The special relationship between Iran and Switzerland

Alain Berset (right), who held the rotating Swiss presidency, welcomed Iranian President Hassan Rohani during Rohani's official visit to Switzerland in 2018. © Keystone / Peter Klaunzer

The US-Israeli attack on Iran brings renewed attention to Bern’s special ties to Tehran. Switzerland has consistently maintained good relations with the Islamic Republic, no matter how violent it became. But economically, the Swiss calculus did not pay off.

No matter how the coming days unfold in Tehran, a change of power would be in “Switzerland’s interest”, says Kijan Espahangizi, historian at the University of Zurich. Such a shift, he argues, would open up “incredible opportunities” for Switzerland.

But how to get there? Switzerland would first have to declare the Islamic Republic illegitimate and then convene an international conference on Iran. “Such a move would secure Switzerland premium access to the Iranian market virtually overnight,” according to the historian.

Swiss harvest never materialised

The Iranian market boasts 90 million well-educated people, the second largest natural gas reserves in the world and a treasury filled with oil money.

When, after 1979, Swiss politicians flocked to Tehran to negotiate treaty after treaty with the Muslim clerics running the country, there was hope that business with Iran would soon flourish.

Yet the harvest never materialised, due to sanctions.

Former Swiss foreign minister Micheline Calmy-Rey (left) traveled in 2008 to Tehran to seal a gas purchase deal worth billions. The deal was cancelled for political reasons. Keystone / Hasan Sarbakhshian

Sanctions were first imposed by the US in 1995, followed by the UN in 2006 and later by the EU. Philippe Welti, Switzerland’s former ambassador to Iran, describes the current sanction cascade as a “dominant event” in the history of the relationship between the two countries. Welti is now the president of the Economic Chamber Switzerland-Iran (ECSI).

But how did this special, close relationship between two very different countries come about? Switzerland is small and freedom-loving, while Iran does not respect any of Switzerland’s values of freedom, democracy and equality.

How the Iranian regime worked

After the downfall of the Shah of Persia in 1979, Iran’s theocracy firmly established itself. The president was overseen by the supreme religious leader, Ali Khamenei, who was killed on February 28, 2026. Serving under him was the Islamic Guardian Council, which controlled parliament.

A repression apparatus maintained order in the Islamic state. The Revolutionary Guards, the morality police and security forces brutally crushed every outbreak of public anger until early 2026.

In 2025, Iran ranked 153^rd out of 180 countries on Transparency International’s  Corruption Perceptions IndexExternal link. The Islamic state also scored near the bottom of  the Democracy IndexExternal link, ranking 154^th out of 167.

Iran wants to build nuclear weapons. It wants to destroy Israel, and it intervened in Iraq, Lebanon and Yemen. It fuelled dictator Bashar al-Assad’s bloody war in Syria which, according to UN figures, claimed over half a million lives.

Tehran has supplied Russia with drones and supported Hamas, the Palestinian militant group that carried out the October 7, 2023 attacks in Israel that left 1,182 people dead. Switzerland classified Hamas as a terrorist group in 2025.

New violence, new sanctions

Most recently, Iran’s government has intensified its violent repression of its own citizens. In 2022, authorities crushed mass protests, killing more than 500 people and arresting over 25,000. Many detainees were subjected to torture, sexual violence, and other arbitrary abuses, accoring to rights groups. In January 2026, the regime launched another harsh crackdown in response to a new wave of unrest. An independent Iranian network of doctorsExternal link puts the death toll of that violent episode at more than 30,000. There is still uncertainty about this, partly because the regime strictly monitors the internet.

In a recent statementExternal link, the Swiss government expressed “great concern” over these deaths and summoned the Iranian ambassador. Compared with other countries such as CanadaExternal link, which called Iran the “principal source of instability and terror throughout the Middle East”, Switzerland once again stood out for its restraint.

Focus of my meeting with Iranian President Ebrahim Raisi: bilateral relations, Switzerland‘s protective power mandate & preserving the Iran nuclear deal #JCPOAExternal link. I also expressed my concerns over the death of #MahsaAminiExternal link & for the respect of #HumanRightsExternal link pic.twitter.com/CoRHqAYBfuExternal link

— Ignazio Cassis (@ignaziocassis) September 21, 2022External link

Switzerland’s dealings with Iran have always followed a two-pronged approach: trade on the one hand, special diplomatic tasks and muted criticism on the other. Trade was the goal, diplomacy the means. But it was only by keeping both tracks moving that Switzerland managed to forge an ever-closer alliance with Tehran.

The more the Iranian regime manoeuvred itself into international isolation, the more important Switzerland became – not only for Tehran but also for other Western countries that had cut their ties with Iran. Switzerland was holding the fort, built bridges and acted as a mediator. This special role legitimised the friendship with the pariah state and protected Switzerland from being ostracised by other countries.

The dogma of change through trade

At home, it also served as a justification for its close ties with Iran. Just like with China or Russia, Switzerland wanted to achieve “change through trade” in Iran. Whenever the Swiss criticised their government, the Swiss foreign ministry argued that a country could address human rights issues only if it was represented there.

In 1979 Switzerland was entrusted with its first protecting power mandate by representing Iranian interests in Egypt.

The late Ayatollah Ruhollah Khomeini, centre, is greeted by supporters after arriving at the airport in Tehran Iran in this February 1, 1979 photo. Keystone / Str

In 1980 it was mandated to represent US interests in Iran which, according to diplomatic circles, is the “crown jewel” of Swiss protecting power mandates. Saudi Arabia followed in 2017 with a double mandate (until 2023), and Canada was added to the list in 2019. That is why Switzerland owes several of its protecting power mandates to Iran, of which it has a total of seven today.

These remaining mandates are important considering that during the Second World War Switzerland held 200 such mandates. “Switzerland has a great interest in not losing these protecting power mandates,” Welti said at the time of the 2022 protests in Iran.

Yet Swiss foreign policy experts now argue that the current war has made Switzerland’s power protecting mandate in Iran obsolete. “It has been the main reason for Switzerland’s soft-pedalling towards the brutal mullah regime,” says foreign policy expert Franziska Roth, a Social Democratic senator, in reference to the Muslim Shiite clerics running Iran.

Friendship with benefits

Due to its neutrality, Switzerland has for 150 years acted as a mediator for states that have broken ties with other countries due to conflict. “There is no other country that has more experience in this matter,” says Welti, who was in charge of the US mandate during his time as ambassador in Tehran.

But how does Switzerland benefit? Protecting power mandates give the small country privileged access to world players and more clout on the international stage.

Iran also benefits. The friendship with the well-respected Alpine country has helped normalise the mullahs at international level, and they certainly don’t miss a chance to flaunt it.

H.E. Mr. Ignazio Cassis @ignaziocassisExternal link, the honorable President of the Swiss Confederation, has sent a congratulatory letter on the occasion of the Iranian National Day, to H.E. Dr. Seyed Ebrahim Raisi, the honorable President of the Islamic Republic of Iran. #IRI43External link pic.twitter.com/AN0uSXGBuLExternal link

— IRANinSWITZERLAND (@IraninBern) February 11, 2022External link

Switzerland has also helped Iran gain access to the community of nations. At Iran’s request, for example, it has campaigned for granting it access to the World Trade Organization (WTO). Rich in raw materials, Iran has been desperately trying to tap into the world economy. Its currency has crashed, and one US dollar now buys 42 million Iranian rials. Inflation stands at 50%. “Economically, Iran is a zombie,” is the assessment of External linkSwiss public broadcaster SRF.

Switzerland’s readiness to support Iran’s succession to the WTO is laid down in a roadmapExternal link for the enhancement of the bilateral relations which was signed in 2016. It comprises 13 paragraphs and covers politics, economics, nuclear safety environment, agriculture as well as legal matters.

Iranian supreme leader Ayatollah Ali Khamenei (Right) talking to Swiss President Johann Schneider-Ammann (Centre) in the presence of Iranian President Hassan Rouhani (Left) in Tehran in February 2016. Keystone / Supreme Leader Website / Handout

Paragraph 10 addresses human rights issues, but it remains vague. “The parties declare their intent to resume a dialogue on relevant human rights issues,” it reads, adding that officials should first determine the modalities of that dialogue.

Switzerland is known to regularly raise Iran’s use of the death penalty with Iran, especially when young people are involved. Indeed, hundreds of citizens are executed in Iran every year, most by hanging, and many of those killings involve minors. According to Human Rights Watch, the number of executions surged in 2025, reaching 2,167 state-sanctioned executions.

In 2018, US President Donald Trump took a tougher stance against Tehran. He wanted to bring the “mullah regime” to its knees and warned Iran’s trading partners that anyone who was doing business with Iran would not be doing business with the US.

This threat was more effective than any sanctions – also for Swiss institutions. Not a single Swiss bank dared keep even a franc on its books that might have Iranian ties. Most Swiss companies could not afford to spoil their relationship with the US.

Switzerland reacted by signing the Swiss Humanitarian Trade Agreement. Since 2020, it has allowed Swiss companies – such as Nestlé, Novartis, Roche und Syngenta – to trade in restricted areas such as medicine and food, with US approval. However, frustration quickly set in. For trade to go ahead, the companies in question had to submit their contract details to the US. Very few companies were willing to do this.

Malgré les sanctions économiques, les entreprises suisses continuent d'investir en Iran. Merci aussi au canal humanitaire pour le paiement d’aliments et des médicaments en Iran. pic.twitter.com/YDguWJccLVExternal link

— EDA – DFAE (@EDA_DFAE) September 6, 2020External link

In the end, Switzerland gained disappointingly little from its increasingly controversial engagement with Iran. The regime, however, valued the uncomplicated, albeit rule-bound, visa process for Iranian officials who wished to travel to Geneva.

There are many of them, and it is probably the greatest benefit Iran derives from this special relationship. “This is surely a concession which is very well received in Iran,” said former diplomat Welti. Geneva, he added, has always been very precious to Iran, it’s the gateway to the world, “like oxygen”.

Iranian President Mohammad Khatami (centre) and Swiss president Joseph Deiss (2nd left) in 2004 ahead of an official visit by Khatami to the World Economic Forum in Davos. Keystone / Lukas Lehmann

Edited by Marc Leutenegger

Adapted from German by Billi Bierling/ds

This article is an updated version of a Swissinfo report published on the occasion of the mass protests in Iran in 2022.