disclaimer: This information was collected in April 2026 using AI tools and may contain errors or be out of date. Please submit any updates to: admin@ecgi.org