Financial Times FT.com

Swiss tax system boosts less affluent cantons

By Haig Simonian in Zurich

Published: January 19 2008 02:36 | Last updated: January 19 2008 02:36

Even for a Swiss canton, Obwalden is neither big or famous. Lake Sarnen, named after the local capital (population 9,000) is pretty; the winding road up to the Brünig pass scenic, but neither is any more striking than dozens of others like them in Switzerland.

Infrastructure is adequate, yet Zurich international airport is one and a half hours away. Lucerne, the nearest urban centre, is home to fewer than 60,000 people; tourism and farming are the canton’s breadwinners.

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