In recent years, companies from emerging economies have increasingly been investing abroad, in some cases for reasons of industrial policy. Such direct investment in Switzerland has led to fears that this may result in a loss of jobs and expertise, and that public order or security may be put at risk. The Swiss Government has closely considered these potential risks in its report “Cross-border Investments and Investment Controls” of February 2019.
With the adoption of motion 18.3021 Rieder "Protection of the Swiss economy through investment controls" in March 2020, the Swiss Parliament instructed the Government to create a legal basis for controlling foreign investments. The Swiss Government is currently in the process of implementing this mandate. On 18 May 2022, it initiated the consultation on legislation to screen foreign direct investment in Switzerland. The consultation ended on 9 September 2022. All relevant information is available here (in German).
On 10 May 2023, the Federal Council took note of the results of the consultation on a new law on investment screening. There is widespread scepticism about the proposal, especially as it reduces Switzerland's attractiveness as a business location. The Federal Council has therefore instructed the Federal Department of Economic Affairs, Education and Research (EAER) to draft legislation by the end of 2023 that is limited to investments that are most critical to security (Press release).