Shares in %
2023 expenditure by task area
Social welfare: 27 167 mn
Finances and taxes: 12 208 mn
Transportation: 10 614 mn
Education and research: 8 214 mn
Security: 6 959 mn
Agriculture and food: 3 693 mn
International relations: 4 026 mn
Other tasks areas: 8 158 mn
The largest federal task area is social welfare, which accounted for around a third of expenditure (33.5%). This expenditure is bound by law and therefore barely controllable in the medium term. Half of the expenditure goes to old-age and survivors' insurance (AHV). Other areas include federal contributions to disability insurance (IV), individual premium reductions and AHV and IV supplementary benefits, as well as migration expenditure. Social welfare expenditure growth depends largely on demographic developments, as well as inflation and salary trends. Due to the aging of the population, this expenditure is growing rapidly.
Finances and taxes accounted for 15.1% of expenditure. Expenditure growth in this area can be influenced only in the long term. Third parties' shares of federal receipts, for example, are set out in the Constitution and depend directly on the amount of receipts. Interest expenditure is determined by debt and the development of interest rates. Finally, national fiscal equalization expenditure is also regulated by law. This is intended to ensure that each canton has sufficient financial resources to perform its tasks.
Transportation accounted for 13.1% of total expenditure. It includes expenditure on rail and public transportation (67%), road transportation (32%) and aviation (1.5%). Transportation expenditure is financed primarily by earmarked tax receipts and is thus largely restricted. Most of these receipts are channeled into the railway infrastructure fund (RIF) and the motorway and urban transportation fund, through which the operation, maintenance and extension of the transportation infrastructure are financed.
This task area accounted for 10.1% of federal expenditure, and around 85% of it is steered by the guarantee credits and the expenditure ceilings requested with the 2021-2024 ERI dispatch (BBl 2020 3680). Switzerland is not currently associated with EU research programs, which is why extensive transitional measures are planned. Association to the Horizon package as soon as possible remains the Federal Council's goal.
Security accounted for 8.6% of expenditure. More than 80% of security expenditure was attributable to military national defense. A real growth rate of 1.4% was planned for Armed Forces spending on operations, armaments and investments in the 2021 to 2024 expenditure ceiling. Following the outbreak of the war in Ukraine, it was decided to gradually increase Armed Forces expenditure to 1% of GDP by 2035.
This task area accounted for around 4.6% of federal expenditure, with roughly three quarters of this (2.8 bn) required for direct payments. The agriculture and food task area is steered by three expenditure ceilings: means of production, production and sales, and direct payments. Parliament set the maximum amounts for 2022 to 2025 as follows: 0.6 billion for means of production, 2.2 billion for production and sales, and 11.2 billion for direct payments.
The international relations task area accounted for 5.0% of recognized expenditure. Over three quarters concerned development cooperation. Most of the remainder was attributable to political relations, i.e. Switzerland's diplomatic and consular representations, and contributions to international organizations.
The five remaining task areas (institutional and financial conditions, culture and leisure, health, protection of the environment and spatial planning, economic relations) accounted for 10.1% of federal expenditure.
Development of 2023 expenditure
in CHF bn and % of GDP
Note: data for 2025 to 2027 based on latest budget assessment
Expenditure remained stable year on year. As nominal GDP grew only slightly (+2.3%), the Confederation's expenditure ratio fell from 10.4% to 10.2%. The expenditure ratio is a rough indicator of the extent of the Confederation's activity in relation to the economy.
Development of selected 2023 expenditure items by task area
in CHF mn and %
In 2023, total expenditure amounted to 81 billion, i.e. the same as the previous year. Extraordinary expenditure decreased, while ordinary expenditure grew by 2.8% (+2.2 bn), and thus outstripped nominal GDP growth (+2.3%). The main expenditure growth drivers were social welfare, finances and taxes, education and research, and international relations.
For the fourth year in succession, the Confederation incurred billions in extraordinary expenditure, but it was on a smaller scale than in previous years. No extraordinary expenditure to deal with the COVID-19 pandemic was incurred in 2023 (2022: 2.4 bn); only ordinary expenditure of 195 million was required. Extraordinary expenditure was once again recognized for people from Ukraine seeking protection (global lump sum to the cantons), and amounted to 1.1 billion (2022: 0.7 bn). The 4 billion rescue mechanism for the electricity industry, which was budgeted as an extraordinary item, was not utilized.
Data
Detailed data for longer periods are available under the following links:
- Link data portal
- Link Open Government Data
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Last modification 25.03.2024