The government has announced plans to help Yugoslavia's return to democracy following the collapse of the government of Slobodan Milosevic.
It has pledged SFr50 million ($27 million) over the next three years to aid reconstruction and the reform process.
A government delegation led by ambassador Oscar Knapp headed to Belgrade on Friday for talks with the country's newly elected president, Vojislav Kostunica.
The two sides are expected to discuss Yugoslavia's immediate humanitarian needs, as well as long-term technical and financial support.
In addition, the delegation will be holding talks on the possible inclusion of Yugoslavia among the countries represented by Switzerland at the World Bank and IMF.
In a joint statement, the foreign, finance and economics ministries said Switzerland considered it important to support reformist and democratic forces in Yugoslavia and to see the country reintegrated into the international community.
swissinfo with agencies