Foreign Direct Investment – Switzerland

Introduction

Switzerland has adopted a targeted FDI regime on 19 December 2025. Its scope is limited to acquisitions of control over Swiss entities active in critical sectors by foreign-state investors. The Investment Screening Act (ISA) and its implementing ordinance is expected to enter into force mid-2027.

1. What is the legal framework in force that regulates foreign investment?

Switzerland's FDI regime is enshrined in the ISA and its implementing ordinance (which, however, has not yet been adopted).

Transactions that: (i) confer sole or joint control over (ii) entities registered in the Swiss commercial register (iii) by a foreign-state investor (iv) which are active in specific critical sectors and (v) meet certain turnover or full-time equivalent (FTE) thresholds need to be notified and approved.