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Who owns Andorra?

2021-10-13

Who owns Andorra

Andorra is a small country that borders France and Spain. It has been under the control of both for centuries, but was never formally annexed to either of them. It continues to maintain its own flag (a vertical tricolor) and its national anthem. The capital of the country is called Andorra La Vella.

What is Andorra?

Andorra is located in the Pyrenees, it has an area of ​​approximately 468 square kilometers. This country is divided into 7 parishes, among which we can name Andorra La Vella and La Massana. It is considered a state that attracts a lot of tourism for its beautiful landscapes and mountains. In turn, it is a magnet for foreign investment due to its advantageous tax system . So it has been classified as one of the richest countries in the world.

However, many may wonder who Andorra belongs to. The reality is that this country is owned by two different entities: Andorran citizens and co-princes. Which are the Bishop of Urgell and the President of France.

Therefore, Andorran democracy is believed to have a unique character in the world. Which is in charge of governing the other personalities together. Something that is not usual in most countries.

History of Andorra

Andorra is a country that has a lot of history behind it. In its origins, it was populated by people from Catalonia, Andalusia and Rome. Today they are often called Andorran. It has been ruled by different monarchs at certain times. First by the Count of Urgell and then by the Dukes of Foix.

One of the greatest milestones in the history of this country has been the signing of the first Pariatge. With which the rights over the Andorran territory were divided between the count of Foix and the bishop of Urgell. Thus initiating a co-ownership relationship, in this way a feudal tribute was paid to the two houses.

Later between 1607 and 1620 Louis XIII made a union between two important titles. His rights as the co-principal of Andorra to what was then the French Crown. In this way his successors would be co-princes with the Bishop of Urgell.

Andorra’s relationship with international organizations and economic attractiveness

Andorra is a country in Europe with strong ties to the European Union (EU). Being a participant in the EU customs union. However, it has not joined the eurozone, but it is part of the Schengen area.

Additionally, Andorra has been a member of the United Nations since 1993. Holding a seat on the UN Security Council with France and Spain for 2018-19.

It has a strong economy thanks to tourism and wealthy foreign residents. Andorra uses the euro as its currency, despite not belonging to the EU. In addition, it does not tax the capital held abroad. And Andorran banks do not ask their clients for tax identification numbers.

Andorra is a popular place for foreign companies that want to avoid high taxes. What they achieve by keeping their earnings in the country’s banks.

Languages ​​spoken in Andorra

Andorra has three official languages: Catalan, Spanish and French. Which belong to the family group of Romance languages. Andorrans are known for being bilingual in Catalan and Spanish. But school-age children can learn French too.

The government has made Andorra an officially bilingual country. This means that all public posters are posted in Catalan or Spanish. Andorrans are proud of this heritage that is reflected in their official languages.

Official currency of Andorra

Although it has maintained its own national sovereignty, the official currency of the country is the euro. The one you share with all the other members of the European Union.

The French franc and the Spanish peseta were used as currency until 2002. At which point the euro entered France and Spain. Andorra was the first country to adopt the euro through a monetary agreement without belonging to the EU.

In 2009, it asked the European Council to be included in the list of countries where the euro is the official currency. Andorra was officially included in it in 2011. Therefore, it is obliged to adopt all EU legislation relating to currency.

Andorran tax system

Andorra has its own tax system, which is not part of the European Union. So it is not decentralized like many countries in Europe. Which means that Andorran taxes are defined by the General Council. He also makes decisions about social security and education.

Andorrans are committed to keeping Andorra a low-tax country. These are the lowest in Europe, making it an attractive place to live and work.

The Andorran tax system is based on the principles of equality, solidarity and freedom. Citizens pay taxes directly to the government rather than to their countries of residence. As with many nations in Europe.

It also has its own Andorran Tax Agency. This is in charge of coordinating the fiscal affairs of citizens and receives tax revenues. With which Andorra is committed to providing high quality public services to taxpayers.

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13-10-2021

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