General Information

General Information

Monaco and the international community

The Principality of Monaco is a sovereign state, recognized by the international community. Monaco is a member of major international organizations such as:
  • The United Nations (UN),
  • The Organization for Security and Cooperation in Europe (OSCE),

  • The United Nations Educational, Scientific and Cultural Organization (UNESCO),

  • The Agency International Energy Agency (AIEA)

  • The World Health Organization (WHO),

In 2004, Monaco joined the Council of Europe, allowing its citizens to assert their rights with regard to the European Court of Human Rights. The Principality is not a member of the European Union. However, under the treaties signed with many countries, including France, European standards are applicable.

Economy

The main sources of income of the Principality of Monaco are VAT (Value Added Tax), trade, real estate and tourism.

On the 1st January 1999, the Euro was introduced in Monaco. Since the 1st of January 2002, Euro notes and coins have legal tender.

Since the Franco-Monegasque Customs Convention of 18 May 1963, Monaco and France have formed a Customs union. Monaco collects VAT in its territory, and then transfers its share back to the French Government. This "sharing account of VAT" is justified by the common desire to return each State to the situation in which they would be if there was a border tax.

Taxation

The Value Added Tax (VAT) is the only direct tax levied in the Principality of Monaco.

Individuals who reside in the Principality of Monaco - whatever their nationality - are not subject to personal income tax. Under agreements between France and Monaco of 18 May 1963, residents with the French nationality, however remain subject to French personal income tax.

Companies are subject to tax on profits (IBS). Nevertheless, they are not subject to this tax as soon as they achieve more than 75% of their turnover in the Principality. Moreover, new businesses can be totally exempt from payment of the ISB the two first years of practice and benefit from reduced rates the three following years.

Geography

The territory of Monaco is situated on the coast of the Mediterranean Sea, in the south of France, near the Italian border.

Its area is 202 hectares, just over 2km².

The state boundaries are the same as the ones of the town, making it one of the peculiarities of the Principality.

The city is divided into several districts, including: Monte Carlo (Casino), Monaco-Ville (Prince's Palace, Cathedral, and Oceanographic Museum), Fontvieille, La Condamine (shopping district) and Larvotto (Beaches).

Population

In 2010, the Principality of Monaco had 35 889 inhabitants.

125 different nationalities were represented.

The Monegasque - 7634 - represented 21.5% of the population. The French represented 28.24% of the population, followed by the Italians up to 18.57% and UK at 7.51%.

Official language

The Official language is French, but given the particularly cosmopolitan city of Monaco, other languages ​​are commonly spoken especially English and Italian.

Religion

The official religion is Roman Catholicism.

Freedom of worship is guaranteed by the Constitution.

Schooling

Education is a priority for the Government of Monaco. Nine public schools and two private schools under contract with the State are established in Monaco, from kindergarten to graduation.

The system is supplemented by private structures or belonging to particular entities, such as the "International School of Monaco" which provides bilingual French-English education.

Higher education is also provided in:
  • Higher School of Fine Arts,
  • Institute of Nursing Training,
  • International University of Monaco.
     

Educational programs are based on the French Education system but with some specific characteristics, which contribute to the quality of education provided in Monaco. Focus is put on foreign languages, the practice of sports or artistic awakening.

Employment

45,000 persons are working in the private sector in Monaco (mostly non-residents) and more than 4,000 people in the public service.

The legal working time is 39 hours per week or 169 hours per month. By law, employees in the Principality benefit from five weeks of paid vacation per year. The “SMIC” (Minimum Wage) is 9.22 Euros per hour.

Individuals who do not have Monegasque nationality, wishing to take up employment in the private sector in Monaco, must first obtain a "work permit" from the Department of Employment. As well, any person or company wishing to employ a person who does not have Monegasque nationality must also obtain the prior approval of the Department of Employment. This authorization may be refused if other job seekers with equivalent qualifications (diplomas and experience), have a higher priority. (1. Nationals - 2. National’s spouses - 3. Monegasque residents with foreign nationality - 4. Residents of neighbouring municipalities)