Liechtenstein is the smallest German-speaking country in the world and the only alpine country to lie entirely within the Alps. It is also the only German-speaking country not to share a common border with Germany. It is a constitutional monarchy divided into 11 municipalities. Much of Liechtenstein's terrain is mountainous, making it a winter sports destination. Many cultivated fields and small farms characterize its landscape both in the north (Unterland, lower land) and in the south (Oberland, upper land). The country has a strong financial sector located in the capital, Vaduz, and has been identified as a tax haven. It is a member of the European Free Trade Association and part of the European Economic Area but not of the European Union.
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