Liechtenstein has no natural resources of commercial value, and virtually all raw materials, including wood, have to be imported. Industrialization, therefore, has as yet been free of the pollution problems suffered by other developed areas. All of the principality's forested areas are protected in order to maintain the ecology of the mountain slopes and to guard against erosion. There is no heavy industry, and the small manufacturing concerns are spread throughout the nation. Production includes metalworking, pharmaceuticals, optical lenses, electronic equipment, food processing, and the manufacture of consumer goods. In 1921 Liechtenstein adopted Swiss currency, and in 1923 it joined the Swiss customs union.

Tourism is sponsored by the government. Most visitors come from the surrounding European countries and centre their activities around Vaduz. The registration of foreign firms in Liechtenstein provides a source of tax income. The nation has also become a centre of banking because of its stable political situation and its absolute bank secrecy.