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Swiss Government Slams 10 Million Population Cap Plan as Threat to Economy

ZURICH, March 16 (Reuters) – The Swiss government ⁠on ⁠Monday pressed the electorate ⁠to reject an initiative aimed at restricting the ​population to 10 million, which it argues will jeopardise cooperation with ‌the European Union and damage ‌the economy.

The initiative, supported by the right-wing Swiss People’s ⁠Party, or ⁠SVP, faces a referendum on June 14 at a ​time when Switzerland is moving to deepen relations with the EU in order to safeguard market access to its main trade partner.

Under the ​plan, the permanent resident population must not exceed 10 million ⁠before 2050, ⁠and Switzerland should abandon ⁠its ​freedom of movement agreement with the EU.

Its proponents say immigration to ​Switzerland is too ⁠high, causing housing shortages, excessive rents and putting undue pressure on public infrastructure.

The SVP, Switzerland’s biggest party, opposes closer integration with the EU, seeing it as a threat to Swiss sovereignty ⁠and saddling the country with excess regulation.

The population is now over ⁠9 million, and the governing Federal Council said the initiative threatens prosperity, internal security and Switzerland’s humanitarian traditions.

As of 2024, foreign nationals made up more than 27% of the Swiss population, according to official data.

Justice Minister Beat Jans spoke out against the initiative on Monday with representatives of cantonal governments, trade unions and employers who said the ⁠measure would undermine the job market, and with it, companies.

It would also hamper cooperation on security and immigration with other European countries, the government said.

“In uncertain times, this ​initiative thus creates additional uncertainty,” it said.

(Reporting by Dave ​Graham, editing by Thomas Seythal)

Copyright 2026 Thomson Reuters.

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