ANDORRA IN FIGURES 2014
Publication:
© Government of Andorra and Cambra de Comerç, Indústria i Serveis d’Andorra (CCIS)
Ministry of Finance
Department of Statistics
Pictures:
Government of Andorra Photographic Service (SFGA)
Department of Tourism of the Government of Andorra
Images courtesy Andorra Tourism
Images provided by Association of Andorran Banks
Legal deposit: AND.412-2014
ISBN: 978-99920-0-692-4
2
I GENERAL DATA
o
PRINCIPAL FIGURES
P.
5
o
CURRENT SITUATION
P.
6
II COUNTRY
o
PHYSICAL SETTING AND ENVIRONMENT
P.
8
o
HISTORICAL FEATURES
P.
12
o
NEWS HIGHLIGHTS 2014
P.
14
o
POLITICAL SYSTEM AND INSTITUTIONS
P.
15
o
INTERNATIONAL REPRESENTATION
P.
18
III ECONOMY
o
LEGAL REGIME
P.
20
o
FOREIGN INVESTMENT
P.
21
o
TAX FRAMEWORK
P.
24
o
MACROECONOMIC INDICATORS
P.
30
o
SECTORIAL ECONOMIC STRUCTURE
P.
33
o
FINANCIAL SECTOR
P.
36
o
PUBLIC FINANCES
P.
38
o
FOREIGN TRADE
P.
41
o
LABOUR MARKET
P.
43
IV TOURISM
o
VISITORS AND OVERNIGHT STAYS
P.
47
o
TOURIST ACCOMMODATION
P.
49
o
VEHICLE ENTRIES
P.
51
3
o
TRADE
P.
52
o
SKIING
P.
54
o
SPA LEISURE
P.
55
o
ECO-THEME PARK. PALAU DE GEL
P.
56
o
OTHER TOURIST OFFERS
P.
57
V SOCIETY
o
REGISTERED POPULATION AND ESTIMATED POPULATION
P.
58
o
IMMIGRATION
P.
62
o
EDUCATION
P.
65
o
SOCIAL SECURITY (CASS)
P.
67
o
CONSUMPTION
P.
68
o
MATRICULATIONS. WASTE MANAGEMENT
P.
71
o
TELECOMUNICATIONS
P.
72
VI APPENDIX
o
ABBREVIATIONS
P.
73
o
WEBS OF INTEREST
P.
74
o
LIST OF TABLES, GRAPHICS AND ILLUSTRATIONS
P.
75
o
HOLIDAY CALENDAR
P.
76
o
CUSTOMS ALLOWANCES
P.
77
o
ADDRESSES OF INTEREST
P.
78
4
PRINCIPAL FIGURES. CURRENT SITUATION
o PRINCIPAL FIGURES
PRINCIPAL FIGURES
Estimated population *
Nominal GDP (€ million)
Per Capita Nominal GDP (€)
GDP PPP ($)
Per Capita GDP PPP ($)
Country rating (sovereign debt) Standard & Poor's
Public Sector Deficit or Surplus (€ million)
Public Sector Deficit or Surplus (% GDP)
Public Sector Debt (€ million)
Public Sector Debt (% GDP)
Andorran Government budget (€ million)
Aggregate Communes budget (€ million)
CPI
Household consumption (€ million)
Employees
Monthly minimum wage
Monthly average wage
Compensation of employees (€ million)
Imports of goods (€ million)
Exports of goods (€ million)
Establishments (companies & trade)
Tourist Accommodation
Number of beds in Tourist Accommodation
Visitors (million)
2011
69.772
2.476,2
35.490
3.281,7
47.035
A/A-1
11,7
0,5%
951,4
38,4%
629,0
128,9
2,5%
1.471,8
37.301
929,1
2.017,6
903,1
1.164,4
81,8
7.280
253
33.446
8,0
2012
69.758
2.463,0
35.308
3.239,6
46.440
A-/A-2
-40,1
1,6%
1.032,8
41,9%
745,2
119,7
1,1%
1.448,5
35.777
951,6
2.010,1
863,0
1.102,7
82,4
7.178
249
34.271
7,9
2013
69.966
2.471,7
35.327
3.273,3
46.785
A-/A-2
81,0
3,3%
1.023,8
41,4%
1.062,4
131,6
0,0%
n/d
35.039
962,0
1.998,6
840,3
1.128,0
74,5
7.385
243
34.062
7,7
2014
70.570
2.525,5
35.786
3.363,2
47.657
BBB+/A-2
49,4
2,0%
1.035,3
41,0%
573,7
133,2
-0,1%
n/d
35.331
962,0
2.053,3
870,6
1.175,0
73,7
7.668
241
34.019
7,8
Source: Govern d’Andorra. Departament d’Estadística
* Estimated population by Departament d'Estadística
5
o CURRENT SITUATION
The Principality of Andorra is an European state characterised by strong social and economic dynamism and by the stability of its political and
institutional system. The Andorran economy, modern and in regular development, has been marked in recent years by important agreements of various
kinds attained with EU countries and with important international bodies, such as the OECD. Currently, Andorra and the EU stay in close contact to start
negotiations in order to gain greater access to the EU Market .
This process of international harmonisation is leading the Principality towards a new socio-economic cycle in which foreign investment and the
internationalisation of business in the country will form new pillars for an economy which in 2014 recorded a GDP of 2,525.5 million euro, placing the
GDP per inhabitant (36,095 EUR) above the European average.
Agreements recently reached with the EU states in tax matters and the recent Law on foreign investment ratify the constant Principality’s progress
towards the constitution of an European area of broad opportunities for investment and economic expansion. Andorra Development and Investment
and Actua, as the economic promotion agencies of the Principality, give support to the investors searching for new business opportunities in Andorra.
The banking sector of the country has a particularly relevant role in this expansionist process in the Andorran economy. The Andorran banking system,
with assets managed for a value of 41,267 million euro (year 2013) and an average solvency ratio of over 20% (much above the European standard), has
international representation in the European, American and Asian continents, and forms part of multiple international organisations.
Tourism and trade constitute the fundamental pillars of the current internal economy of the Principality. Tourism, more and more diversified in
accordance with the season of the year, contributes close to 8 million visitors a year. The principal reasons for visiting are shopping (47%) and leisure
(29%).
Throughout the winter, the undeniable tourist attraction comes from the skiing areas of the country: Grandvalira, Vallnord and Naturlandia, which
offer nearly all the snow activities that exist, with 318 kilometres of pistes and the highest concentration of mechanical ski lifts per square metre in the
world, with a capacity of 156,000 people per hour. The economic impact of the snow sector generates approximately 340 million euro per year and
provides work for nearly 2,000 people.
6
During the summer, the skiing areas are adapted in order to offer to the visitors a broad range of activities: golf, karting, theme schools, mountain bike
circuits, family parks, camp sites, helicopter flights, etc. In addition, you can enjoy the Madriu-Perafita-Claror valley (which represents close to 10% of
the Andorran surface), declarated UNESCO World Heritage Landscape in 2004, category in which only 84 landscapes worldwide belong to.
Throughout the year, visitors can enjoy various top quality centres for integral wellness, which offer a broad range of services devoted to total
wellbeing, more exclusive and amusing for all ages. There is also Naturlandia, the eco-theme park in the Pyrenees, which presents a broad offer of
activities for every season of the year. The Palau de Gel also offers various activities all year round, from skating to karting on ice.
Tourist accommodation, in this context, plays a fundamental role. The Principality of Andorra has 241 tourist accommodation establishments, among
hotels, aparthotels, tourist apartments, hostels and guest houses, and B&B, with an availability of more than 34,000 beds. Jointly with the restaurant
establishments, the sector has an offer of close to 984 establishments.
Trade also plays a leading role in the economy of the country and in the offer whole to the visitors. In fact, shopping in the Principality is a tourist
activity of the first order throughout the year. The retail trade sector has close to 1,400 establishments between shops and shopping malls.
The international congress sector has taken on progressive importance, this resulting from the new Congress Centre constructed in Andorra la Vella, an
advanced facility equipped with the latest technology and which, with the support of the hotel sector, caters for top level international events
(summits, symposiums, congresses, etc.). The recently formed Andorran Convention Bureau (ACB) promotes the positioning of Andorra as a destination
for congresses, conventions and meeting.
7
PHYSICAL SETTING AND ENVIRONMENT. HISTORICAL FEATURES. INFORMATION 2014. POLITICAL SYSTEM AND INSTITUTIONS. INTERNATIONAL
REPRESENTATION.
o PHYSICAL SETTING AND ENVIRONMENT
The Principality of Andorra is located on the Mediterranean slopes of the eastern Pyrenees, between Spain and France, bounded, for a length of 63.7
km, with the Autonomous Community of Catalonia to the south, and with the region of Foix to the north for a length of 56.6 km. The territory of the
Principality has an area of 468 km2 and an average altitude of 1,996 m. Administratively the country is divided into seven parishes, each of which has
its own local administration, the commune.
8
National motto: Virtus Unita Fortior
"Virtue United is Stronger", in Latin
The Principality of Andorra
Geographical features
Capital
Total area
Border limits
North (crags of Font Blanca)
42º 39’ 15’’
South (Conangle - River Runer)
42º 25’ 38’’
West (Aquell pass)
1º 24’ 34’’
East (River Palomera - River Ariège)
1º 47’ 19’’
Peak of Comapedrosa 2,942 m
Lowest point
Woodland
Confluence of the River Runer 840 m
38%
High mountain fields
26%
Scree and rocky areas
20%
5%
<1%
10%
Spain
63,7 km
France
56,6 km
Others
Estimated population (2014)
Languages
Official
Other languages
Catalan
Spanish, French, Portuguese
System of government
Episcopal co-prince
Density
Parliamentary co-principality
Joan Enric Vives i Sicília
French co-prince
François Hollande
Head of Government
Antoni Martí Petit
70.570
151 hab/km²
Other details
Currency
Political system
468 km²
Highest point
Urban areas and infrastructures
Water
Border Countries
Andorra la Vella
Time difference
Independence year
Euro (EUR)
UTC+1
1278
National anthem
Internet domain
El gran Carlemany
.ad
Telephone code
+376
National adjective
Andorran
9
▪ Climate
The valleys of Andorra, often sheltered from Atlantic turbulence by the Pyrenean mountains, with peaks that rise to over 2,700m, are blessed by the
sun, despite the mountainous terrain, with more than two thousand hours of sun per year.
The mountain climate means regular rainfall throughout the year, enough in winter to guarantee the quality and depth of the snow, with relatively mild
temperatures for the altitude and predominantly north-westerly winds.
▪ Temperatures (ºC) and precipitations (mm)
Climate. Mean 2014
20
120
18
9,4
962,5
2005
8,4
680,7
2010
8,2
760,3
2011
9,5
557,3
2012
9,8
568,8
2013
9,2
628,8
Source: Ministry of Environtment, Agriculture and Sustainability
60
8
40
6
4
20
2
0
0
December
2000
10
November
825,7
October
9,0
September
1995
August
1.011,4
July
8,4
80
12
June
1990
14
May
759,2
April
7,1
March
1980
100
16
February
Precipitation
January
Temperature
Temperatures (ºC)
CLIMATE
Temperatures
Precipitations (mm)
Precipitations
Source: Ministry of Environtment, Agriculture and Sustainability
10
▪ Land Occupation
TYPES OF LAND COVER Perimeter (km) Area (ha) Surface (%)
Dense woodland
4.224
17.879
38,2
Fields & pasture
4.937
12.258
26,2
Scree and rock
2.677
6.591
14,1
Thickets
3.517
4.742
10,1
Rocky areas
1.500
2.656
5,7
Arable land
564
801
1,7
Built up areas
285
618
1,3
Bare zones
381
475
1,0
Light woodland
394
378
0,8
Continental waters
98
190
0,4
Communication routes
384
163
0,4
Sports and leisure areas
2
8
0,0
Mining
1
4
0,0
Map of the land cover of Andorra - Sc. 1/5000 Centre of biodiversity of the Institute of Andorran Studies
Source: Institute of Andorran Studies
11
o HISTORICAL FEATURES
The Andorran valleys
 Year 843: first documented mention of Andorra (precept of the Emperor Charles the Bald,
giving his faithful Sunifred, Count of Urgell, among others, the valley of Andorra).
 10th-11th centuries: struggles for the sovereignty of Andorra between the lords of Caboet,
Castellbò and the See of Urgell.
 13th century: fighting for the sovereignty of Andorra between the bishops of Urgell and the
counts of Foix.
 Year 1278: signature of the first “Pariatge” (establishing the indivisible shared sovereignty
of Andorra between the bishop of Urgell and the count of Foix) by Pere of Urtx, Bishop of
Urgell, and Roger Bernat III, Count of Foix and Viscount of Castellbò.
 Year 1288: signature of the second “Pariatge” between Pere of Urtx, Bishop of Urgell, and
Roger Bernat III.
 Year 1419: legitimisation of the “Consell de la Terra”, Council of the Land, (a body for the
management of commune affairs, with the power to appoint speakers and procurators for
the defence of their rights and privileges).
 Year 1743: Fiter i Rossell wrote the Manual Digest de las valls neutres de Andorra (a compendium of the history, uses and customs, the privileges and political
organisation of Andorra).
 Year 1806: Decree of Napoleon I, re-establishing the earlier political and administrative ties which had existed with France and had been broken off during the
French Revolution.
 Year 1866: New Reform of Parliament, headed by the Andorran noble, Guillem de Areny i Plandolit, establishing 24 members.
 Year 1933: the Co-princes, on a petition from the Andorrans, grant universal male suffrage. The sessions of Parliament
become public.
12
Contemporary Andorra
 1968: Creation of the CASS (Andorran Social Security System).
 The 1970s: extension of suffrage: the right to vote and eligibility of
women and extension of the age of majority. Creation of the parish of
Escaldes - Engordany (1978). Approval by Parliament of the
Memorandum of Institutional Reform (1978), after two popular
enquiries.
 1981: the Co-princes decree the creation of the Executive Council.
 1991: The agreement of customs union with the European Economic
Community entered into force.
 1993: on 14 March the Andorran people approved by referendum the
Constitution of the Principality of Andorra, which enshrined it as a state
of law, independent, democratic and social. Sovereignty rests in the
Andorran people. Andorra joins the United Nations Organisation (UNO).
 2003: on 1 July conventions between the Principality of Andorra, the
Kingdom of Spain and the French Republic came into force relating to
the entry, circulation, stay and establishment of their nationals and the
circulation and stay in the Principality of Andorra of nationals from other
states.
 2004: The Madriu valley is declared a UNESCO World Heritage Cultural
Landscape.
 2005: 1st January, the European Social Charter entered into force.
 2008: entry into force of the Convention between Andorra and Portugal relative to the entry, circulation, stay and establishment of their nationals, and the
Convention between the Principality of Andorra and the Holy See.
 2010-2011: in the field of taxation, Andorra ratifies 17 agreements of exchange of information in tax matters with the Republic of Austria, Liechtenstein,
Monaco, San Marino, France, Belgium, Argentina, Netherlands, Portugal, Spain, Denmark, the Faroese National Government, Finland, Greenland, Iceland,
Norway, Sweden. On 30 June 2011, the Principality of Andorra signed the Monetary Agreement with the European Union, making the Euro the official
currency of Andorra.
 2012: the Law 10/2012 on Foreign Investment in Andorra is approved, which liberalizes foreign investment. Also Double Taxation Avoidance Agreements
(DTAA) between France and Andorra is signed, becoming a key element of the liberalization process of the Andorran economy because it represents the fully
recognition of the tax system of the Principality.
13
o NEWS HIGHLIGHTS 2014
 The Council of the European Union adopted a decision authorizing the opening of negotiations on one or more
partnership agreements between the EU and the Principality of Andorra, Monaco and San Marino. The agreement
will provide the participation of Andorra in the EU single market.
 The Government of the Principality of Andorra and the Government of the Kingdom of Spain signed in early 2015, an
agreement to avoid double taxation.
 The Government of the Principality of Andorra and the Government of the French Republic ratified the Convention
to avoid double taxation and prevent tax evasion and fraud with respect to taxes on income
 Andorra Luxembourg signed a double taxation avoidance agreement (DTAA).
 Andorra approved the Law on Personal Income Tax (applicable from 1 January 2015). With that setup
is completed fiscal framework Andorra.
 Andorra signed the Convention on mutual administrative assistance in tax matters with OECD.
 The Andorran National Institute of Finance (INAF) has been accepted as a regular member of the
International Organization of Securities Commissions (IOSCO).
 Andorra signed an agreement on exchange of information with the Swiss Confederation (03/17/2014),
reaching 22 agreements signed.
 Andorra exceeds the Phase 2 Peer Review of the OECD Global Forum, with a grade of
"partial implementation".
 Andorra and Slovakia sign a tax information exchange agreement (TIEA).
 First Andorran Euro coins are minted, becoming the fourth country outside the EU to
do so.
14
o POLITICAL SYSTEM AND INSTITUTIONS
The political regime
The political regime of Andorra is a parliamentary co-principality.
Official language
Catalan is the official language of the Principality of Andorra.
Other languages in use are Spanish, French and Portuguese.
▪ Institutions
Heads of State (the co-princes)
The Constitution defines the figure of the Co-princes as the heads of State of Andorra, jointly and indivisibly. They are, personally and exclusively, the
bishop of Urgell and the president of the French Republic. They are the symbol and guarantee of the independence of Andorra and of egalitarian
treatment in its relationships with neighbouring states. They are the arbiters and moderators of the public power and of the institutions. At the
moment, the episcopal co-prince is His excellency Sir Joan Enric Vives i Sicília, and the French co-prince is His excellency Sir François Hollande.
Parliament
This has its origin in the “Consell de la Terra”, created in 1419 and reformed in 1866, and is the
Andorran legislative assembly or parliament, the senior organ of popular representation, formed of a
single chamber.
Its functions are:
1. To prepare and approve the laws
2. Appoint the head of Government
3. Approve the Government budget
4. Regulate and control the actions of the Government
15
The members of Parliament are elected by universal suffrage for a four years term. Parliament can have a minimum of 28 members and a maximum of
42, who are elected by a mixed method: half of them by parish electoral districts and the other half by national electoral districts. At present there are
28.
The organ which governs the Parliament is the Speaker’s Office or “Sindicatura”, headed by the Speaker and the Deputy Speaker, who are elected by
Parliament in plenary session. These days, the Speaker is the Most Illustrious Sir Vicenç Mateu Zamora and the Deputy Speaker is the illustrious Madam
Mònica Bonell i Tusset.
General administration (Government)
This is the group of people to whom is attributed the political management of the State. Their mandate is for four years. The group comprises the Head
of Government (elected by Parliament and appointed by the co-princes) and the ministers (appointed by the Head of Government). At the moment, the
Head of the Government is the Most Illustrious Sir Antoni Martí Petit
The Government has executive power in the State and puts into effect the laws approved by Parliament.
Its functions are:
1. To direct the Public Administration of the State
2. Direct the national policy
3. Take up competence in international policies
4. Accept the competence of the Police Force
Local administrations (communes)
The Andorran territory is divided administratively into seven parishes which, by traditional order of protocol, are: Canillo, Encamp, Ordino, La Massana,
Andorra la Vella, Sant Julià de Lòria and Escaldes-Engordany, with Andorra la Vella as the capital and seat of Government. The organ of representation
and administration of the parish is the Commune.
The communes are public corporations with legal personality and with local powers of regulation, subject to law, in the form of bye-laws, regulations
and decrees.
16
Andorran justice system
The structure of the justice system is one organisation. Judicial power is held by the Magistrates (Batlles), the
Criminal Court (Tribunal de Corts) and the High Court of Justice, and also the respective presiding judges of
the courts, with three jurisdictions: civil, criminal and administrative.
The Constitutional Court
This is the supreme body for interpreting the Constitution and its decisions bind both public authorities and
individuals. It passes its own regulations and, in exercising its powers, is subject solely to the Constitution
and the organic Law on the Constitutional Court.
The High Court of Justice
This organ represents, governs and administers the judicial organization, safeguarding the independence and
proper functioning of the legal system.
The Andorran National Institute of Finance (INAF)
This is a public financial institution with its own legal personality and full capacity to operate publicly and privately, independently to the central
Government. The INAF carries out the inherent duties of the Andorran financial system authority which are to promote and safeguard the proper
functioning and stability of the financial system.
17
o INTERNATIONAL REPRESENTATION
▪ Presence on international bodies
At present, the Principality of Andorra forms part of 22 international bodies:
·
·
·
·
·
·
·
·
·
·
·
·
International Exhibitions Bureau (BIE).
International Committee of the Red Cross (ICRC).
European Council.
International Criminal Court (ICC).
Comprehensive
Nuclear-Test-Ban
Treaty
Organization (CTBTO).
Food and Agriculture Organization of the United
Nations (FAO).
International Criminal Police Organization
(INTERPOL).
United Nations (UN).
International Civil Aviation Organization (ICAO).
Office International des Epizooties (OIE).
International Organisation of la Francophonie
(OIF).
European
Telecommunications
Satellite
Organization (EUTELSAT).
· World Trade Organization (WTO)
· International Centre for the Study of the
Preservation and Restoration of Cultural
Heritage (ICCROM).
· World Customs Organization (WCO).
· World Intellectual Property Organization (WIPO).
World Health Organization (WHO).
· World Tourism Organization (UNWTO).
· Organization for the Prohibition of Chemical
Weapons (OPCW).
· Organization for Security and Co-operation in
Europe (OSCE).
· Ibero-American General Secretariat (SEGIB).
· International Telecommunications Union (ITU).
· United Nations Educational, Scientific and
Cultural Organization (UNESCO).
▪ Diplomatic presence
Ambassadors
Andorra has embassies in Spain, France, Belgium and USA.
Andorra has non-resident accredited ambassadors in Portugal, Luxembourg, Netherlands, Germany, Slovenia, Canada, Mexico, Switzerland, Monaco,
San Marino, Liechtenstein and the Vatican City.
18
Embassies and diplomatic representation
Principality of Andorra Embassy to the European Union
Principality of Andorra Embassy to the Benelux Countries
Principality of Andorra Embassy to the Republic of Slovenia
Principality of Andorra Embassy to the Federal Republic of Germany
10, Rue de la Montagne
1000 Bruxelles
Tel.: (+32) 2 513 28 06
Fax: (+32) 2 513 07 41
A/e: ambassade@andorra.be
Permanent Representation of the Principality of Andorra to the Council of
Europe
10, avenue du Président Robert Schuman
67000 Strasbourg
Tel.: (+33) 3 88 35 61 55 Fax: (+33) 3 88 36 85 77
A/e: rpand@andorracoe.org
Permanent Mission of the Principality of Andorra to the United Nations Office
in Geneva
Observation Mission to the World Trade Organisation
1-3, Rue Chantepoulet, 7ème étage
CH-1201 Genève
Tel.: (+41) 22 732 60 60
Fax: (+41) 22 732 60 68
A/e: missionandorra@bluewin.ch
Principality of Andorra Embassy to the Portuguese Republic
Rua do Possolo, 76, 2º andar
1350-251 Lisboa
Tel.: (+351) 21 391 37 40
Fax: (+351) 21 391 37 49
A/e: Ambaixada_Portugal@govern.ad
Principality of Andorra Embassy to the Kingdom of Spain
C/ Alcalá, 73
28009 Madrid
Tel.: (+34) 91 431 74 53 Fax: (+34) 91 577 63 41
A/e: embajada@embajadaandorra.es
Permanent Mission of the Principality of Andorra to the United Nations
Principality of Andorra Embassy to the United States of America
Principality of Andorra Embassy to Canada
Principality of Andorra Embassy to the United States of Mexico
Two United Nations Plaza, 27th floor
New York, NY 10017
Tel.: (+1) 212 750 80 64 Fax: (+1) 212 750 66 30
A/e: contact@andorraun.org
Principality of Andorra Embassy to the French Republic
Permanent Delegation of the Principality of Andorra to UNESCO
1, place d’Andorre (ancien 51bis, rue de Boulainvilliers)
75016 Paris
Tel.: (+33) 1 40 06 03 30 Fax: (+33) 1 40 06 03 64
A/e: Ambaixada_Franca@govern.ad
Permanent Mission of the Principality of Andorra to the OSCE
Permanent Mission of the Principality of Andorra to the United Nations
Office in Vienna and to the CTBTO
Principality of Andorra Embassy to the Austrian Republic
Principality of Andorra Embassy to the Czech Republic
Principality of Andorra Embassy to Hungary
Principality of Andorra Embassy to the Republic of Eslovàquia
Kärtnerring 2A/13
1010 Wien
Tel.: (+43) 1 961 090 920 Fax: (+43) 1 961 090 950
A/e: office@ambaixada-andorra.at
19
LEGAL REGIME. FOREIGN INVESTMENT. TAX FRAMEWORK. MACROECONOMIC INDICATORS. SECTORIAL ECONOMIC STRUCTURE. FINANCIAL SECTOR. PUBLIC
FINANCE. FOREIGN TRADE. LABOUR MARKET.
o LEGAL REGIME
Andorran commercial companies can choose one of the following legal forms: joint stock company (societat anònima or SA) or limited company
(SL).The minimum capital required is €3,000 for limited companies and €60,000 for joint stock companies.
Legislative Decree of 26.02.2014 on publication of the redraft of Law 20/2007, of 18 October, on joint stock and limited liability companies.
Practising as a qualified professional is regulated by the legislative Decree of 26.02.2014 on publication of the redraft of Law 6/2008, of 15 May, on
practising professions and professional bodies and associations.
THE PROCESS OF INCORPORATING A COMMERCIAL COMPANY
-Application to reserve a company name to the Government; until the certificate expires 12 months from the date of issue the name is reserved so that
the public deed can be executed (€5.36).
-Application to the Government to authorise foreign investment, for foreign investments of more than 10% of the share capital.
-Public deed. To incorporate the company, a public deed of incorporation is executed before an Andorran notary.
- To register a limited company you must pay €957.77 and an annual rate of €801.70 (if it is not authorised to trade). In the case of a joint stock
company, registration is €1,394.76 with an annual rate of €881.30 (if not authorised to trade). If the company is also registered at the Registry of
Commerce and Industry it only has to pay the quota for that registry, which is €201.80.
- Registration. Registration with the Registry is mandatory and the company acquires legal personality on registration.
Companies that carry out commercial or industrial business or services must be registered with the Registry of Commerce and Industry.
20
o FOREIGN INVESTMENT
On July 19th, 2012 came into force the Foreign Investment Act 10/2012, in the Principality of
Andorra, which, among others, abolished the sectorial restrictions that were stated under the
previous Foreign Investment Act 2/2008, April 8th . Thus, Andorra positioned itself for the
purpose of compete, under the same conditions, with its neighbouring economies, and,
simultaneously enabled to the Principality to become an attractive destination for new
sectors and firms.
Foreign investment is all investments made in Andorra under the following circumstances:
1. Non-Andorran, non-resident natural person: Any investment by a person holding a
temporary residence permit, e.g. Temporary immigration permit, is subject to this law.
Any investment by a person holding a cross-border work permit is also subject to this
law.
2. Legal person of foreign nationality: Including public entities under foreign sovereignty.
3. An Andorran company with foreign equity participation.
4. Branches or other types of permanent establishments in Andorra of foreign non-residents in Andorra.
Types of foreign investments:
1. Direct foreign investment: Investments in the shares of Andorran companies or by the incorporation or extension of branches or other types of
permanent establishment..
2. Real estate: Investments for the purchase of property or in rem rights over properties or administrative concessions involving exclusive use of
any property located on Andorran territory.
3. Portfolio investments: Investments by subscribing to:
- Loan securities issued by private or public residents and/or Andorrans
- Preferred shares including voting Rights
- Shares or participations in investment bodies under the financial system regulations
4. Other types: Investments in other ways, not specified above, such as participation in joint account contracts, trusts, cooperatives or joint
ownerships.
21
Initial prior authorization is required in the following cases:
1. Direct foreign investment: Any foreign investment with +10% of the share capital or voting rights on Andorran companies
2. Real estate: Prior authorization for investments made by:
- Persons, not Andorran, non residents in Andorra.
- Andorran companies with foreign holdings in their capital or voting rights of a percentage equal to or over 50%.
- Branches or other types of permanent establishments in Andorra of non-residents.
- Legal entities of foreign nationality, including public authority entities of foreign sovereignty. Those investments must be in relation with
the legal entity’s activity implementation.
3. Portfolio: Free and not subject for prior authorization.
Only required for Group Investment Bodies (GIPs) under
Andorran law when it complies cumulatively with the
following requirements:
- At least 50% of its assets are composed of holdings
in Andorran companies and/or real estate located in
the Principality of Andorra or rights in rem over
these, excluding those of guarantee.
- The percentage foreign holding in the group
investment body is ≥ 50%.
4. Other types: Cooperatives, Trusts…
Not authorized:
- Foreign investments made by resident, domiciled
natural persons or, nationals, in the case of legal
entities, from some of the countries not cooperating
in money laundering or terrorist financing (FATF)
- Foreign investments made by persons or legal
entities about whom an unfavourable report is
received regarding the prevention of money
laundering and terrorist financing
- Foreign investments that might undermine public
power, sovereignty and national security, public and
economic order, the environment, public health or
general public interest.
22
o Analysing Foreign Investment
Total (1)
2013 (2)
2014 (3)
Total Requests (4)
1.316
500
680
Accepted Requests
1215
473
604
151.962.344
27.824.898
109.308.838
63
38
11
16
57
19
1.034
384
551
Analysing Foreign Investment
Initial Investment (€)
Pending Requests
Rejected Requests
Constitutions and Adquisitions (5)
Investment
Initial Investment (€)
59.666.015
23.718.142
30.456.915
Initial Investment / GDP 2012
2.43%
0.95%
1.24%
Average Initial Investment (€)
Average Waiting time (in days)
70.943
35.39
61.766
33.3
64.658
39.19
482
183
294
Starting a Business (6)
Initial Investment (en €)
35.586.362
10.273.869
144
Adquisition of Businesses
Number of Jobs Created (7)
418
39
170
294
Actua Assistance
94
32
34
23.834.020
3.3
129.554
3.25
13.176.900
3.3
(8)
(1) Since Foreign Investment Law entered into force on 19/07/2012 untill
31/12/2014
(2) Annual data on 31/12/2013
(3) Annual data at 31/12/2014
(4) All kind of requests (Consitutions, adquisitions, regularitzations, capital increases,
Branch offices, etc…)
(5) Constitutions i adquisitions accepted
(6) New constitutions and adquisitions of businesses
(7)Estimated from consultations
(8) Note from 1 to 4 where 1= very much dissatisfied, 4=very much satisfied.
Real Estate
19%
Health and
Wellness Innovation
5%
5%
Education
1%
Consulting
Services
7%
Services
1%
Financial
24%
Brokerage
16%
Trade
15%
21.770.813
New Businesses Created
Initial Investment (en €)
Assistance level of Satisfaction
Total 2014 by sectors
Tourism
7%
Source: Andorra Development and Investment
Total 2014 by country
Others
17%
Belgium
1%
Russia
4%
Spain 41%
France
37%
Source: Andorra Development and Investment
23
o TAXATION FRAMEWORK
The Andorran tax system has more direct and indirect tax advantages than the surrounding countries, both in scope and in the forms of tax.
Since the new Law on Accounting was passed (2007), any individual who carries out business or professional activities, commercial company, legal
person or for-profit entity must file annual accounts with the Public Administration.
Currently, the Principality of Andorra has signed Tax Information Exchange Agreements with 22 countries, mainly in the European Union, including our
two neighbours, Spain and France. Equally, a second double taxation treaty has been signed with Luxembourg after the first was signed with France,
which has not yet entered into force, while conversations have begun with several countries (including Spain, Portugal, Austria, Australia, Belgium,
Poland and Switzerland) to set up similar treaties to avoid double taxation.
The current taxes and rates in force that affect economic activities and individuals are:
Corporate tax
This is a direct tax on the income of legal persons.
The standard rate is 10%. A reduced rate is applied for companies that carry out the international exploitation of intangible assets, those involved in
international trade and those that carry out intragroup management and investment. Domestic and international double taxation is eliminated on
shares of profits from other entities and deductions for double taxation are established for job creation and investment.
Law 95/2010, of 29 December, on corporate tax amended by Law 17/2011, of 1st December.
Tax on income from economic activities
This is a direct tax on income from the economic activities of natural persons resident in Andorra.
The tax base, consisting of the amount of income from all the taxpayer’s economic activities within the tax period, is reduced with a threshold of 40,000
Euros.
The standard rate of tax is 10%. The Law also provides for deductions on the tax liability.
24
Law 96/2010, of 29 December, on the tax on income from economic activities amended by Law 19/2011, of 1st December.
-
Note: With effect from 1 January 2015, this Law is substituted by Law 5/2014, of 14 April, on personal income tax (IRPF). Henceforth, income
from economic activities is taxed through the IRPF.
Personal income tax
This is a direct, personal tax imposed on the income obtained by individuals based on the amount and personal and family circumstances. It taxes the
taxpayer’s income, understood as the whole of his income and capital gains and losses, irrespective of where they were produced or where the payer is
resident.
The standard rate is 10%. The tax liability is reduced through the deductions and rebates provided by the Law.
Law 5/2014, of 24 April, on personal income tax.
Tax on the income of non-residents
This is a direct tax on the income obtained within the Principality of Andorra by natural or legal persons who are not resident in the country.
For income obtained by non-resident taxpayers through a permanent establishment, the rate is 10%.
For income obtained by non-resident taxpayers without the intermediation of a permanent establishment, the standard rate of tax is 10%; if it is
income from reinsurance transactions, 1.5%, and if it is income paid as a levy, 5%.
Tax exemptions include: income from work, investment income, gains from shares in Andorran companies (whenever the holding is no higher than 25%
of the capital) and income from share transfers in collective investment schemes.
Law 94/2010, of 29 December, on the tax on the income of non-residents amended by Law 18/2011, of 1 December.
25
General Indirect Tax (IGI)
This is an indirect tax on consumption imposed on deliveries of goods and the provision of services carried out by businesses or professionals, and also
imports of goods.
The standard tax rate is 4.5%. A super-reduced rate of tax of 0%, reduced rate of 1%, a special rate of 2.5% for specific operations provided by Law and
a higher rate of 9.5% for operations provided by banking and financial services are also applied.
Legislative Decree of 23.07.2014 on publication of the redraft of Law 11/2012, of 21 June, on the general indirect tax.
Tax on income from savings
This taxes the interest on monetary and fixed-income products in Andorran financial entities by natural persons resident in one of the member states of
the European Union. Since 1 July 2011, agents paying these kinds of interest in the Principality must retain 35%. The Principality of Andorra keeps 25%
of the retention and transfers 75% to the public coffers of the European Community member state in which the beneficiary effectively resides, while
respecting confidentiality in managing the tax, i.e. the person who has part of his interest retained is not identified.
Law 11/2005, of 13 June, implementing the Agreement between the Principality of Andorra and the European Community relating to the establishment
of equivalent measures to those provided in the Council Directive 2003/48/CE on taxation of savings income in the form of interest.
Tax on consumption (Customs)
The tax on consumption is a Customs duty applied to agricultural products imported into Andorra. It deals with products 1-24 of the harmonised
system which are not covered by the Customs Union.
Payable tax depends on the imported good and the law sets out various tax rates which range, in general, between 0%, 1%, 2% and 3%, but there are
also products with special rates of tax such as some live animals, alcoholic drinks and tobacco.
These rates are applied to the value on the goods invoice at the time of importation, except for tax rates that are applied per unit (animal, kg, litre, etc.)
26
Tax on the Registry of Owners of Economic Activities.
The taxable event for this tax is continued registration at the Registry of Owners of Economic Activities, which consists of the Commercial Company
Registry, the Registry of Commerce and Industry and the Professionals and Professional Bodies and Associations Registry.
Any owner, whether a natural or legal person, registered with the Registry of Commerce and Industry must pay an annual rate of 201.80 Euros for each
registered authorised business.
Tax – Year 2014
Commerce and Industry
Euros
€ 201.8
Limited company (SL) or branch (1)
€ 957.77
Limited company (SL) or branch (2)
€ 801.7
Joint stock company (SA) (1)
€ 1394.76
Joint stock company (SA) (2)
€ 881.3
Professionals (3)
€ 401.7
1. Payable to register the incorporation of a joint stock or limited company or a branch at the Company Registry.
2. Annual tax to pay if the company is not registered at the Registry of Commerce and Industry.
3. Annual tax to pay for each authorised qualified professional.
Tax on vehicles
This taxes vehicles of any class that have been registered at the Vehicle Registry. Payment is annual and the amount depends on the vehicle’s class and
horsepower.
Tax on the Trademark Registry
This is a fixed tax on the registration and renewal of trademarks.
27
Property Transfer Tax
This taxes lifetime property transfers for or without consideration. The tax base is the real value of the property or rights that are transferred or
assigned. There are two tax rates: state tax, at 2.5%, and Comu tax, at 1.5%.
Capital gains tax
This taxes the increase in value of real property that occurs in lifetime real property transfers, for or without consideration, or on creating or assigning
in rem rights over that property. The rate of tax depends on the number of years that the property has been owned by the taxpayer:
- 15% up to one year.
- 14% between two years and one day and three years.
- 12% between three years and one day and four years.
- 10% between four years and one day and five years.
- 8% between five years and one day and six years.
- 6% between six years and one day and seven years.
- 4% between seven years and one day and eight years.
- 2% between eight years and one day and nine years.
- 1% between nine years and one day and ten years.
- 0% after 10 years.
The numbers of years is determined, and rounded up, from the dates between
which the property or right belonged to the taxpayer. For this purpose, investments
are calculated with the same number of years as the property.
28
Taxes and rates imposed by local authorities (Comu) are as follows:
Tax on the location of commercial, business and professional activities
This taxes commercial, business or professional activities within a parish. Calculation of the tax takes into account the type of activities, location of the
establishment and the number of square metres and is annual.
Tax on rental income
This taxes income from renting a property within a parish. It is paid annually by the landlord and the payable amount consists of a percentage (which
varies between parishes) of the total value of the rental income obtained over the year
Tax on ownership of real property
This taxes ownership of a built property or an in rem right over the built real property. Payable annually. The payable rate depends on the surface area
(m2) and location of the property. The rate of tax per metre varies between parishes.
“Foc i Lloc”
This taxes residence within a parish. It is paid by individuals between the ages of 18 and 65, registered with a parish. The tax is an annual fixed amount
which varies between parishes.
Comuns (parish authorities) can set rates for the provision of public services in their tax regulations, for public health, lighting, the maintenance of
public areas, snow removal, tow truck services, mains connections, etc. They can also set taxes for carrying out the following administrative tasks:
planning permission, authorisations for opening and running businesses, issuing certificates, etc.
29
o MACROECONOMIC INDICATORS
▪ GDP (estimated gross domestic product)
GVA by SECTORS (EUR million)
2014
% GDP
GVA Agriculture, Forestry and Fishing
12,5
0,5%
37,5
80,2
132,5
359,4
175,9
37,3
95,8
527,1
223,1
1,5%
3,2%
5,2%
14,2%
1,5%
7,0%
3,8%
20,9%
8,8%
144,1
5,7%
315,2
130,7
2.271,4
254,0
2.525,5
12,5%
5,2%
89,9%
10,1%
100,0%
GVA Industries (except Construction)
GVA Manufacturing
GVA Construction
GVA Wholesale and retail trade. Repair of motor vehicles
GVA Transport and Storage
GVA Accomodation and Food Services
GVA Information and communication
GVA Financial and insurance activities
GVA Real estate activities
GVA Professional, scientific and technical activities;
administrative and support service activities
GVA Public administration, defence, education,
human health and social work activities
GVA Other Activities
Total GVA
Net taxes
Nominal GDP
Source: Ministry of Finance; Department of Statistics
The GDP of the Principality for 2014 was placed at 2,525.5 million euro; +2.2% more than the GDP recorded at the end of 2013 (2,471.7 million euro).
This increase in GDP is principally due to rise in the sectors of “Financial and insurance activities” (+10.0%), “Industries (except Construction)” (+8.20%)
and “Information and communication” (+4.5%). In exchange, the sectors that presents a contraction were the sectors of “Agriculture, Forestry and
Fishing” (-12.2%), “Construction” (-4.8%), “Accomodation and Food Services” (-1.7%) and “Wholesale and retail trade. Repair of motor vehicles” (-1.6%).
30
17%
3.000
15%
2.600
13%
2.200
1.800
9%
1.400
7%
1.000
5%
600
3%
200
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
-3%
2002
-1%
2001
1%
2000
Annual variation (%)
11%
-200
-600
-5%
-1.000
-7%
-1.400
Estimated GDP
Estimated GDP (EUR millions)
Estimated GDP 2000-2014
Annual variation
Source: Ministry of Finance and Public Function
▪ Country Rating
COUNTRY RATINGS (Standard & Poor’s)
Long term
2004
2008
2012
2014
AA
AA-
A-
BBB+
Rating trend
Stable
Negative
Negative
Stable
Short term
A-1+
A-1+
A-1
A-2
Source: Ministry of Finance
31
▪ CPI (consumer price index)
Inflation in Andorra is clearly linked to the trend in consumer prices in neighbouring countries, especially Spain. Since calculation of the consumer price
index (CPI) began in 1998, annual average inflation has been 2.3%, a relatively slow evolution and slightly lower than in Spain (2.7%), although higher
than in the Eurozone (2%) and France (1.7%) for the same period.
In 2014, the trend in consumer prices gradually slowed to end the year at a rate of -0.1%, the same as the historic low of 2009 and 2013. Moreover,
following the line that started in the previous year, Andorran inflation fell below that of Spain (-1.1% of harmonised inflation), where the majority of
consumer goods come from, and remained lower than that of France (+0.1% in December) and the average for the Eurozone for the same period
(-0.2%). This means that Andorra has gained competitiveness against Spain, following the trend that began in 2012, and has also continued to improve
in relation to the rest of the Eurozone.
Evolució IPC d'Andorra 1998 - 2014
5,0%
IPC (%)
2,5%
1,6%
1,1%
1,0%
Source: Ministry of Finance; Department of Statistic
2014
2013
2012
2011
0,0% -0,1%
2010
2008
2007
2006
2005
2004
2003
2002
2001
2000
-1,0%
2009
0,0%
0,0%
1999
2,0%
459
1,0%
Housing, water, gas, electricity
2.458
-1,7%
Furniture and domestic items
552
0,8%
Health
289
0,5%
Transport
1,98%
2,0% 1,62%
1998
1.722
Clothing & footwear
3,87%
3,20%
3,40% 3,35%
3,10%
2,77% 2,88%
2,70%
3,0%
Annual variations
2014
Food, beverages & tobacco
4,32%
4,0%
Weightings
2014
CPI - GROUPS OF ACTIVITY
2.106
-1,2%
Leisure, entertainment & culture
608
0,2%
Education
86
1,5%
Hotels, cafes & restaurants
690
0,7%
Sundry goods and services
1.030
-0,1%
General index
10.000
-0,1%
Underlying inflation
8.179
0,5%
Oil products
Services
641
2.908
-6,9%
0,6%
Source: Ministry of Finance; Department of Statistics.
32
o
SECTORIAL ECONOMIC STRUCTURE
▪ Number of establishments by activity
% var.
2013 - 2014
Transport, storage & communications
Financial system
Real estate and rental activities; business services
Education
Health & veterinary activities, social services
Establishments 1980 - 2014
400
8.000
350
7.000
300
6.000
250
5.000
200
4.000
150
3.000
100
2.000
50
1.000
0
-50
Establishments
3,8%
Tourist accommodation & restaurants
0
Establishments
2014
7.668
Motor vehicles trade & repair
2013
7.385
Construction
2010
TOTAL
Production & distribution of electricity, gas & water
2005
2,6%
3,2%
0,0%
0,8%
3,1%
0,2%
0,2%
2,5%
9,9%
9,2%
7,5%
4,6%
2000
40
352
5
795
2.654
984
403
163
1.512
83
173
504
1995
Other social activities & community services
39
341
5
789
2.573
982
402
159
1.376
76
161
482
Manufacturing industries
1990
Agriculture, livestock, hunting & forestry
1985
2014
1980
2013
Net creation of establishments
ESTABLISHMENTS BY SECTION
-1.000
Net creation of establishments
33
▪ Agriculture and livestock farming
Agriculture, which specialises in tobacco production, and livestock
farming are key sectors for preserving Andorra’s ecosystem and
landscape, fundamental to attracting tourism which sustains the strong
service sector.
It is notable that, in recent years, there have been various initiatives by
the private sector, supported by the public sector, to diversify activities
and introduce new crops, in order to maximise the potential of Andorran
lands
TOBACCO PRODUCTION
Quantity (kg.)
1980
265.946
1985
538.264
1990
767.859
1995
919.736
2000
324.207
2005
315.215
2010
237.485
2011
244.676
2012
235.792
2013
2014
234.176
238.084
Source: Ministry of Environtment, Agriculture and Sustainability
LIVESTOCK
1995
2000
2005
2010
2014
54
73
58
62
63
Cows
1.154
1.108
1.339
1.497
1.421
Total cattle
1.208
1.181
1.397
1.559
1.484
34
0
0
0
0
Stallions
122
187
175
198
149
Mares
660
850
689
711
658
Total horses
816
1.037
864
909
807
89
56
80
75
103
Ewes
3.169
1.530
2.445
2.446
3.191
Total sheep
3.258
1.586
2.525
2.521
3.294
Bulls
Working horses
Rams
He-goats
29
34
27
29
21
She-goats
580
820
480
349
323
Total goats
609
854
507
378
344
TOTAL (adult head of livestock)
5.891
4.658
Source: Ministry of Environtment, Agriculture and Sustainability
5.293
5.367
5.929
34
▪ Industry, energy and construction
INDUSTRIAL SECTOR 2014
No. of establishments
Food, beverages & tobacco industries
55
Textile and clothing industries
12
Timber industries
47
Graphic arts & reproduction of recorded supports
92
Chemical industries
4
Manufacture of rubber and plastic products
2
Manufacture of non-metallic mineral products
6
Metallurgy and metal products
34
Manufacture of machinery, electric & electronic material
33
Manufacture of medical-surgical & precision instruments
32
Manufacture of furniture
31
Recycling
1
Production & distribution of electricity, gas & hot water
4
Collection, treatment & distribution of water
2
Construction
795
TOTAL
1.150
Source: Ministry of Tourism and Trade. Department of Trade
▪ Trade and services
TRADE AND SERVICES SECTOR 2014
No. of establishments
Vehicle sales and repairs, sale of fuels
341
Wholesale & intermediary trade
944
Retail trade
1369
Tourist accommodation & restaurants
984
Transport
206
Activities akin to transport & travel agents
188
Real estate activities
320
Hire of machinery & equipment
106
Computer activities
156
Other business activities
930
Recreational, cultural & sports activities
196
Sundry personal service activities
TOTAL
281
6.021
Source: Ministry of Tourism and Trade; Department of Trade
35
o
FINANCIAL SECTOR
The Andorran financial sector is one of the main pillars of the Andorran economy and contributes 19% to the country’s of Gross value added (GVA) of
GDP. The financial system comprises 5 banking groups, 8 financial entities managing investment bodies, 3 financial entities in asset management, 1
specialist lending entity and 29 insurance companies.
INAF (Andorran National Finance Institute) is the supervisory organ regulating the system (except for insurance companies which do not belong to a
banking group and are regulated by the Andorran Government Ministry of Finance).
The Andorran Financial Intelligence Unit (FIU) is the independent organ which deals with tasks of promoting and coordinating measures of prevention
of money laundering and the financing of terrorism.
Thus the banking system of the Principality, in relation to both supervision and verification of the origin and destination of funds, is endorsed by the
Council of Europe and the International Monetary Fund (IMF).
Currently, four of the five banking groups are involved in a process
of international expansion. All the Andorran banks are certified as
qualified intermediaries by the IRS (Internal Revenue Service) of the
United States.
Andorran legislation does not allow the creation of opaque
structures (such as trusts) which could promote offshore investment
structures, preventing identification of the true beneficiaries. Also,
and as in other European and international financial markets, there
is banking secrecy in the Principality of Andorra, regulated by law.
The banking sector in particular, composed of 5 banking groups and
totalling 80% of the employees in the financial system, is
characterised by strong capitalisation in the various entities and by
conservative and prudent management. These features have
enabled the solvency of the sector to be placed at ratios higher than
20%, much above the majority of other financial markets in the
surroundings.
36
BANKING SECTOR
2000
2005
2010
2013
2014
Number of branches
53
56
56
40
42
Number of employees
1.134
1.180
1.703
2.462
2.804
--
134
151
151
153
10.572,0
9.994,9
13.142,2
15.869,7
14.046,6
972,3
1.202,0
1.325,6
1.524,2
1.376,8
Network of cash dispensers
Financial aggregate (million EUR)
Balance Sheet
Shareholders' equity
Credit investment (gross)
2.114,3
4.804,2
7.136,0
7.148,9
6.337,8
Managed resources
19.868,9
25.736,9
27.866,9
41.267,8
43.965,8
Financial margin
162,4
129,9
181,3
198,2
148,3
Ordinary margin
452,6
520,4
523,7
681,0
608,8
Net profit
288,6
285,1
200,5
205,2
183,3
Solvency
33,99%
23,65%
21,58%
22,00%
20,75%
Liquidity
85,82%
59,97%
71,90%
66,71%
68,11%
ROE
29,68%
21,26%
14,24%
12,61%
12,36%
Efficiency
26,15%
0,36
40,03%
47,96%
45,35%
--
0,52%
2,93%
4,77%
4,12%
Ratios
Doubtful debts
Source: Association of Andorran Banks (ABA) and banking entities
37
o
PUBLIC FINANCE
▪ Central administration
GOVERNMENT FORECAST
LIQUIDATION
2005
2010
2012
2013
2014
Result budget cash
-40,8
-52,9
-86,9
15,7
-5,4
Deviation in expenses
96,3%
101,5%
115,9%
93,4%
94,8%
Deviation in income
98,0%
85,0%
110,2%
107,8%
102,1%
Current expenses
175,6
233,6
274,4
285,4
281,2
Investment expenses
121,0
123,3
180,5
91,0
95,6
Debt redemption & acquisition of assets
188,3
246,6
299,2
648,1
170,1
Income from taxes & duties
232,1
293,1
355,1
340,6
360,8
Other income
23,7
10,9
13,0
51,6
10,7
Capital income
260,2
338,3
377,2
670,2
202,2
Expenses (million EUR)
Income (million EUR)
Source: Ministry of Finance; Department of Budget and Patrimony
38
Transfers to
other
public
administrations
Financial
regulation
of production
sectors
General financial
regulation
Production of
public
assets of a
financial nature
Production of
public
assets of a social
nature
Social action:
protection &
promotion
Civil protection
&
citizen safety
General services
Debt & financial
transactions
Million EUR
Ministry of
Presidency
Ministry of
Culture
Ministry of
Tourism
&
Environment
Ministry of
Education
& Youth
Ministry of
Health
& Welfare
Ministry of
Justice &
Interior
Ministry of
Foreign
Affairs
Ministry of
Finance &
Public
Function
Ministry of
Economy &
Country
Planning
Government
Presidential
Department
Million EUR
Budget settlement 2014
(by Ministries)
300
250
200
150
100
50
0
Source: Ministry of Finance; Department of Budget and Patrimony
Budget settlement 2014
(By application)
200
180
160
140
120
100
80
60
40
20
0
Source: Ministry of Finance; Department of Budget and Patrimony
39
▪ Local administrations (communes)
COMMUNE FORECAST
LIQUIDATION *
2005
2010
2012
2013
2014
2,4
19,1
15,2
27,7
28,9
Deviation in expenses
87,2%
83,9%
94,9%
93,1%
91,5%
Deviation in income
99,4%
91,7%
96,8%
103,2%
103,5%
Current expenses
80,2
99,5
92,3
89,2
87,4
Investment expenses
43,3
15,1
8,7
11,7
12,9
Debt redemption & acquisition of assets
19,7
14,7
12,8
16,4
16,3
Income from taxes & duties
58,2
69,9
58,5
60,8
61,7
Other income
67,7
63,9
57,7
67,8
67,5
Capital income
9,7
0,0
3,5
3,0
4,0
Result budget cash
Expenses (million EUR)
Income (million EUR)
Source: Communes
The communes establish, regulate and apply taxes in accordance with the Constitution, the Qualified Law on
definition of commune competences, the Law on the bases of tax ordinance and the Law on commune
finance.
The communes deploy and regulate the essential elements of the taxes which correspond to them following
the provisions of the Law on commune finance, through the commune tax ordinance.
40
o FOREIGN TRADE
1.500
150
1.400
130
1.300
1.200
110
1.100
90
1.000
900
70
800
Exports (millions EUR)
Andorra’s two main trading partners are Spain and France. In the early
nineties, these two countries had similar shares in the Andorran foreign
trade flows, but in recent years trading relations with Spain have been
more dynamic than with France, tipping the balance towards Spain.
Foreign trade 2006-2014
Imports (millions EUR)
Foreign trade has a major impact on Andorra’s economic activity,
especially the volume of imports. So, domestic demand for goods
depends greatly on foreign purchases, while the relatively low impact of
industry on the Andorran economy results in a much less significant
volume of exports. As a result, Andorra has a high trade deficit and a very
low export coverage ratio.
50
700
600
30
2006
2007
2008
2009
Imports
2010
2011
2012
2013
2014
Exports
Source: Ministry of Finance; Customs Department
41
FOREIGN TRADE
Imports of goods
(€)
Foodstuffs
Beverages & tobacco
2006
2008
2010
2013
2014
192.885.540
177.205.066
166.745.809
169.043.496
174.815.682
76.255.724
90.994.930
90.860.719
98.874.141
100.488.443
158.220.562
133.653.362
113.039.531
115.803.775
116.360.180
83.941.926
124.684.460
117.361.452
143.502.238
127.443.968
Pharmaceuticals & perfumery
121.801.754
124.704.190
112.493.370
102.648.192
110.170.845
Clothing & footwear
186.671.422
179.398.223
171.947.434
149.353.301
159.212.021
Construction
100.625.159
84.866.253
57.172.580
37.207.798
39.209.883
40.194.439
34.549.461
30.121.780
47.104.811
53.072.673
Sundry
117.098.079
110.657.781
98.039.836
80.176.912
85.524.634
Electronics
191.344.271
156.072.155
116.000.900
102.776.699
102.212.026
Transport
153.975.546
103.077.421
85.798.644
81.555.534
106.535.482
1.423.014.421
1.319.863.303
1.159.582.055
1.128.046.896
1.175.045.836
2006
2008
2010
2013
2014
39.821.836
13.425.027
467.709
183.998
284.284
248.165
393.321
110.218
178.086
350.546
14.685.459
11.598.187
6.230.094
6.433.660
6.670.528
Industrial
Fuels
Jewellery
TOTAL
Exports of goods
(€)
Foodstuffs
Beverages & tobacco
Industrial
Fuels
1.161
6.805
1.199
94.073
81.572
Pharmaceuticals & perfumery
3.583.922
3.046.495
1.910.772
1.165.028
617.634
Clothing & footwear
7.692.710
8.341.406
9.769.162
6.918.006
7.782.326
Construction
5.334.372
6.971.395
6.224.193
4.607.866
4.338.585
Jewellery
2.568.358
1.927.032
4.173.360
8.692.007
6.726.059
Sundry
10.411.346
6.480.171
4.864.551
8.744.047
5.422.692
Electronics
28.381.352
30.791.965
26.068.891
24.740.684
26.962.505
Transport
19.647.016
11.187.359
10.079.689
12.732.150
14.500.866
TOTAL
132.375.697
94.169.164
69.899.839
74.489.604
73.737.595
Source: Ministry of Finance; Customs Department
42
o LABOUR MARKET
▪ Employment status of the population
Population by employment status
45%
40%
37%
35%
30%
25%
20%
20%
15%
11%
8%
3%
5%
7%
5%
4%
3%
3%
Left work
10%
Looking for
work
% Population by employment status
Others
Retired &
Pensioners
Housewives
Students
Businessmen
Self-employed
Public sector
employees
0%
Private sector
employees
The high level of tertiary activities in the economy and, above all,
those linked to tourism, results in patterns of flexible and highly
seasonal employment, In this context, the population distribution
by employment status shows that, according to 2014 data, 46% are
employees and 8% are businessmen or self-employed, while the
percentage of unemployed is relatively low – 3% of the population
was looking for work in 2014.
Source: Ministry of Finance; Department of Statistics (HBS)
43
▪ Employees per sector
The number of employees in Andorra was 35,331 in 2014. By sectors, services is the most important, with 87.0% of the employed. This is followed by
construction (7,7%) and less significantly, industry (4.0%), while the primary sector represents a mere 0.5% of employment. Among the tertiary
activities, the most notable levels of employment are in commerce (24.5% of the total of employees), and in activities directly related to tourism, such
as hotels and catering (12,7%). Also notable is the percentage of workers in Public Administration and rentals and business services – at 12,5% and
11.7% respectively – and activities of a social nature (education, health and other social services), which together represent 14.0% of the total number
of workers in the Andorran services sector.
NUMBER OF EMPLOYEES
1995
2000
2005
2010
2014
177
151
146
148
160
1.474
1.519
1.783
1.667
1.398
108
126
149
158
161
Construction
4.024
5.108
6.723
4.491
2.734
Vehicles sales and repairs
8.149
9.618
11.142
9.732
8.669
Tourist accommodation & restaurants
3.894
4.796
5.635
4.862
4.492
785
1.007
1.228
1.154
1.063
Financial system
1.168
1.351
1.515
1.661
1.830
Real estate & business services
1.580
2.602
3.885
4.078
4.146
Public Administration & social security
2.290
3.034
3.821
4.355
4.420
Education
305
424
536
563
537
Health & veterinary activities, social services
841
1.030
1.349
1.669
1.721
Other social activities & personal services
1.412
1.991
2.335
2.398
2.575
Others
1.099
1.311
1.482
1.614
1.425
27.305
34.066
41.727
38.552
35.331
Agriculture, livestock, hunting & forestry
Industries
Electricity, gas, water production & distribution
Transport & communications
TOTAL
Source: Caixa Andorrana of Social Security and Dept. of Statistics.
44
▪ Compensation of employees
▪ Average salary
Average salary 1990 - 2014
Compensation of employees 1990 - 2014
1.000
2.500
924,2
900
870,5
833,4
2.000
800
600
1.500
518,5
2010
2014
1.268,5
EUR
Millions EUR
2.053,1
1.664,3
700
500
400
300
1.997,7
1.042,4
1.000
341,5
755,8
230,6
500
200
100
0
0
1990
1995
2000
2005
2010
1990
2014
Source: Caixa Andorrana of Social Security and Dept. of Statistics
1995
2000
2005
Source: Caixa Andorrana of Social Security and Dept. of Statistics
▪ Minimum wage and CPI
The Government sets the minimum inter-professional wage regularly, at least once per year, through a specific decree. The normal policy is to take the
CPI for the previous year as a point of reference.
MINIMUM WAGE
(MW) & CPI
Monthly MW
MW
(EUR)
% annual var
CPI
1998
654,2
--
2,1%
1999
667,8
2,1%
3,3%
2000
689,6
3,3%
5,1%
2005
812,9
3,8%
3,1%
2010
915,2
0,0%
1,6%
2011
929,1
1,5%
2,5%
2012
951,6
2,4%
1,1%
2013
962,0
1,1%
0,0%
2014
962,0
0,0%
-0,1%
2015
962,0
0,0%
Source: Ministry of Heath Social Affaires and Employment, Department of Employment, Department of Statistics.
45
▪ Employment Service
The Employment Service is a free and public service. Its purpose is to offer and act in intermediation for jobs in a framework of qualitative and
quantitative adaptation between jobs offered and applicants registered with the Service, and to supply the Government with sufficient information in
matters of the offer and demand for jobs so that it can exercise its competences and meet its objectives in matters of employment and social
integration.
EMPLOYMENT SERVICE
(Annual average)
2008
2009
2010
2011
2013
2014
Applicants looking for jobs
292
444
510
639
983
774
Applicants looking for job improvement
237
212
152
163
184
193
People receiving unemployment benefit
--
19
55
80
124
98
323
341
272
167
241
358
Jobs offered
Source: Ministry of Heath Social Affaires and Employment, Department of Employment, Department of Statistics.
46
VISITORS AND OVERNIGHT STAYS. TOURIST ACCOMMODATION. VEHICLE ENTRIES BY BORDER. TRADE. SKIING. SPA LEISURE. ECO-THEME PARK. ICE PALACE.
OTHER TOURIST OFFERS.
o
VISITORS AND OVERNIGHT STAYS
Tourism is the Andorra’s main economic resource. Andorra offers an extensive range of tourism, specialising in winter activities due to its mountainous
relief but also receiving a generous flow of visitors at other times of the year. In 2014, almost 8 million people visited Andorra: 69.7% of the visitors
were day-trippers - who do not spend the night in Andorra - while the other 30.3% were tourists – who spend at least one night. By nationalities, the
great majority of visitors are Spanish and French. These figures situate the number of annual overnight stays at over six million.
Visitors by country of visitor residence
4.500.000
4.000.000
3.500.000
visitors
3.000.000
2.500.000
2.000.000
1.500.000
1.000.000
500.000
0
Spain
France
2012
2013
Other
2014
Source: Department of Statistics
47
▪ Total visitors
The number of visitors in 2014 was 7,796,770, +1.6% compared to 2013. By type, tourists were 2,363,436, +1.5%, Same-day visitors were 5,433,334,
+1.6%.
VISITORS
2012
2013
2014
Tourists
2.237.939
2.328.124
2.363.436
Same-day visitors
5.662.501
5.348.108
5.433.334
Visitors
7.900.440
7.676.232
7.796.770
Tourist: visitor who spends at least one night in the country.
Same-day visitror: visitor who enters the country and leaves on the same day.
Source: Ministry of Finance; Department of Statistics
▪ Overnight stays by type of accommodation 2014
Overnigths stays by type of accommodation
Friend's or family
house
677.427
Own house Other
134.678
416.198
Campsites
(Camping)
113.969
Holyday
Apartments
783.562
Hotels
4.453.428
Apartment-Hotel
200.803
Source: Ministry of Finance; Department of Statistics
48
o TOURIST ACCOMMODATION
In the tourism sector, the different types of accommodation play a fundamental role. The Principality of Andorra has 241 tourist accommodation
establishments in various categories, with an availability of 34,019 beds. This offer is supplemented by a new type of accommodation called “Furnished
Apartments”, which offers 1,770 apartments with a total of 8,890 beds and other types like campings, youth hostels, mountain huts...
▪ Number of tourist accommodation establishments by type
TOURIST
ACOMMODATION
✰
✰✰
Guest houses
Residences
Tourists Apartments
Aparthotel
Hotels
4
4
3
2
1
3
7
11
4
25
12
13
83
1
3
57
8
7
11
27
22
174
TOTAL
14
50
108
61
8
241
✰✰
✰✰✰
✰✰✰
✰✰✰✰
Total
✰✰✰✰✰
Source: Ministry of Tourism and Trade, Dept. of Tourism
▪ Other establishments
OTHER TOURIST
ACCOMMODATIONS
Furnished Apartments
Campsites (Camping)
Holiday camps
Mountain Huts
Youth Hostels
Tourist Chalets
Rural Accomodation
✰
Apartaments
Beds
476
2.255
3
1
24
4
937
4.732
5
43
285
4
1
3
4
1
1
✰✰✰✰
314
1.618
Total
1.770
8.890
8
1
28
4
5
5
Source: Ministry of Tourism and Trade, Dept. of Tourism
49
▪ Number of beds in tourist accommodation establishments
NUMBER OF BEDS IN TOURIST
ACCOMODATIONS BY CATEGORY
2010
2011
2012
2013
2014
✰
1.062
992
939
931
761
✰✰
4.642
4.382
3.977
3.782
3.799
✰✰✰
12.626
12.060
11.969
12.091
12.369
✰✰✰✰
13.453
14.007
15.353
15.225
15.181
2.005
2.005
2.033
2.033
1.909
✰✰✰✰✰
TOTAL
33.788
33.446
34.271
34.062
34.019
Source: Ministry of Tourism and Trade, Dept. of Tourism
▪ Number of beds in tourist accommodation establishments by category
Number of beds by category (2009 - 2014)
17.090
18.000
16.000
15.074
14.000
12.000
12.369
12.479
10.000
8.000
6.147
4.560
6.000
✰ i ✰✰
✰✰✰
2014
2013
2012
2011
2010
2009
4.000
✰✰✰✰ i ✰✰✰✰✰
50
Source: Ministry of Tourism and Trade, Dept. of Tourism
o VEHICLE ENTRIES BY BORDER
Entrada de vehicles (turismes)
4.500.000
4.100.000
3.900.000
VEHICLE ENTRIES BY BORDER
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
3.700.000
1998
Turismes
4.300.000
2000
2005
2010
2012
2013
2014
Francoandorran Border
1.444.258
1.431.385
1.286.873
1.410.844
1.310.139
1.369.071
Hispanoandorran Border
2.952.105
3.064.555
2.944.876
2.700.684
2.707.252
2.713.452
TOTAL
4.396.363
4.495.940
4.231.749
4.111.528
4.017.391
4.082.523
Source: Ministry of Justice and Internal Affaires; Department of Mobility
51
o TRADE
▪ Trading establishments
The trading tradition of Andorra is well known around Europe, thanks to 1,369 shops and businesses, the quality of their products and competitive
prices. To this must be added the flexible opening hours of the establishments and general safety everywhere in the country.
Most of the commercial trade is concentrated in Andorra la Vella, Escaldes-Engordany and Pas de la Casa.
The supply of personal effects (jewellery, perfumes, clothes, etc.), household goods and electronics is significant.
Travellers can take out specific amounts or values of products purchased in the Principality of Andorra, per person, without paying Customs duties or
tax, as long as they do not exceed the regulated limits and the products are for personal use. It should be noted that the permitted amounts and values
may vary according to age (see page 77).
1.000
1.750
950
1.700
900
1.650
1.600
850
1.550
800
1.500
750
1.450
700
1.400
1.350
650
1.300
600
Retail trade
Number of Wholesale trade establishments
1.800
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Number of Retail trade establishments
Trading establishments
Wholesale trade
Source: Ministry of Tourism and Trade; Department of Trade
52
▪ Net creation of businesses
100
80
60
40
20
0
-20
-40
-60
-80
-100
-120
-140
Wholesale trade
establishments
100
80
60
40
20
0
-20
-40
-60
-80
-100
-120
-140
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Retail trade establishments
Net growth of Trading establishments
Retail trade
Wholesale trade
Source: Ministry of Tourism and Trade; Department of Trade
53
o SKI
Andorra has three domains dedicated to snow sports: Grandvalira, Vallnord and Naturlandia, which cater for practically all snow activities, with 318
kilometres of pistes and a total of 3,075 hectares of skiable area. Grandvalira and Vallnord together have the largest concentration of mechanical ski
lifts per square metre in the world, with a capacity for transporting 156,000 people per hour.
▪ Number of ski days sold (per season)
Ski days sold
Ski days sold per season (1995 - 2015)
2.600.000
2.400.000
2.200.000
2.000.000
1.800.000
2014-15
2013-14
2012-13
2011-12
2010-11
2009-10
2008-09
2007-08
2006-07
2005-06
2004-05
2003-04
2002-03
2000-01
1999-00
1998-99
1997-98
1996-97
1995-96
1.600.000
Source: Ski Andorra
▪ Skiable domains
Km. of pistes
Ski lifts
(pers./hr.)
Day ski pass
(ave. price)
5 day pass
(ave. price)
GRANDVALIRA
210
100.700
45,0 €
201,3 €
VALLNORD
93
55.690
36,0 €
160,0 €
NATURLÀNDIA
15
TOTAL
318
SKIING DOMAINS
12,0 €
156.390
41 €
181 €
Source: Ski Andorra. Naturlàndia
54
o SPA LEISURE
This tourist offer, a feature of the country, has in Caldea
one of the principal spa leisure centres in Europe.
Caldea, with a current area of 42,745 square metres, was
opened in March 1994 and, since then, has received an
average of 360,000 visitors per year. The project –
designed by the French architect Jean-Michel Ruols –
was prepared in response to the wish of the EscaldesEngordany Commune to use the wealth of thermal
waters in its territory. Thus the concept of spa leisure
was created, understood as using the properties of
thermal water for relaxation and to recover vitality and
wellness.
The offer in Caldea is presented in two forms: the spa
leisure space and the wellness and treatment space. The
first one consists of different types of baths and
Mondaigua (an exclusive entertainment by Els
Comediants), physical conditioning and relaxation. The
second one offers various thermal circuits which can
include a broad variety of treatments.
The tourist activity of spa leisure can also be enjoyed at various places in the country, principally the top hotels, which attribute great importance to
wellness areas among their amenities.
55
o ECO-THEME PARK
Naturlandia is located in a natural setting with exceptional panoramic views. Crosscountry skiing at an altitude of 2,050 metres, the only toboggan run in the Pyrenees,
the Tobotronc space, a sled dog village and a whole range of multiple activities form
an original snow tourist offer difficult to beat in high mountain areas.
Naturlandia offers special packages of activities for adult groups, school groups, the
elderly and people with reduced capacities, and also other activities for business
incentives, adapted to each need.
The leisure offer at Naturlandia includes activities throughout both winter and
summer.
o ICE PALACE
On the road between the capital of the Country and Grandvalira is the Andorran Ice
Palace. It is located in the town centre of Canillo.
The complex offers a broad range of leisure and sports activities; for individuals and
for groups, with the appropriate specialised packages.
On the ice rink, as well as practising the different forms of skating for fun and for
sports, there are karting races on ice. The facilities are supplemented with a
swimming pool and a comprehensive fitness area.
56
o OTHER TOURIST OFFERS
The natural environment surrounding the Principality of Andorra has a rural area, the MadriuPerafita-Claror Valley, declared world heritage by UNESCO in the category of cultural landscape,
covering 4,247 hectares (10% of the land of Andorra). Also in the country are the Sorteny Natural
Park (1,080 Ha.) and Comapedrosa Natural Park (1,543 Ha.). The natural setting of the Principality
includes 72 peaks of over 2,000 metres altitude and more than 70 lakes and pools. A total of 87.5%
of the land is of high landscape value.
Also, with its historical and cultural tradition, the Country has more than 40 Romanesque
churches and offers the visitor 18 museums and 23 cultural itineraries.
Andorra released Scalada, a spectacle inspired by the nature of the country that was including acrobatic
numbers, a few striking wardrobes and a few incredible games of light, sound and special effects. In the
second edition in the country, Scalada Mater Nature, more than 80.000 spectators vibrated of emotion on
having discovered the most unusual facet of Andorra. In the present edition, it turns Cirque du Solei with
Storia, a new spectacle where it fulfils a metaphorical trip on the origins of Andorra across his legends.
57
REGISTERED POPULATION AND ESTIMATED POPULATION. IMMIGRATION. EDUCATION. HEALTH. SOCIAL SYSTEM.
CONSUMPTION. WASTE MANAGEMENT.
o REGISTERED POPULATION AND ESTIMATED POPULATION
In 2014 the total population of the Principality of Andorra was 76,949 inhabitants (76,098 in 2013). The estimated population by the Department of
Statistics is located at 70.570 inhabitants.
▪ Total population
Population evolution 1980 - 2014
90.000
76.949
80.000
72.320
Persons
70.000
64.311
70.570
60.000
54.507
50.000
Registered population
Estimated population
40.000
35.460
1980
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
30.000
Source: Communes; parish censuses by the communes // Department of Statistics
During the last 30 years the population has been multiplied by 2. There have been two clear periods of growth; the first in the late 1980s and early
1990s, and the second throughout the first decade of the 21st century. The most stable period of population was through part of the 1990s and the
early years of the 21st century.
58
▪ Estimated Population pyramid 2014
80-84 anys
70-74 anys
60-64 anys
50-54 anys
40-44 anys
30-34 anys
20-24 anys
10-14 anys
0-4 anys
-5.000
-4.000
-3.000
-2.000
-1.000
Homes
0
1.000
2.000
3.000
4.000
5.000
Dones
Source: Ministry of Finance; Department of Statistics
▪ Estimated Population by parish
Estimated Population by parish 2014
EscaldesEngordany
13.634
19%
Canillo
3.277
5%
Encamp
10.714
15%
Ordino
4.390
6%
Sant Julià de Lòria
8.522
12%
Andorra la Vella
21.126
30%
La Massana
8.907
13%
Source: Ministry of Finance
59
▪ Estimated Population by nationality
ESTIMATED POPULATION BY
NATIONALITY
Andorran
Spanish
Portuguese
French
British
Argentine
Philippine
Moroccan
Russian
Italian
Brazilian
German
Chilean
Dutch
Peruvian
Belgian
Colombian
Other nationalities
2014
%
35.424
17.227
9.360
2.731
706
518
391
379
413
323
237
206
168
184
150
151
120
1.882
50,2%
24,4%
13,3%
3,9%
1,0%
0,7%
0,6%
0,5%
0,6%
0,5%
0,3%
0,3%
0,2%
0,3%
0,2%
0,2%
0,2%
2,7%
TOTAL
70.570
100,0%
Estimated Andorran population by age 2014
>=65
3.389
9%
<18
10.927
31%
<18
18 - 34
35 - 64
13.027
37%
35 - 64
18 - 34
8.081
23%
>=65
Source: Ministry of Finance; Department of Statistics
60
▪ Demographic indicators
Rates calculated on the estimated population
Number of
births
Crude Birth rate
Short-term
fertility rate
Andorran
Spanich
French
Portuguese
Others
227
177
18
129
88
6,4
10,3
6,6
13,8
15,1
1,0
1,6
1,1
1,8
1,5
Mean Age of
woman at
childbirth
31,5
33,2
32,6
28,9
32,0
TOTAL
639
9,1
1,2
31,5
FERTILITY INDICATORS
2014
Source: Ministry of Justice and Interior; Civil Registry
MORTALITY
INDICATORS 2014
Andorran
Spanich
French
Portuguese
Others
Total deaths
Mortality rate
102
134
14
9
17
2,9
7,8
5,1
1,0
2,9
Average age at
death
74,3
76,8
71,4
53,9
65,8
TOTAL
276
3,9
74,2
Men
Women
170
106
4,8
3,0
71,1
79,1
Source: Ministry of Justice and Interior; Civil Registry
61
o IMMIGRATION (RESIDENCE PERMITS)
RESIDENCE PERMITS
2008
2010
2012
2014
Residence < 1 year
Residence 1 - 5 years
Residence 6 - 10 years
Residence 11 - 15 years
Residence 16 - 20 years
Residence > 20 years
5.673
13.303
7.666
4.280
5.542
12.451
4.783
10.021
8.858
4.981
4.728
13.394
4.071
6.821
9.614
5.666
3.723
14.387
5.054
6.004
8.204
6.589
3.844
14.711
TOTAL
48.915
46.765
44.282
44.406
Source: Ministry of Justice and Interior; Immigration Department
RESIDENCE
PERMITS
Spanish residents
French residents
Portuguese residents
Other nationalities residents
2008
2010
2012
2014
23.682
4.054
13.850
7.329
23.037
3.797
12.651
7.280
22.084
3.467
11.753
6.978
22.245
3.369
11.334
7.458
TOTAL
48.915
46.765
44.282
44.406
Source: Ministry of Justice and Interior; Immigration Department
62
▪ Residence without work permits
The following may obtain a residence without work permit:
a) resident without gainful activity: any individual who does not have Andorran nationality and fixes his main effective residence in the Principality of
Andorra for at least 90 days per calendar year and does not carry out any work or professional activity there.
Holders of a residence permit without gainful activity must invest permanently and effectively the sum of at least four hundred thousand Euros
(400,000 Euros) in any class of asset, and must leave a non-interest-bearing deposit of the sum of fifty thousand Euros (50,000 Euros) with the Andorran
National Institute of Finance (INAF). Moreover, the main holder must also make a non-interest-bearing deposit of the sum of ten thousand Euros
(10,000 Euros) for each person in his charge, who acquires the status of resident without gainful activity.
b) resident for studies, placements, sports training or research: any foreigner who is authorised to study or do a placement, sports training or research
of a scientific or similar nature and reside in the country only for the duration of his authorised studies, placement, training or research.
c) resident on the grounds of reunification: any foreigner who is authorised to reside in the Principality of Andorra with a person of Andorran nationality
or holding a residence and work permit, within the framework of family reunification.
d) resident on professional grounds with international scope: any individual who does not have Andorran nationality and fixes his main effective
residence in the Principality of Andorra for at least 90 calendar days to carry out professional activity with an international scope. The base for his
professional activity must be located in the Principality of Andorra, he must have at least one employee and at least 85% of the services provided by the
professional must be used outside Andorra.
The main holder of a residence for professionals with international scope must leave a non-interest-bearing deposit of the sum of fifty thousand Euros
(50,000 Euros) with the Andorran National Institute of Finance (INAF). Moreover, the main holder must also make a non-interest-bearing deposit of the
sum of ten thousand Euros (10,000 Euros) for each person in his charge, who acquires the status of resident as a professional with international scope.
63
e) resident on the grounds of scientific,
cultural and sports interest: any foreign
individual of international renown for his
talent in the world of science, culture or
sport, who fixes his main effective residence
in the Principality of Andorra for at least 90
days per calendar year. At least 85% of the
services provided must be used outside
Andorra.
The main holder of residence on the
grounds of scientific, cultural and sports
interest must leave a non-interest-bearing
deposit of the sum of fifty thousand Euros
(50,000 Euros) with the Andorran National
Institute of Finance (INAF). Moreover, the
main holder must also make a non-interestbearing deposit of the sum of ten thousand
Euros (10,000 Euros) for each person in his
charge, who acquires the status of resident
on the grounds of scientific, cultural and
sports interest.
f) resident through entry into a private care
home or admission into a private medical or therapy clinic: any individual who does not have Andorran nationality and fixes his permanent effective
residence in the Principality of Andorra, in a private care home or a medical or therapy clinic, for at least 90 days per calendar year without carrying out
any work or professional activity.
However, residents may carry out any activities necessary to manage their own assets and, specifically, any duties they hold as managers of entities in
which they have 50% or more of the capital or own funds, whenever the office of manager is unpaid.
64
o EDUCATION
The level of schooling in the Principality is at 100% for children and adolescents from 4 to 16 years and teaching is free up to the baccalaureate.
Andorra offers three educational systems (up to the baccalaureate): the Andorran system, which depends totally on the Andorran Government; the
Spanish system (lay and congregational, dependent on the Spanish Administration); the French system, which depends directly on the French State and
follows the educational programmes set by the French National Ministry of Education.
▪ Population by educational level
Population by educational level 2014 (%)
No studies
16,0%
Postsecundary/Selectivity/
Superior-level Training
Cycles
9,8%
Second Cycle of
Tertiary Education
8,0%
First Cycle of
Tertiary
Education
8,1%
Baccalaureate
or Middle
Grade Training
Cycles
13,1%
Primary School
23,7%
First Cycle of
Higher
Education
21,3%
Source: Ministry of Finance; Department of Statistic
65
▪ School children by levels
Students
Students & pupils by level, year 2014/2015
5.000
4.500
4.000
3.500
3.000
2.500
2.000
1.500
1.000
500
0
4.164
3.022
2.427
982
391
Maternelle
Primaire
Secondaire
(enseignement (enseignement
primaire)
secondaire)
Segondaire
supérieur
(Lycée)
Professionnel
(Formation
Professionnelle)
Source: Ministry of Education and Higher Education; Department of Professional Training and School Services
▪ School children by educational system
Students & pupils by educational system, year 2014/2015
French
educational
system
3.546
32%
Andorran
educational
system
4.358
40%
Spanish
educational
system
3.082
28%
Source: Ministry of Education and Higher Education; Department of Professional Training and School Services
66
o SOCIAL SYSTEM
Registration with the CASS (Andorran Social Security) is mandatory for all employees, paid executives and the self-employed.
The social security system is divided into three branches of cover: the general branch covers reimbursements, temporary incapacity, maternity leave,
paternity leave, risk during pregnancy, disability, lump-sum death payments and orphans’ benefits; the retirement branch covers pensions and
temporary and life widows’ pensions; and the family benefits branch covers family benefits for dependent children and birth or adoption benefit (Valid
until March 2015, when it will pass to the Ministry of Health and Welfare). 75% of medical costs are covered, 90% of hospital treatment and admission
costs, and up to 100% for anyone who suffers an accident at work or work-related illness, and for groups provided for in article 135 of Law 17/2008, of 3
October, on the social security.
Any foreigner working in the Principality must have a work permit. Once employed by a national business, he must process the relevant permit at the
Ministry of the Interior. The concession of permits by the Ministry is limited by a quota
▪ Population by types of health coverage
Health coverage, 2014
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
92,8%
62,0%
CASS
Private
mutual
2,1%
0,7%
4,1%
Foreign
Social
Security
Without
cover
CASS 100%
Source: Ministry of Finance; Department of Statistics (FBS)
67
o CONSUMPTION
The Household Budget Survey (HBS) has been carried out annually since 2001 and its main purpose
is to determine the composition of the shopping basket and the aggregate consumption.
The population researched in the sample, to which all the data refer, is a group of households in the
national territory, whatever may be the nationality or origin of the members, and with the sole
requirement that they have lived in the Principality for more than six months.
The survey has to allow an analysis of these households and the structure of consumption by their
members, using a number of variables to provide information:
- Demographic and socio-economic
- Services and equipment in the home
- Financial situation in the household
- Type of family and head of the family
- Overall spending
KEY FIGURES
Total household consumption expenditure (€)
Average household consumption expenditure (€)
Average household size
2005
996.951.594
35.517
2,6
2010
1.539.534.768
52.567
2,4
2012
1.448.488.203
50.940
2,5
Source: Ministry of Finance; Department of Statistics (HBS)
68
▪ Consumption expenditure by groups
Consumption by groups 2012
221
1- Food and Non alcoholic drink
21
2- Alcoholic drink, tobacco and narcotics
64
3- Clothing & footwear
432
4- Housing, water, electricity and heating
53
5- Furniture, products and services for the home
108
6- Health (paid and not recovered)
166
7- Transport
42
8- Communications
61
9- Leisure, entertainment and culture
11
10- Education
122
11- Hotels and restaurants
148
12- Various goods and services
0
100
200
300
EUR
400 millions 500
▪ Average price of home rentals
Average price of home rentals 2002 - 2013
800
600
498
500
400
376
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
300
2002
EUR
700
Source: Ministry of Finance; Department of Statistics (HBS)
69
▪ Energy consumption
ENERGY CONSUMPTION (TOE)
1995
2000
2005
2010
2014
71.993
44.416
54.161
40.449
1.199
1.627
25
91.616
42.102
80.590
49.302
1.045
2.165
57
118.875
31.110
92.791
64.599
844
2.693
89
129.431
22.194
87.671
58.899
540
2.400
54
120.327
19.513
86.303
45.438
358
1.971
183
213.870
266.877
311.001
301.189
274.093
ELECTRIC ENERGY (GWh)
2005
2010
2011
2012
2013
2014
Consumption
Production
Importation
535,5
83,9
451,6
584,2
112,8
471,3
557,5
91,2
466,2
561,8
87,9
473,9
553,0
114,7
438,3
542,0
126,8
415,2
Electricity
Petrol
Diesel fuel
Domestic heating oil
Butane
Propane
Coal
TOTAL
Source: Ministry of Finance. FEDA
▪ Electric Energy consumption and production
Source: FEDA
70
o VEHICLE REGISTRATIONS
The total number of vehicle registrations in the Principality during the 2014 is 3,079 vehicles, of which 2,194 are private cars.
Vehicle registrations
8.000
6.773
7.000
6.000
5.136
5.000
4.000
3.397
3.079
2.893
3.000
2.259
2.487
2.000
1.000
0
1995
2000
2005
2010
2012
2013
2014
Ministry of Public Administration, Transport and Telecommunications
o WASTE MANAGEMENT
Actions in the field of waste management are adapted to international conventions, the bilateral agreement with Spain and the standards prepared
throughout these years in the Principality of Andorra.
WASTE MANAGEMENT BALANCE SHEET
2014
Total recycled
Energy valorisation
Elimination
Quantity
(tonnes)
28.397
41.045
1.773
%
39,9
57,6
2,5
Source: Ministry of Environtment, Agriculture and Sustainability
71
o TELECOMMUNICATIONS: SUBSCRIBERS
Andorra has the most advanced telecommunications systems, both for telephones
and for Internet services. The country has been a pioneer in switching off the
analogue systems, and since September 2007 the whole Principality has had digital
terrestrial television. Equally, the extension of broadband reaches the whole of the
country, which is now immersed in a process of expansion of optic fibre to all homes
in the land.
TOTAL SERVICE SUBSCRIBERS
1995
2000
2005
2010
2013
2014
Telephone lines
XDSI channels
MOBILAND
Mobiland Clic (Prepayment) cards in use
Broadband Internet
29.795
34.215
-2.420
---
5.442
23.543
---
35.444
10.501
35.740
28.820
10.341
38.171
11.594
40.020
25.475
24.502
38.572
9.411
45.727
18.204
27.734
38.237
8.838
49.186
17.055
28.770
Source: Andorra Telecom
▪ Telecommunications: consumption
TELEPHONE & INTERNET
CONSUMPTION
ADSL Internet (GB)
Optic fibre Internet (GB)
Fixed telephones (minutes)
Mobile telephones (minutes)
1995
2000
2005
2010
2013
2014
--
--
-69.098.854
--
-156.543.738
18.750.096
--343.295.453
48.968.110
2.367.515
1.573.027
137.971.339
45.292.136
1.000.247
7.370.072
116.916.699
38.876.414
520.963
9.646.059
104.901.337
41.671.577
Source: Andorra Telecom
72
ABBREVIATIONS. WEBS OF INTEREST. LIST OF TABLES. LIST OF GRAPHICS AND ILLUSTRATIONS. HOLIDAY CALENDAR. CUSTOMS ALLOWANCES. ADDRESSES OF
INTEREST.
o ABBREVIATIONS
EUR
GDP
GVA
CPI
HBS / WFS
km
km2
kg
ha
mm
ºC
GB
n/a
% var
Abs
Qt
No.
TOE
CASS
R&D
euro
gross domestic product
gross value added
consumer price index
Household budget survey /Work force survey
kilometre
square kilometre
kilogram
hectare
millimetre
degrees Centigrade (or Celsius)
gigabytes
not available
percentage variation
given in absolute value
quarter
number
tonnes of oil equivalent
Caixa Andorrana of Social Security
Research and Development
73
o WEBS OF INTEREST
WEBS OF INTEREST
WEB SITE
URL
Department of Statistics
Cambra de Comerç, Indústria i Serveis d’Andorra
Andorran Government
http://www.estadistica.ad
http://www.ccis.ad
http://www.govern.ad
CHAPTERS
I General details
Principal figures
Current situation
II Country
Physical setting and environment
Political system and institutions
International representation
III Economy
Taxation framework
Foreign investment
Macroeconomic indicators
Sectorial economic structure
Financial sector
Public finance
Foreign trade
Labour market
IV Tourism
Visitors and overnight stays
Tourist acommodation
Ministry of Foreign Affairs
Andorran Tourism
ACTUA
WEBS OF INTEREST BY CHAPTER
URL
http://www.estadistica.ad
http://www.estadistica.ad
http://www.mediambient.ad
http://www.govern.ad
http://www.consell.ad
http://www.mae.ad
http://www.finances.ad
http://www.actua.ad
http://www.estadistica.ad
http://www.estadistica.ad
http://www.inaf.ad
http://www.aba.ad
http://www.finances.ad
http://www.duana.ad
http://www.estadistica.ad
http://www.estadistica.ad
http://www.estadistica.ad
http://visitandorra.com
http://www.turisme.ad
http://www.uha.ad
CHAPTERS
IV Tourism
Vehicle Entries by border
Trade
Skiing
Caldea
Naturlandia
V Society
Population
Immigration
Education
Health
Social System
Waste management
Telecommunications
VI Appendix
Holiday Calendar
Customs allowances
http://www.mae.ad
http://visitandorra.com
http://www.actua.ad
URL
http://www.mobilitat.ad
http://www.comerc.ad
http://www.ccis.ad
http://www.grandvalira.com
http://www.vallnord.com
http://www.skiandorra.ad
http://www.caldea.ad/
http://www.naturlandia.ad
http://www.estadistica.ad
http://www.immigracio.ad
http://www.educacio.ad
http://www.salut.ad
http://www.saas.ad
http://www.cass.ad
http://www.mediambient.ad
http://www.andorratelecom.ad/
http://www.treball.ad
http://www.ccis.ad
http://www.duana.ad
http://www.andorra.ad
74
o LIST OF TABLES
o LIST OF GRAPHICS AND ILLUSTRATIONS
Principal figures
The Principality of Andorra
Temperatures and precipitations
Types of vegetation
Estimated GDP
CPI by groups of activity
Rate of employment
Establishments by activity
Livestock flocks and herds
Tobacco production
Industrial sector establishments
Services and trade establishments
Banking sector
Andorran Government Budget
Local administration budgets (Communes)
Foreign trade
Number of employees by sector of activity
Minimum wage and CPI
Employment Service
Beds in Tourist accommodation establishments by parish
Grandvalira and Vallnord domains
Population by nationality
Birth rate
Mortality rate
Immigration: permits by duration of residence
Immigration: permits by nationality
Principal figures of consumption in homes
Energy consumption
Subscribers to telecommunications services
Telephone and Internet consumption
Balance sheet of waste management
Webs of interest
Map of the Principality of Andorra
Location of the Principality of Andorra
Weather graph
Occupation of the land
Movement of GDP
Movement of CPI
Movement of unemployment
Total establishments and net creation
Government budget settlement, by ministries
Government budget settlement, by allocation
Movement in foreign trade
Employment situation of the population
Average salary
Visitors by country/world region of residence of the visitor
Overnight stays by country/world region of residence of the tourist
Overnight stays by parish
Evolution in the entry of saloon cars
Evolution in trading establishments
Evolution in the net creation of trading establishments
Tourist accommodation establishments by type
Tourist accommodation establishments by category
Evolution in the number of beds in Tourist accommodation establishments by category
Evolution in the number of skiing days sold per season
Evolution in total population
Population pyramid
Population by parish
Evolution of the average age of the population
Internal consumption by groups
Evolution in the average rental price of homes
Vehicle registrations
Population by type of health cover
Population by level of studies
School pupils by levels
Students and pupils by educational system
75
o HOLIDAY CALENDAR
Andorra has more than 1,000 commercial establishments open all year, apart from
four days:
The rest of the year, the trade opening hours are usually:
- from 9 to 20 h from Sunday to Thursday
- and from 9 to 21 h on Fridays and Saturdays, extending to 22 h at times of great
tourist affluence such as the “Pont del Pilar” October 12, All Saints, “la Purísima”
December 8, Christmas, the Epiphany and Easter week, etc.
(*) If the constitution day (March 14th) is in weekend or in a tourist influx day, it will
be a working day for shopping axes
76
o CUSTOMS ALLOWANCES
When returning to the European Union after visiting the Principality of Andorra, each person may carry certain quantities or value of products bought in
the country, without needing to declare them to the Andorran Customs or the Community Customs.
It is recommended to find out from the Community Customs, before crossing the frontier, about any special limits which may apply, in particular on
animal or plant products, live animals, species in danger of extinction, medicines, weapons, ammunition, art objects and collectables, currency, gold and
means of payment.
Allowances per person
Industrial products
- Perfumes: 75 g perfumes + 375 ml of colognes
- Other industrial products: up to a value of €900 (**)
Agricultural products
- Coffee: 1000 g coffee or 400 g extracts
- Tea: 200 g tea or 80 g extracts
- Alcoholic beverages (*): 1.5 l liqueurs over 22 degrees or 3 l of liqueurs or aperitifs of less than 22 degrees or sparkling wine. 5
l table wine.
- Tobacco (*): 300 cigarettes or 150 cigars (less than 3 g each) or 75 cigars (of over 3 g each) or 400 g of pipe tobacco
- Other agricultural products: up to a value of 300 euro (**) but not exceeding: 2.5 kg powdered milk, 3 kg condensed milk, 6 kg
fresh milk, 1 kg butter, 4 kg cheese, 5 kg sugar and sweets, 5 kg meat.
(*) For these products there is no allowance for persons aged 17 years.
(**)For people aged under 15 years the member states of the EC may reduce the maximum allowance to half the quantities
mentioned.
77
o ADDRESSES OF INTEREST
ECONOMIC PROMOTION AGENCY
TOURIST OFFICES AND DELEGATIONS
Andorra development investment (ADI)
ACTUA initiative
C/ Camí del Grau, Ed. Prat del Rull
AD500 Andorra la Vella
Principat d’Andorra
Tel.: +376 81 20 20 Fax: +376 81 20 21
A/e: info@adi.ad
Web: http://www.adi.ad
SPAIN
Trade and Tourism Attaché of the Andorran Embassy in Spain
C/ Alcalá, 73 - 28009 Madrid
Tel.: +(34) 91 431 74 53
Fax: +(34) 91 577 63 41
infomad@andorra.es
www.andorra.es
The Chamber of Commerce, Industry and Services of Andorra (CCIS)
C Prat de la Creu, 8
AD500 Andorra la Vella
Principality of Andorra
Tel. +376 80 92 92 - Fax. +376 80 92 93
A/e: ccis@andorra.ad
Web: http://www.ccis.ad
BRUSSELS
Principality of Andorra Tourist Office
10, rue de la Montagne - 1000 Bruxelles
Tel.: +(32) 02 502 1211
Fax: +(32) 02 513 3934
info@andorra.be
www.andorra.be
Andorra Turisme SAU
C/ Prat de la Creu, 59-65, esc. D, 4rt pis
AD500 Andorra la Vella
Principat d’Andorra
Tel.: +376 89 11 89 Fax: +376 82 81 23
A/e: info@andorra.ad
Web: http://www.andorra.ad
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INSTITUTE OF ANDORRAN STUDIES
IEA (Institute of Andorran Studies)
Cenma (Centre of Snow and Mountain Studies of Andorra)
CRES (Sociological Research Centre)
Av. Rocafort, 21-23
Edifici Molí, 3r pis
AD600 Sant Julià de Lòria
Principality of Andorra
Tel.: (376) 742 630
Fax: (376) 843 585
iea@iea.ad
www.iea.ad
Institute of Andorran Studies – Centre in Barcelona (Spain)
Parc Científic de Barcelona
Baldiri Reixac, 2, 2a planta
08028 Barcelona
Tel.: (0034) 93 403 97 75
Fax: (0034) 93 403 97 74
ieabarcelona@iea.ad
Institute of Andorran Studies – Centre in Toulouse (France)
66, rue de la Pomme
31000 Toulouse
Tel.: (0033) 5 61 21 71 33
Fax: (0033) 5 61 21 71 33
ieatolosa@iea.ad
DEPARTMENT OF STATISTICS
Ministry of Finance – Government of Andorra
C/ Les Boïgues. Edif. Les Boïgues, 3
AD700 Escaldes Engordany
Principality of Andorra
Tel.: +(376) 87 57 14
Fax: +(376) 87 57 13
estadistica@govern.ad
www.estadistica.ad
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