New Swiss government analysis has shed light on both benefits and challenges of immigration for Switzerland in key policy areas.
The topic of immigration has frequently been in the news in Switzerland, particularly in view of the proposal put forth by the rightwing Swiss People’s Party (SVP) to limit the influx of foreigners once the country’s population reaches the 10-million mark.
READ ALSO: What exactly does the Swiss ‘no to 10 million’ anti immigration proposal aim to do?
The national vote on this issue will likely take place in 2026, but in the meantime, the State Secretariat for Migration (SEM), along with 15 other federal and cantonal organisations, analysed the impact – both positive and negative – that immigrants have (and will have in the future) on Switzerland’s economy, finances, and society in general.
The report, published on November 26th, updates and expands on similar analysis carried out in 2012.
“The report draws on a wide range of statistical data to provide a solid factual basis for informing future policy decisions,” the government said.
It concluded that “immigration plays a vital role in maintaining the workforce needed for the Swiss economy.”
Clear advantages
The report found that in a context of the aging population, coupled with a low birth rate and increased demand for skilled workers, “immigration to the labour market is crucial for Switzerland’s prosperity and economic stability.”
Specifically, foreign nationals “support growth, innovation, and public health, while also contributing to public finances” – including taxes and social insurance – from which the entire population of Switzerland benefits.
READ ALSO: Immigrants make positive contributions to Swiss social system
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‘Complex challenges’
However, the report also notes that, in addition to all the advantages to Switzerland’s economy and prosperity, immigration “also presents complex challenges” – namely, to the infrastructure, spatial planning, and social integration.
These concerns are in line with the arguments advanced by the SVP, which said that foreigners who settle in Switzerland place additional burdens on the small country’s infrastructure, such as housing, public transport, health system, and schools.
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How is Switzerland addressing these challenges?
The report has outlined the following solutions proposed by the government for some of the key ‘problem areas’:
Housing
To address the growing housing shortage, the Federal Council decided to increase the allocation of the revolving fund for the construction of public housing.
The action plan also aims to promote the creation of new living spaces and increase the proportion of affordable housing.
Public transport
The government will contribute financing toward infrastructure projects in urban areas and cities particularly affected by population growth.
The Federal Roads Office and the Federal Office of Transport will plan the maintenance and development of the rail network and the national road network.
Healthcare system
The Federal Council has set new priorities for this sector, with ensuring financially sustainable healthcare coverage among one of its main objectives.
It has already defined several targets and measures to mitigate the increase in healthcare costs of hundreds pf millions of francs per year.
Furthermore, the implementation of the federal popular initiative “For Strong Nursing Care (Nursing Care Initiative),” which was accepted by the public and the cantons, is underway.
