SAN MARINO

The Most Serene Republic of San Marino

La Serenissima Repubblica di San Marino

CAPITAL: San Marino

FLAG: The flag is divided horizontally into two equal bands, sky blue below and white above.

ANTHEM: Onore a te, onore, o antica repubblica (Honor to You, O Ancient Republic).

MONETARY UNIT: The Italian lira was replaced by the euro as official currency as of 2002. The euro is divided into 100 cents. There are coins in denominations of 1, 2, 5, 10, 20, and 50 cents and 1 euro and 2 euros. There are notes of 5, 10, 20, 50, 100, 200, and 500 euros. €1 = $1.25475 (or $1 = €0.79697) as of 2005. The country issues its own coins in limited numbers as well. Coins of San Marino may circulate in both the republic and in Italy.

WEIGHTS AND MEASURES: The metric system is the legal standard.

HOLIDAYS: New Year's Day, 1 January; Epiphany, 6 January; Anniversary of St. Agatha, second patron saint of the republic, and of the liberation of San Marino (1740), 5 February; Anniversary of the Arengo, 25 March; Investiture of the Captains-Regent, 1 April and 1 October; Labor Day, 1 May; Fall of Fascism, 28 July; Assumption and August Bank Holiday, 14–16 August; Anniversary of the Foundation of San Marino, 3 September; All Saint's Day, 1 November; Commemoration of the Dead, 2 November; Immaculate Conception, 8 December; Christmas, 24–26 December; New Year's Eve, 31 December. Movable religious holidays include Easter Monday and Ascension.

TIME: 1 pm = noon GMT.

LOCATION, SIZE, AND EXTENT

San Marino is the third-smallest country in Europe. With an area of 60 sq km (23 sq mi), it extends 13.1 km (8.1 mi) ne–sw and 9.1 km (5.7 mi) se–nw. Comparatively, the area occupied by San Marino is about 0.3 times the size of Washington, DC. It is a landlocked state completely surrounded by Italy, with a total boundary length of 39 km (24 mi).

TOPOGRAPHY

The town of San Marino is on the slopes and at the summit of Mt. Titano (755 m/2,477 ft), and much of the republic is coextensive with the mountain, which has major limestone pinnacles. Each of the peaks is crowned by old fortifications; on the north by a castle and the other two by towers. Level areas around the base of Mt. Titano provide land for agricultural use. The San Marino River begins in Italy and flows northward through the western portion of the country, forming part of the nation's western border. The Ausa River in the northwest and the Marano River of the east central region both drain into the Adriatic Sea.

CLIMATE

The climate is that of northeastern Italy: rather mild in winter, but with temperatures frequently below freezing, and warm and pleasant in the summer, reaching a maximum of 26°c (79°f). Winter temperatures rarely fall below 7°c (19°f). Annual rainfall averages between 56 and 80 cm (22 to 32 in).

FLORA AND FAUNA

The republic has generally the same flora and fauna as northeastern Italy. The hare, squirrel, badger, fox, and porcupine are among the more common animals seen. Most of the landscape has been cultivated with orchards, vineyards, and olive groves.

ENVIRONMENT

Urbanization is the primary concern for the environment; however, the country has shown great care for environmental protection and preservation both within its own borders and in the global arena. Environmental protection is controlled by the Ministry of State for Territory, Environment, and Agriculture. San Marino has no endangered species; however, the lesser horseshoe bat and the common otter are listed as near threatened.

POPULATION

The population of San Marino in 2005 was estimated by the United Nations (UN) at 30,000, which placed it at number 189 in population among the 193 nations of the world. In 2005, approximately 16% of the population was over 65 years of age, with another 15% of the population under 15 years of age. According to the UN, the annual population rate of change for 2005–10 was expected to be 0.3%, a rate the government viewed as satisfactory. The projected population for the year 2025 was 30,000. The population density was 500 per sq km (1,295 per sq mi). San Marino is one of the most densely populated countries in the world.

The UN estimated that 84% of the population lived in urban areas in 2005, and that urban areas were growing at an annual rate of 0.89%. The capital city, San Marino, had a population of 5,000 in that year.

MIGRATION

Immigrants come chiefly from Italy; emigration is mainly to Italy, the United States, France, and Belgium. Foreigners who have been resident in San Marino for 30 years can become naturalized citizens.

In 1999, the net migration rate was 4.23 migrants per 1,000 population. In 2005, there was an increase to an estimated 10.84 migrants per 1,000 population. In 2000 the number of migrants living in San Marino was 9,000, approximately one-third of the total population. The government views the migration levels as satisfactory.

ETHNIC GROUPS

The native population is predominantly of Italian origin.

LANGUAGES

Italian is the official language.

RELIGIONS

It has been estimated that over 95% of the population is Roman Catholic; however, while Roman Catholicism is dominant, it is not the state religion. The Catholic Church does receive direct benefits from the State, but so do other charities, including two religions—the Waldensian Church and Jehovah's Witnesses. There are small groups of Baha'is and Muslims. Certain Catholic holidays are recognized as national holidays.

TRANSPORTATION

Streets and roads within the republic totaled about 220 km (140 mi) in 2002, and there is regular bus service between San Marino and Rimini. Motor vehicle registrations in 1995 included 22,945 passenger cars and 3,546 commercial vehicles. An electric railroad, 32 km (20 mi) long, between Rimini and San Marino was inaugurated in 1932. Damaged as a result of a British air raid on 26 June 1944, it has been out of service since that time. A 1.5-km (0.9-mi) cable-car service from the city of San Marino to Borgo Maggiore is operated by the government. There is helicopter service between San Marino and Rimini in summer.

HISTORY

San Marino, the oldest republic in the world, is the sole survivor of the independent states that existed in Italy at various times from the downfall of the Western Roman Empire to the proclamation of the Kingdom of Italy in 1861. (The Vatican City State, which is also an independent enclave in Italy, was not constituted in its present form until the 20th century.)

According to tradition, the republic was founded in ad 301 by Marinus, a Christian stonecutter who fled from Dalmatia to avoid religious persecution; later canonized, St. Marinus is known in Italian as San Marino. If founded at the time asserted by tradition, San Marino is the oldest existing national state in Europe. There was a monastery in San Marino in existence at least as early as 885.

Because of the poverty of the region and the difficult terrain, San Marino was rarely disturbed by outside powers, and it generally avoided the factional fights of the Middle Ages. For a time, it joined the Ghibellines and was therefore interdicted by Pope Innocent IV in 1247–49. It was protected by the Montefeltro family, later dukes of Urbino, and in 1441, with Urbino, it defeated Sigismondo Malatesta and extended the size of its territory. It was briefly held by Cesare Borgia in 1503, but in 1549 its sovereignty was confirmed by Pope Paul III. In 1739, however, a military force under a papal legate, Cardinal Giulio Alberoni, occupied San Marino and unsuccessfully attempted to get the Sanmarinese to acknowledge his sovereignty over them. In the following year, Pope Clement II terminated the occupation and signed a treaty of friendship with the tiny republic. Napoleon allowed San Marino to retain its liberty; the Sanmarinese are said to have declined his offer to increase their territory on the grounds that smallness and poverty alone had kept them from falling prey to larger states.

In 1849, Giuseppe Garibaldi, the liberator of Italy, took refuge from the Austrians in San Marino; he departed voluntarily shortly before the Austrians were to invade the republic to capture him. San Marino and Italy entered into a treaty of friendship and customs union in 1862. This treaty was renewed in March 1939 and amended in September 1971.

During the period of Mussolini's rule in Italy, San Marino adopted a Fascist type of government. Despite its claim to neutrality in World War II, Allied planes bombed it on 26 June 1944. The raid caused heavy damage, especially to the railway line, and killed a number of persons. San Marino's resources were sorely taxed to provide food and shelter for the over 100,000 refugees who obtained sanctuary during the war.

The elections of 1945 put a coalition of Communists and left-wing Socialists in control of the country. In 1957, some defections from the ruling coalition were followed by a bloodless revolution, aided by Italy, against the government. The leftists surrendered, and some were imprisoned. The rightists, chiefly Christian Democrats, won the election of 1959 and remained in power until 1973, chiefly in coalition with the Social Democrats. In March 1973, after splitting with the Social Democrats, the Christian Democrats formed an unstable coalition with the Socialists. After new elections in May 1978, the Communists, the Socialists, and the Socialist Unity Party, who together commanded a one-seat majority in the legislature, formed a governing coalition; San Marino thus became the only West European country with a Communist-led government. This coalition governed until 1986, when a Communist–Christian Democratic coalition replaced it; this was the first coalition government formed by these two parties in San Marino's history.

As of 2005, the ruling coalition was composed of the Sanmarinese Christian-Democratic Party and the Sanmarinese Socialist Party. In December 2003, Fabio Berardi was named secretary of state for foreign and political affairs, the equivalent of the office of a prime minister.

San Marino's high standard of living makes Sanmarinese citizenship a valuable commodity. With the only ways for foreigners to obtain citizenship being to reside in San Marino for 30 years or marry a male citizen, the government passed a law in August 1999 prohibiting female household servants under 50 because of the potential for elderly men to fall for their young female help who may have suspicious motives.

Also in 1999, San Marino joined the European Monetary Union and adopted the euro as its currency. The Europe-wide single currency was forecast to boost tourism but simultaneously hurt Sanmarinese bank revenues as the banks would no longer be able to charge fees for currency exchange. In June 2000, the OECD accused Sanmarinese banks of making the country a "harmful" tax haven; San Marino promised to reform its banking practices.

Because San Marino has a customs union with Italy, it enjoys all of the benefits that flow from European Union membership. However, San Marino's goal ultimately is to become a full-fledged member of the EU.

GOVERNMENT

Legislative power is exercised by the Grand and General Council (Consiglio Grande e Generale) of 60 members, regularly elected every five years by universal suffrage at age 18. The Council elects from among its members a State Congress (Congresso di Stato) of 10 members (3 secretaries of state and 7 ministers of state), which makes most administrative decisions and carries them out. In 1960, universal male suffrage was established in place of the previous system, whereby only heads of families voted. Women also received the franchise effective in 1960 and were first permitted to run for office in 1974 (they voted in national elections for the first time in 1964). Nearly 100% of eligible voters participate in elections.

Two members of the Council are named every six months to head the executive branch of the government; one represents the town of San Marino and the other the countryside. The terms of these officials, called captains-regent (capitani reggenti ), begin on 1 April and 1 October. The captains-regent, who must be nativeborn citizens, are eligible for reelection after three years. As of September 2005, the captains-regent were Cesare Gasperoni (PDCS) and Fausta Simona Morganti (Party of Democrats—PD). The secretary of state for foreign and political affairs serves the function of a prime minister. Fabio Berardi was chosen to fill this office in December 2003. The next election for captains-regent was scheduled for March 2006 and for secretary of state for foreign and political affairs in June 2006.

POLITICAL PARTIES

The political parties in San Marino have close ties with the corresponding parties in Italy. Parties represented in the Grand and General Council following the 2001 elections were as follows: Christian Democratic Party (PDCS), 25; San Marino Socialist Party (PSS), 15; the Party of Democrats (PD), 12; Popular Alliance of Sanmarinese Democrats for the Republic (APDS), 5; Communist Refounding (RCS), 2; and the Sanmarinese National Alliance (ANS), 1. The next election was scheduled to be held by June 2006.

LOCAL GOVERNMENT

San Marino consists of nine administrative divisions or castles (castelli ): Acquaviva, Borgo Maggiore, Chiesanuova, Domagnano, Faetano, Fiorentino, Monte Giardino, San Marino, and Serravalle. Each castle has an auxiliary council, elected for a four-year term. It is headed by an offcial called the captain of the castle, who is elected every two years.

JUDICIAL SYSTEM

There is a civil court, a criminal court, and a superior court, but most criminal cases are tried before Italian magistrates because, with the exception of minor civil suits, the judges in Sanmarinese cases are not allowed to be citizens of San Marino. Appeals go, in the first instance, to an Italian judge residing in Italy. The highest appellate court is the Council of Twelve, chosen for six-year terms from members of the Grand and General Council. The rights of the accused, including the rights to a public trial, legal counsel and other procedural safeguards, are guaranteed by law and observed in practice.

ARMED FORCES

The San Marino militia nominally consists of all able-bodied citizens between the ages of 16 and 55, but the armed forces actually maintained are principally for purposes of ceremonial display; these include the noble guard used in various functions.

INTERNATIONAL COOPERATION

San Marino became a member of the United Nations on 2 March 1992; it belongs to several nonregional specialized agencies, such as the FAO, the World Bank, ILO, UNCTAD, UNESCO, and the WHO.

San Marino is also a member of the OSCE and the Council of Europe. In environmental cooperation, the nation is part of the Convention on Biological Diversity, the Nuclear Test Ban Treaty, and the UN Conventions on Climate Change and Desertification.

ECONOMY

Farming was formerly the principal occupation, but it has been replaced in importance by light manufacturing. However, the main sources of income are tourism, which accounted for more than 50% in 2001, and remittances from Sanmarinese living abroad. Some government revenue comes from the sale of postage stamps and coins and from Italy's subsidy to San Marino in exchange for which San Marino does not impose customs duties. The GDP growth has been impressive and consistent, averaging 7.68% from 1997 to 2001. Inflation, at 2% in 1997, increased to 3.3% in 2001, averaging 2.8% across the five-year period. Unemployment dropped steadily from 4.9% in 1997 to 2.6% in 2001. In purchasing power parity (PPP) terms, per capita income was at $34,600 in 2001.

The fact that San Marino is an enclave of Italy means that, apart from political links, it shares strong economic ties to the latter. The two countries form a customs union and share the same currency, although San Marino mints its own coins. Migrant workers from surrounding Italian regions boost the country's small labor force. The economic data available for San Marino is scattered and highly estimative.

Thus, in 2002 the GDP was $1.1 billion, and per capita income, in real terms, reached $29,000. The economy seems to be fairly dynamic as in 2004 the GDP growth rate was 2%. Natural resources include building stone and agricultural products (wheat, grapes, maize, olives, cattle, pigs, horses, meat, cheese, and hides).

INCOME

The US Central Intelligence Agency (CIA) reports that in 2005 San Marino's gross domestic product (GDP) was estimated at $940.0 million. The CIA defines GDP as the value of all final goods and services produced within a nation in a given year and computed on the basis of purchasing power parity (PPP) rather than value as measured on the basis of the rate of exchange based on current dollars. The per capita GDP was estimated at $34,600. The annual growth rate of GDP was estimated at 7.5%. The average inflation rate in 2001 was 3.3%.

LABOR

In the latest years for which data was available, the labor force in 1999 totaled about 18,500. In 2000, it was estimated that the services sector provided employment for 57% of the workforce, with industry accounting for 42% and agriculture 1%. The unemployment rate in 2001 stood at 2.6%.

Labor federations include the Democratic Federation of Sanmarinese Workers, affiliated with the International Confederation of Free Trade Unions, and the General Federation of Labor. About 50% of the workforce is unionized. The minimum working age is 16 without any exceptions. In 2001, the minimum wage was $1,200 per month although most wages are higher than the minimum.

AGRICULTURE

About 17% of the land is arable. Annual crop production includes wheat and grapes, as well as other grains, vegetables, fruits, and fodder.

ANIMAL HUSBANDRY

Livestock raising uses some 1,400 hectares (3,500 acres), or about 23% of the total area. Cattle, hogs, sheep, and horses are raised.

FISHING

There is no fishing.

FORESTRY

Small quantities of wood are cut for local use.

MINING

San Marino had no commercial mineral resources.

ENERGY AND POWER

Electric power is imported from Italy.

INDUSTRY

Manufacturing is limited to light industries such as textiles, bricks and tiles, leather goods, clothing, and metalwork. Cotton textiles are woven at Serravalle; bricks and tiles are made in La Dogana, which also has a dyeing plant; and cement factories and a tannery are located in Acquaviva, as well as a paper-making plant. Synthetic rubber is also produced. The pottery of Borgo Maggiore is well known. Gold and silver souvenirs are made for the tourist trade. Other products are Moscato wine, olive oil, and baked goods. A significant source of revenue is the selling of stamps to foreign collectors.

SCIENCE AND TECHNOLOGY

Sanmarinese students generally pursue their scientific and technical training abroad, since science and technology resources are domestically limited. The Universita Degli Studi, founded in 1987, has a department of technology. The Institute of Cybernetics, founded in 1965, offers courses in computer science.

DOMESTIC TRADE

There are small general stores in the capital and the smaller towns. Billboards and newspapers are the main advertising medium. A weekly market is held at Borgo Maggiore, which also sponsors an annual fair for the sale of cattle and sheep. Most retail trade within the country is focused on goods and services that support the tourism industry.

FOREIGN TRADE

Records of foreign trade are not published, but it is known that imports exceed exports. Principal exports are wine, textiles, furniture, quarried stone, ceramics, and handicrafts. The chief imports are raw materials and a wide variety of consumer goods. San Marino has a customs union with Italy. In 1999, San Marino joined the European Monetary Union (EMU), further strengthening its ties to the EU.

Estimates of the US State Department show that in 2001, exports totaled around $2.0 billion, while imports amounted to $2.1 billion. More than 85% of the exports went to Italy, and included mainly manufactured goods, lime, wood, and food. Most of the imports came also from Italy and included consumer manufactures, food, and raw materials (including energy). San Marino also does trade with countries in Western and Eastern Europe, with South America, China, and Taiwan.

BALANCE OF PAYMENTS

Since imports and exports are not subject to customs duties, no record is kept of foreign payments transactions. Receipts from tourism, remittances from Sanmarinese working abroad, and sales of postage stamps to foreign collectors are principal sources of foreign exchange.

BANKING AND SECURITIES

The principal bank, the Cassa di Risparmio, was founded in 1882. Other banks include the Banca Agricola and the Cassa Rurale. There are no securities transactions in San Marino. In 1999 San Marino joined the European Monetary Union (EMU) and adopted the euro.

INSURANCE

Several major Italian insurance companies have agencies in San Marino.

PUBLIC FINANCE

The government derives its revenues mainly from the worldwide sale of postage stamps, direct and indirect taxes, and yearly subsidies

by the Italian government. State budgets have increased sharply in recent years.

The US Central Intelligence Agency (CIA) estimated that in 2000 San Marino's central government took in revenues of approximately $400 million and had expenditures of $400 million.

The International Monetary Fund (IMF) reported that in 2002, the most recent year for which it had data, central government revenues were €438,922 and expenditures were €426,864. The value of revenues was us$413,064 and expenditures us$388,722, based on a market exchange rate for 2002 of us$1 = €1.0626 as reported by the IMF. Government outlays by function were as follows: general public services, 14.5%; public order and safety, 2.9%; economic affairs, 14.3%; environmental protection, 3.2%; housing and community amenities, 2.3%; health, 18.1%; recreation, culture, and religion, 2.3%; education, 9.4%; and social protection, 32.8%.

TAXATION

Legislation introducing San Marino's first income tax was passed by the Grand and General Council in October 1984. A general income tax is applied progressively to individuals (12–50% in 1992) and a flat rate of 24% to corporations. Also levied are a stamp duty, registration tax, mortgage tax, and succession duty.

CUSTOMS AND DUTIES

San Marino's trade policy is governed by its customs union with Italy. There is a one-phase duty system on imported goods, which closely follows the rates of the Italian value-added tax (VAT) system. In 1992, there was a 14% tax on imports. In 1999 San Marino joined the European Monetary Union.

FOREIGN INVESTMENT

Information on foreign investment is not available.

ECONOMIC DEVELOPMENT

In addition to promoting tourism in San Marino, the government has encouraged the establishment of small-scale industries and service-oriented enterprises (40–60 employees) by offering tax exemptions for 5–10 years.

The tourist industry is the main source of revenue for the country (about 50% of total revenues), so economic development strategies are coiled around this sector. More than 3 million tourists visit the small republic every year, and they constitute the primary market for all of San Marino's other industries. Stamps are one of the country's main export goods.

SOCIAL DEVELOPMENT

A social insurance system provides pensions for old age and disability. Employers, employees, and the government all contribute to the system. Self-employed contributions vary. There is universal medical coverage and maternity benefits of 100% of earnings for five months. All employees and self-employed persons have work injury insurance. Unemployment is only available to salaried employees and excludes civil servants.

The law mandates that women have equal access to employment opportunities, and in practice women face little or no discrimination in employment and in pay. Women actively participate in all careers including high public office. Laws protect women from violence, and instances of spousal abuse are infrequent.

The government is committed to protecting human rights. Prisons meet international standards and are open for inspection by human rights monitors.

HEALTH

Public health institutions include the State Hospital (opened in 1975), a dispensary for the poor, and a laboratory of hygiene and prophylaxis. All citizens receive free, comprehensive medical care. As of 2004, there were an estimated 251 physicians, 506 nurses, 26 midwives, 41 dentists, and 52 pharmacists per 100,000 people.

As of 2002, the crude birth rate and overall mortality rate were estimated at, respectively, 10.6 and 7.8 per 1,000 people. In 2005, the estimated average life expectancy was 81.62 years and infant mortality was estimated at 5.73 per 1,000 live births. The estimated maternal mortality was 5 per 100,000 live births.

The immunization rates for children under one year old in San Marino were as follows: diphtheria, pertussis, and tetanus, 93%; polio, 100%; measles, 96%; and hepatitis B, 98%.

HOUSING

San Marino has over 7,000 dwellings, virtually all with electricity and piped-in water. Most new construction is financed privately. The housing stock for the nation is generally adequate to supply the population. Government concerns are primarily focused on preventing over-construction of rural areas.

EDUCATION

Primary education is compulsory for all children between the ages of 6 and 16; the adult literacy rate is about 98%. The program of instruction is patterned after the Italian curriculum, and San Marinese school certificates are recognized by Italy. Children go through five years of primary education followed by three years of secondary education at the first stage and a further three years of senior secondary school. At the secondary level, students may choose to attend technical or vocational programs instead of general (classical) studies. The academic year runs from October to July.

In 2000, there were about 1,000 students enrolled in primary school and 1,000 enrolled in secondary school. Nearly all students complete their primary education.

The University of San Marino is the primary institution of higher education. The adult literacy rate has been estimated at about 96%.

LIBRARIES AND MUSEUMS

In the capital city is the Biblioteca di Stato, containing a library of some 110,000 books, documents, and pamphlets. The Palazzo del Valloni also houses the state archives, as well as a collection of rare coins and medals. The State University has a small collection of 23,000 volumes.

The Palazzo del Governo (built in 1894) and most other large buildings in the capital are of comparatively recent date, but many monuments have been rebuilt in an earlier style. In 2001, there were 10 museums in the country. One of them is devoted to the postage stamps of San Marino and other countries. The National Gallery of Modern Art is also in San Marino. The 14th-century church of San Francesco has paintings by several minor masters. The three old fortresses of Guaita, Fratta, and Montale are situated on the three pinnacles of Mt. Titano. There is also a museum in Borgia Maggiore devoted to objects connected with Garibaldi's stay in the republic.

MEDIA

An automatic telephone system, integrated into Italy's system, served 20,600 mainline telephones in 2002. The same year, there were an additional 16,800 mobile cellular phones in use throughout the country. In 1998, there were 3 FM radio stations and one television station receiving mostly foreign broadcasts. San Marino RTV was the state-owned national TV and radio broadcaster. There were 595 radios and 357 television sets per 1,000 population in 1997. In 2002, there were 14,300 Internet users in the country. In 2004, there were 1,763 Internet hosts.

In 2002, there were five major daily newspapers: Il Nuovo Titano (circulation 1,300), Riscossa Socialista, Notiziario, San Marino, and La Scintilia. There are also a number of government bulletins. The law provides for freedom of speech and of the press and the government generally respects these rights in practice.

ORGANIZATIONS

Business and labor organizations include the National Association for Industry of San Marino, National Small Enterprise Association of San Marino, Autonomous Workers Association of San Marino, Labour Confederation of San Marino, and the Democratic Workers Confederation of San Marino.

National youth organizations include the Young Christian Democrats and The Catholic Guide and Scout Association of San Marino. There are sports associations representing athletes in a variety of pastimes, such as weightlifting, tennis, football (soccer), and track and field. Many sports clubs are affiliated with the national Olympic Committee and other international organizations.

Volunteer service organizations, such as the Lions Clubs and Kiwanis International, are also present. The Red Cross and UNICEF have national chapters.

TOURISM, TRAVEL, AND RECREATION

The government has promoted tourism so successfully that in the summer during the 1980s the number of San Marino residents was often exceeded by the number of visitors (20,000–30,000 daily). Growth in the tourist industry has increased the demand for San Marino's stamps and coins, gold and silver souvenirs, handicrafts, and pottery.

Principal attractions are the three medieval fortresses at the summit of Mt. Titano and the magnificent view from there of Rimini and the Adriatic Sea. The State Tourism, Sports, and Entertainment Board maintains various recreational facilities.

There were 683 hotel rooms in 2003, with 1,549 beds. The average length of stay was 1.5 nights that year.

In 2005, the US Department of State estimated the daily cost of travel in San Marino at $227.

FAMOUS SANMARINESE

Giambattista Belluzzi, a 16th-century military engineer in the service of Florence, was born in San Marino. Well-known Italians who were associated with San Marino include Cardinal Giulio Alberoni (1664–1752), who attempted to subject the republic to papal domination in 1739–40; Count Alessandro Cagliostro (Giuseppe Balsamo, 1743–95), a Sicilian adventurer, imposter, and alchemist; Bartolommeo Borghesi (1781–1860), an antiquarian, epigrapher, and numismatist, who resided in San Marino from 1821 to 1860; and Giuseppe Garibaldi (1807–82), the great Italian patriot, who obtained refuge from the Austrians in San Marino in 1849.

DEPENDENCIES

San Marino has no territories or colonies.

BIBLIOGRAPHY

Catling, Christopher. Umbria, the Marches, and San Marino. Lincolnwood, Ill.: Passport, 1994.

Duursma, Jorri. Self-Determination, Statehood, and International Relations of Micro-states: the Cases of Liechtenstein, San Marino, Monaco, Andorra, and the Vatican City. New York: Cambridge University Press, 1996.

Johnson, Virginia Wales. Two Quaint Republics: Andorra and San Marino. Boston: Estes, 1913.

Kochwasser, Friedrich. San Marino: die Älteste und Kleinste Republik der Welt. Herrenalb: Horst Erdmann, 1961.

San Marino

PROFILE
PEOPLE AND HISTORY
GOVERNMENT
POLITICAL CONDITIONS
ECONOMY
FOREIGN RELATIONS
U.S.-SAN MARINO RELATIONS
TRAVEL

Compiled from the October 2007 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:

Republic of San Marino

PROFILE

Geography

Area: 61.2 sq. km.; about one-third the size of Washington, DC.

Cities: Capital—San Marino (pop. 4,482). Other cities—Serravalle, Borgo Maggiore, Domagnano.

Terrain: Rugged mountains.

Climate: Mediterranean; mild to cool winters; warm, sunny summers.

People

Nationality: Noun and adjective— Sammarinese.

Population: (September 2006) 30,002.

Ethnic groups: Sammarinese, Italian.

Religions: Roman Catholic.

Languages: Italian.

Education: Literacy—96%.

Health: Infant mortality rate: (2006)—5.63/1,000 live birth rates. Life expectancy (2006)—78.6 for men and 85.5 for women.

Work force: (May 2007) 21,844.

Government

Type: Independent republic.

Constitution: October 8, 1600, electoral law of 1926 and manuscript of rights (1974) serve some of the functions of the Constitution.

Government branches: Executive—Captain Regent Mirko Tomassoni and Captain Regent Alberto Selva (co-chiefs of state); Congress of State (cabinet) elected by the Great and General Council; Secretary of State for Foreign and Political Affairs Fiorenzo Stofli (head of government). Legislative—unicameral parliament: 60-member Great and General Council. Judicial—Council of Twelve.

Political subdivisions: 9 municipalities.

Political parties: Christian Democratic Party, Party of Socialists and Democrats, National Alliance, Popular Alliance, United Left, New Socialist Party, We Sammarinesi, Sammarinesi for Freedom.

Suffrage: Universal, 18 years of age.

Economy

GDP: (2006 estimate) Euros 1.180 billion (approx. $1.7 billion).

Per capita income: (2005) Euros 28,570 (approx. $41,400).

GDP growth: (2006 est.) 6.7%.

Natural resources: Building stone.

Agriculture: Products—wheat, grapes, maize, olives, cattle, pigs, horses, meat, cheese, hides.

Industry: Types—tourism, textiles, electronics, ceramics, cement, wine.

Trade: Exports (2005)—2.035 billion Euros (approx. $2.9 billion). 90% to Italy. Imports (2005)—2.076 billion Euros (approx. $3.0 billion) manufactured goods, food. Partners—Italy, Western Europe, Eastern Europe, South America, China, Taiwan.

PEOPLE AND HISTORY

The population of San Marino is comprised of native Sammarinese and Italian citizens. Crop farming, sheep farming, and the working of stone from the quarries formed the early backbone of San Marino's economy. It has no mineral resources, and today most of the land is cultivated or covered by woods.

According to tradition, San Marino was founded in AD 301 when a Christian stonemason named Marinus the Dalmatian fled to the island of Arbe to escape the anti-Christian Roman Emperor Diocletian. Marinus hid on the peak of Mount Titano and founded a small community of people following their Christian beliefs. It is certain that the area had been inhabited since prehistoric times, although evidence of existence on Mount Titano only dates back to the Middle Ages. In memory of the stonecutter, the land was renamed “Land of San Marino” and was finally changed to its present-day name, “Republic of San Marino.”

The original government structure was composed of a self-governed assembly known as the Arengo, which consisted of the heads of each family. In 1243, the positions of Captains Regent (Capitani Reggenti) were established to be the joint heads of state.

The land area of San Marino consisted only of Mount Titano until 1463, at which time the republic entered into an alliance against Sigis-mondo Pandolfo Malatesta, Lord of Rimini, who was later defeated. As a result, Pope Pius II Piccolomini gave San Marino the towns of Fiorentino, Montegiardino, and Serravalle. Later that year, the town of Faetano joined the republic on its own accord. Since then, the size of San Marino has remained unchanged.

San Marino has been occupied by foreign militaries twice in its history, both for only short periods of time. In 1503, Cesare Borgia, known as Valentino, occupied the republic until his death several months later. In 1739, Cardinal Alberoni used military force to occupy the country. Civil disobedience was used to protest his occupation, and clandestine notes sent to the Pope to obtain justice were answered by the Pope's recognition of San Marino's rights and restoration of San Marino's independence.

GOVERNMENT

The Arengo, initially formed with the heads of each family, relinquished its power to the Great and General Council. In 1243, the first two Captains Regent were nominated by the Council, and this method of nomination is still in use today. The Council is composed of 60 members who are elected every 5 years under a proportional representation system in all nine administrative districts. These districts (Townships) correspond to the old parishes of the Republic, and each one is ruled by a Council, which is chaired by a Captain elected every 5 years. The Great and General Council approves the budget, as well as the nominations of Captains Regent and heads of the Executive.

Every 6 months, the Council elects two Captains Regent to be the heads of state. The Regents are chosen from opposing parties so they can keep an eye on each other. They serve a 6-month term. The investiture of the Captains Regent takes place on April 1 and October 1 in every year. Once this term is over citizens have 3 days in which to file complaints about the previous Regents' activities. If they warrant it, judicial proceedings against the former head(s) of state can be initiated.

The State Congress, composed of 10 Secretaries, wields executive power. The 10 Secretaries are (1) Secretary of State for Foreign and Political Affairs, and Economic Planning; (2) Secretary of State for Internal Affairs and Civil Defense; (3) Secretary of State for Finance, Budget, and Relations with the State Philatelic and Numismatic Office; (4) Secretary of State for Education, Culture, University and Social Affairs; (5) Secretary of State for Territory, Environment and Agriculture; (6) Secretary of State for Health and Social Security; (7) Secretary of State for Industry, Trade and Relations with the Azienda Autonoma di Stato for Services; (8) Secretary of State for Communication, Transport, Tourism, and Sport; (9) Secretary of State for Justice, Information, and Peace; and (10) Secretary of State for Labor and Cooperation.

The Great and General Council elects the Council of Twelve for the duration of the Legislature and serves a jurisdictional body that also acts as a third instance Court of Appeals. Two government inspectors represent the State in financial and patrimonial questions.

The Legislative body consists of the Great and General Council, the parliament, and a unicameral Chamber. The members of parliament are usually elected every five years and are in charge of legislation, justice, and the administration of jurisdiction. In addition, they are tasked with electing the Captains Regent, the State Congress, the Council of Twelve, the Advising Commission, and the Government Unions once the Council nominates them. Parliament also has the power to ratify contracts with other countries. The parliament is divided into five different Advising Commissions consisting of 15 councils which examine, propose, and discuss the implementation of new laws that are on being submitted to the Great and General Council.

The judiciary is composed of the commissioner of the law, the judging magistrate, the appellate judge, the juvenile court, and the judge of last appeal. The commissioner tries civil and penal cases with penalties not exceeding a three-year sentence. The judging magistrates, who are appointed by parliament for a three-year term and can be indefinitely reappointed, preside over all other cases.

Reform legislation, enacted in 2004, no longer requires that the country's lower court judges be noncitizens; however, most lower court judges remained Italian citizens. A local conciliation judge handles cases of minor importance. Under the same reform, the final court of review is the judge of the last appeal. In civil matters, this judge confirms or overrules either the lower court judgment or an appellate decision; in criminal matters, he judges on the legitimacy of detention measures and on the enforcement of a judgment.

On April 28, 2005 a new act established the country's constitutional court with the following functions: 1) to verify that laws, acts, and traditions that are given the force of law conform to constitutional precepts; 2) to verify the admissibility of a referendum; 3) to decide on conflicts between constitutional institutions; 4) to control the activity of the Captains Regent. The court is composed of three standing judges and three alternate judges. They are selected by the Great and General Council with a two-thirds majority to a four-year term. After the first selection one-third of the members of the court are reselected every two years.

Principal Government Officials

Last Updated: 2/1/2008

Captain Regent (Co-Head of State): Alessandro MANCINI

Captain Regent (Co-Head of State): Alessandro ROSS

Sec. of Budget & Finance: Stefano MACINA

Sec. of Health & Social Security: Fabio BERARDI

Sec. of Industry, Trade, & Research: Tito MASI

Sec. of Interior & Civil Protection: Valeria CIAVATTA

Sec. of Justice, Information, & Peace: Ivan FOSCHI

Sec. of Labor: Antonello BACCIOCCHI

Sec. of Public Education, Culture, & Social Affairs: Francesca MICHELOTTI

Sec. of State for Foreign & Political Affairs & for Economic Planning: Fiorenzo STOLFI

Sec. of Territory, Environment, & Agriculture: Marino RICCARDI

Sec. of Tourism, Telecommunications, Transportation, Economic Cooperation, & Sports: Paride ANDREOLI

Permanent Representative to the UN, New York: Daniele BODINI

San Marino has honorary Consulates General in Washington, DC and New York and honorary Consulates in Detroit and Honolulu. The honorary Consulate General in Washington, DC is located at 1899 L Street NW, Suite 500, Washington, DC 20036.

The Republic of San Marino's Web Site provides information on politics, trade, and events in San Marino.

POLITICAL CONDITIONS

San Marino is a multi-party democratic republic. The two main parties are the Democratic Christian Party of San Marino (PDCS), and the Party of Socialists and Democrats (PSD), in addition to several other smaller parties. Due to the small size and low population of San Marino, it is difficult for any party to gain a pure majority, and most of the time the government is run by a coalition. Following the June 2006 election results, the PSD formed a center-left coalition government with the Popular Alliance and the United Left parties.

Because tourism accounts for more than 50% of the economic sector, the government relies not only on taxes and customs for revenue but also the sale of coins and postage stamps to collectors throughout the world. In addition, the Italian Government pays San Marino an annual budget subsidy provided under the terms of the Basic Treaty with Italy. In recent years banking has also become an important economic activity. Harmonization of statutes and policies with the EU is a major domestic and foreign policy priority of the republic. Another priority issue is the signing of a cooperation agreement with Italy, San Marino's most important economic partner.

ECONOMY

San Marino's per capita income in 2005 stood at 28,570 Euros (approx. $41,400) with more than 50% coming from the tourism industry, which draws about 2 million people annually. Traditional economic activities in San Marino were food crops, sheep farming, and stone quarrying. Today farming activities focus on grain, vines, and orchards, as well as animal husbandry (cattle and swine). Besides the tourism industry, San Marino makes most of its income from the banking industry and from the manufacture and export of ceramics, tiles, furniture, clothing, paints, fabrics, and spirits/wines. The percapita level of output and standard of living in San Marino are comparable to those of Italy. In addition, San Marino maintains the lowest unemployment rate in Europe and no national debt.

FOREIGN RELATIONS

San Marino is an active player in the international community. Currently, the Republic has diplomatic relations with over 70 countries. Italy is the only country represented by an ambassador resident in San Marino. The Papal Nuncio, based in Rome, is the dean of San Marino's diplomatic corps.

San Marino is a full member of the United Nations (UN), International Court of Justice (ICJ), United Nations Educational, Scientific and Cultural Organization (UNESCO), International Monetary Fund (IMF), World Health Organization (WHO), World Tourism Organization (WTO), Council of Europe, International Red Cross Organization, the International Institution for the Unification of Private Law (UNIDROIIT), and Interpol, among others. It also cooperates with UNICEF and the United Nations High Commission for Refugees (UNHCR) and has official relations with the European Union (EU). From May-November 1990 and from November 2006-May 2007, San Marino held the semi-annual presidency of the Committee of Ministers of the Council of Europe, headquartered in Strasbourg, France.

U.S.-SAN MARINO RELATIONS

The United States and San Marino enjoy friendly diplomatic relations. San Marino consistently supports U.S. foreign policy positions, as well as U.S. candidates to international organizations. The two countries are on excellent terms. In September 2006 President George W. Bush appointed Ambassador to Italy Ronald P. Spogli to serve concurrently as Ambassador to San Marino. Ambassador Spogli is the first U.S. Ambassador to San Marino in the country' history. In July 2007, Ambassador Paolo Rondelli became San Marino's first ambassador to the U.S. For consular purposes, the republic is within the jurisdiction of the Florence consular district. Consulate officials regularly visit San Marino to carry out diplomatic demarches, represent U.S. interests, and administer consular services.

Principal U.S. Embassy Officials

Last Updated: 2/19/2008

FLORENCE (CG) Lungarno A. Ves-pucci, 38, APO/FPO PSC 59 Box 100 (f) APO/AE 09624, +39-055-266-951, Fax 39-055-284088, Workweek: 8:30-5:30 Mon to Fri, Website: http://florence.usconsulate.gov.

TRAVEL

Consular Information Sheet—Italy

October 11, 2007

Country Description: Italy is a developed democracy with a modern economy. The Holy See is a sovereign entity that serves as the ecclesiastical, governmental and administrative capital of the Roman Catholic Church, physically located within the State of the Vatican City inside Rome, with a unique, non-traditional economy. San Marino is a developed, constitutional democratic republic, also independent of Italy, with a modern economy. Tourist facilities are widely available.

Entry Requirements: A valid passport is required. Italian authorities may deny entry to travelers who attempt to enter without a valid passport. A visa is not required for tourist stays up to three months. However, for all other purposes, such as work, study, etc., a visa is required and must be obtained from the Italian Embassy or Consulates before entering Italy. For further information concerning visas and entry requirements for Italy, travelers may contact the Embassy of Italy at 3000 Whitehaven St NW, Washington, DC 20008, via telephone at (202) 612-4400 or via the Internet: http://www.ambwashingtondc.esteri.it/ambasciata_washington, or Italian Consulates General in Boston, Chicago, Detroit, Houston, Los Angeles, Miami, Newark, New Orleans, New York, Philadelphia, or San Francisco, accessible through the above Internet site

Americans staying or traveling within Italy for less than three (3) months are considered non-residents. This includes persons on vacation, those taking professional trips, students registered at an authorized school, or persons performing research or independent study.

As of May 28, 2007, under Italian law (http://www.camera.it/parlam/leggi/070681.htm), all non-residents are required to complete a dichiarazione di presenza (declaration of presence). Tourists arriving from a non-Schengen-country (e.g. the United States) should obtain a stamp in their passport at the airport on the day of arrival. This stamp is considered the equivalent of the declaration of presence. Tourists arriving from a Schengen-country (e.g. France) must request the declaration of presence form from a local police office (commissariato di zona), police headquarters (questura) or their place of stay (e.g hotel, hostel, campgrounds) and submit the form to the police or to their place of stay within eight business days of arrival. It is important that applicants keep a copy of the receipt issued by the Italian authorities. Failure to complete a declaration of presence is punishable by expulsion from Italy. Additional information may be obtained (in Italian only) via Internet from the following websites: www.portaleimmigrazione.it and http://www.poliziadistato.it/pds/imigrazione/soggiorno.htm. Americans staying in Italy for more than three (3) months are considered residents and must obtain a 14,000 national post offices (Poste Italiane). The kit must then be returned to one of 5,332 designated Post Office acceptance locations. It is important that applicants keep a copy of the receipt issued by the Post Office. Additional information may be obtained from an Italian immigration website via Internet at: http://www.portaleimmigrazione.it. Within 20 days of receiving the permit to stay in Italy, Americans must go to the local Vital Statistics Bureau (Anagrafe of the Comune) to apply for residency. It generally takes one to two months to receive the certificate of residence (Certificato di Residenza).

Safety and Security: There have been occasional episodes of politically motivated violence in Italy, most often connected to Italian internal developments or social issues. At various times, Italian authorities have found bombs outside public buildings, have received bomb threats and were subjects of letter bombs. Firebombs or Molotov cocktails have been thrown at buildings or offices in the middle of the night. These incidents have all been attributed to organized crime or anarchist movements. Americans were not targeted or injured in these instances.

Demonstrations may have an anti-American character. Even demonstrations intended to be peaceful have the potential to turn into confrontational situations and possibly escalate into violence. U.S. citizens traveling or residing in Italy should take common sense precautions and follow news reports carefully in order to avoid demonstrations and to be aware of heightened security and potential delays when they occur.

Italy remains largely free of terrorist incidents. However, like other countries in the Schengen area, Italy's open borders with its Western European neighbors allow the possibility of terrorist groups entering/exiting the country with anonymity.

For the latest security information, Americans traveling abroad should regularly monitor the Department of State Burea of Consular Affair's Internet site at http://travel.state.gov, where the current Worldwide Caution Travel Alert, Travel Warnings and Travel Alerts can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S., or for callers outside the U.S. and Canada, a regular toll-line at 1- 202-501-4444.

Crime: Italy has a moderate rate of violent crime, some of which is directed towards tourists, principally for motives of theft. Some travelers have been victims of rape and beatings. There have also been incidents of drinks laced with drugs being used by criminals to rob, and in some cases, assault tourists. Many of these incidents have occurred in the vicinity of Rome's Termini train station and at major tourist centers such as Campo de Fiori and Piazza Navona, as well as in Florence and Naples. Criminals using this tactic “befriend” a traveler at a train station, bus stop, restaurant, café or bar in tourist areas, then eventually offer a drink laced with a sleeping drug. When the tourist falls asleep, criminals steal the traveler's valuables. There have also been instances where the victim was assaulted, either physically or sexually.

Americans are urged to exercise caution at train stations and airports, and when frequenting nightclubs, bars and outdoor cafes, particularly at night, because criminals may make initial contact with potential victims in such settings. Individuals under the effect of alcohol may become victims of crime, including robbery, physical and sexual assault, due to their impaired ability to judge situations and make decisions. This is particularly a problem for younger Americans visiting Italy, where the age limit on the sale of alcoholic beverages is lower than in most U.S. states. If you are a victim of such a crime, please file a police report and contact the U.S. Embassy or nearest Consulate. There are also in-country organizations, which provide counseling, medical, and legal assistance to certain crime victims.

Petty crimes such as pick pocketing, theft from parked cars, and purse snatching are serious problems, especially in large cities. Pickpockets sometimes dress like businessmen so tourists should not be lulled into a false sense of security by believing that well-dressed individuals are not potential pickpockets or thieves. Most reported thefts occur at crowded tourist sites, on public buses or trains, or at the major railway stations: Rome's Termini; Milan's Centrale; Florence's Santa Maria Novella; and Naples' Centrale and Piazza Garibaldi. Travelers should also be alert to theft in Milan's Malpensa Airport, particularly at car rental agencies. Clients of Internet cafes in major cities have been targeted. Tourists who have tried to resist petty thieves on motor scooters have suffered broken arms and collarbones.

Thieves in Italy often work in groups or pairs. Pairs of accomplices or groups of street urchins are known to divert tourists' attention so that another can pickpocket them. In one particular routine, one thief throws trash, waste or ketchup at the victim; a second thief assists the victim in cleaning up the mess; and the third discreetly takes the victim's belongings. Criminals on crowded public transportation slit the bottoms of purses or bags with a razor blade or sharp knife, then remove the contents. Theft of small items such as radios, luggage, cameras, briefcases, and even cigarettes from parked cars is a major problem.

Carjackings and thefts have also been reported from occupied vehicles waiting in traffic or stopped at traffic lights. Vehicles parked near beaches during the summer have been broken into and items stolen. Robbers take items from cars at gas stations often by smashing car windows.

In a scam practiced on the highways, one thief signals a flat tire to the driver of another car and encourages the driver to pull over. Often, the tire has been punctured by an accomplice, while in other instances, there may, in fact, be nothing wrong with the vehicle. When the driver stops, one thief helps change the tire, while the other takes the driver's belongings. Use particular caution driving at night on highways, when there may be a greater incidence of robbery attempts. There have been occasional reports of break-ins of rental cars driven by Americans when the precautions mentioned above were not followed during stops at highway service areas.

On trains, a commonly reported trick involves one or more persons who pretend to befriend a traveler and offer drugged food or drink. Also, thieves have been known to impersonate police officers to gain the confidence of tourists. The thief shows the prospective victim a circular plastic sign with the words “police” or “international police.” If this happens, the tourist should insist on seeing the officer's identification card (documento), as impersonators tend not to carry forged documents. Tourists should immediately report thefts or other crimes to the local police.

The U.S. Secret Service in Rome has been advised of, and is assisting Italian Law Enforcement authorities in investigating, an increase in the appearance of ATM skimming devices. These devices are attached to legitimate bank ATMs, usually located in tourist areas, and capture the account information stored electronically on the card's magnetic strip. The devices consist of a card reader installed over the legitimate reader and a pin-hole video camera mounted above the keypad that records the customer's PIN. ATMs with skimming devices installed may also allow normal transactions to occur. The victim's information is sold, traded on-line or encoded on another card such as a hotel key card to access the compromised account. Here are some helpful hints to protect yourself and to identify skimming devices:

• Use ATMs located in well-lit public areas, or secured inside the bank/business
• Cover the keypad with one hand as you enter your PIN
• Look for gaps, tampered appearance, or other irregularities between the metal faceplate of the ATM and the card reader
• Avoid card readers that are not flush with the face of the ATM
• Monitor your account statements for unauthorized transactions

Organized criminal groups operate throughout Italy, but are more prevalent in the south. They have occasionally resorted to violence to intimidate or to settle disputes. Though the activities of such groups are not generally targeted at tourists, visitors should be aware that innocent bystanders could be injured.

In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products may be illegal under local law. In addition, bringing them back to the United States may result in forfeitures and/ or fines. More information on this serious problem is available at http://www.cybercrime.gov/18usc2320.htm.

According to Italian Law (Law 80 of May 14, 2005), anyone caught buying counterfeit goods (for example, DVDs, CDs, watches, purses, bags, belts, sunglasses, etc.) is subject to a fine of no less than EUR 1,000. Police in major Italian cities enforce this law to varying degrees. Travelers are advised to purchase products only from stores and other licensed retailers to avoid unknowingly buying counterfeit and illegal merchandise.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Lost or stolen credit cards present risk of identity theft and should be cancelled immediately. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information: Medical facilities are available, but may be limited outside urban areas. Public hospitals, though generally free of charge for emergency services, sometimes do not maintain the same standards as hospitals in the United States, so travelers are encouraged to obtain insurance that would cover a stay in a private Italian hospital or clinic. It is almost impossible to obtain an itemized hospital bill from public hospitals, as required by many U.S. insurance companies, because the Italian National Health Service charges one inclusive rate (care services, bed and board).

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC's web site at http://wwwn.cdc.gov/travel. For information about outbreaks of infectious diseases abroad, consult the World Health Organization's web site at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Italy is provided for general reference only, and may not be totally accurate in a particular location or circumstance.

Streets in historic city centers are often narrow, winding and congested. Motor scooters are very popular and drivers often see themselves as exempt from conventions that apply to automobiles. Travelers who rent scooters should be particularly cautious. Pedestrians and drivers should be constantly alert to the possibility of scooters' sudden presence. Throughout Italy, pedestrian deaths are increasing, with a total of 1,188 deaths in 2002, the last year for which statistics are currently available. There were also more than 17,000 pedestrian injuries in 2002. Most of these deaths and injuries involve pedestrians or cyclists who are involved in collisions with scooters or other vehicles. U.S. citizens should remain vigilant and alert while walking or cycling near traffic. Pedestrians should be careful, as sidewalks, especially in major cities, can be extremely congested and uneven, and drivers of bicycles, motorcycles and other vehicles routinely ignore traffic signals and traffic flows, routinely park and even drive on sidewalks. For safety, pedestrians should look carefully in both directions before crossing streets, even when using a marked crosswalk with a green “avanti” (“walk”) light illuminated.

Traffic lights are limited, often disobeyed, and a different convention of right-of-way is observed. Italy has over 5,600 kilometers (3,480 mi.) of “Autostrada,” or superhighways. Commercial and individual vehicles travel and pass on these well-maintained roads at very high speeds. Accidents occur in which contributing factors include excessive speed, alcohol/drug use and/or sleepiness of long-distance drivers. Italy has one of the highest rates of car accident deaths in the European Union.

In rural areas, a wide range of speed on highways makes for hazardous driving. Roads are generally narrow and often have no guardrails. Travelers in northern Italy, especially in winter, should be aware of fog and poor visibility, responsible for multiple-car accidents each year. Most Italian automobiles are equipped with special fog lights. Roadside assistance in Italy is excellent on the well-maintained toll roads, but limited on secondary roads. Use of safety belts and child restraining devices is mandatory and headlights should be on at all times outside of urban areas.

For specific information concerning Italian driving permits, vehicle inspection, road tax and mandatory insurance, contact the Italian Government Tourist Board (ENIT) offices via the Internet at http://www.enit.it, tel: 212-245-4822 or the A.C.I. (Automobile Club Italiano) at Via Magenta 5, 00185 Rome, tel: 39-06-4477. For information on obtaining international drivers licenses, contact AAA or the American Automobile Touring Alliance.

Visit the website of the country's national tourist office online at www.italiantourism.com and national authority responsible for road safety at www.infrastrutture-trasporti.it.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Italy's Civil Aviation Authority as being in compliance with International Civil Aviation Organization (ICAO) aviation safety standards for oversight of Italy's air carrier operations. For more information, travelers may visit the FAA's web site at http://www.faa.gov.

Special Circumstances: Strikes and other work stoppages occur frequently in the transportation sector (national airlines, airports, trains, and bus lines). Most are announced in advance and are of short duration. Information on strikes may be found at www.infrastrutturetrasporti.it. Reconfirmation of domestic and international flight reservations is highly recommended.

In Naples and the region of Campania, a perennial problem exists due to periodic garbage collection strikes and inadequate dump facilities. Residents often resort to burning the garbage which can give off toxic substances that can aggravate respiratory problems. Summer temperatures aggravate this problem.

Disaster Preparedness: Several major earthquake fault lines cross Italy. Principal Italian cities, with the exception of Naples, do not lie near these faults, but smaller tourist towns, like Assisi, do and have suffered earthquakes. General information about disaster preparedness is available via the Internet from the U.S. Federal Management Agency (FEMA) at http://www.fema.gov. Detailed information on Italy's earthquake fault lines is available from the U.S. Geological Survey (USGS) at http://www.usgs.gov.

Italy also has several active volcanoes generating geothermal events. Mt. Etna, on the eastern tip of the island of Sicily, has been erupting intermittently since 2000. Mt. Vesuvius, located near Naples, is currently capped and not active. Activity at Mt. Vesuvius is monitored by an active seismic network and sensor system, and no recent seismic activity has been recorded. Two of Italy's smaller islands, Stromboli and Vulcano in the Aeolian Island chain north of Sicily, also have active volcanoes with lava flows. Detailed information on volcano activity in Italy is available from the U.S. Geological Survey (USGS) at http://www.usgs.gov.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations. They may differ significantly from those of the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Italian law, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use or trafficking in illegal drugs in Italy are severe and convicted offenders can expect long jail sentences and heavy fines. Engaging in illicit sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children's Issues: For information on international adoption of children and international parental child abduction, see the Office of Children's Issues website at http://travel.state.gov/family.

Registration and Embassy and Consulate Locations: Americans living or traveling in Italy are encouraged to register with the nearest U.S. Embassy or Consulate through the State Department's travel registration website, https://travelregistra-tion.state.gov, and to obtain updated information on travel and security within Italy. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency. The U.S. Embassy is located at Via V. Veneto 119/A, tel: 39-06-46741 and fax: 39-06-4674-2217; Internet address: http://italy.usembassy.gov.

The U.S. Consulates are located in:

Florence: Lungarno Amerigo Ves-pucci 38, tel: 39-055-266-951, consular fax: 399-055-215-550;

Milan: Via Principe Amedeo 2/10, tel: 39-02-290-351, and fax: 39-02-290-35-273;

Naples: Piazza della Repubblica, tel: 39-081-583-8111, and consular fax: 39-081-583-8275.

There are U.S. Consular Agents located in:

Genoa: Via Dante 2, tel: 39-010-584-492, and fax: 39-010-553-3033;

Palermo: Via Vaccarini 1, tel: 39-091-305-857, and fax: 39-091-625-6026;

Venice: Viale Galileo Galilei, 30, tel: 39-041-541-5944, and fax: 39-041-541-6654.

San Marino

Compiled from the October 2006 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Republic of San Marino

PROFILE

PEOPLE AND HISTORY

GOVERNMENT

POLITICAL CONDITIONS

ECONOMY

FOREIGN RELATIONS

U.S.-SAN MARINO RELATIONS

TRAVEL

PROFILE

Geography

Area: 61.2 sq. km.; about one-third the size of Washington, DC.

Cities: Capital—San Marino (pop. 4,482). Other cities—Serravalle, Borgo Maggiore, Domagnano.

Terrain: Rugged mountains.

Climate: Mediterranean; mild to cool winters; warm, sunny summers.

People

Nationality: Noun and adjective— Sammarinese.

Population: (September 2006) 30,002.

Ethnic groups: Sammarinese, Italian.

Religion: Roman Catholic.

Language: Italian.

Education: Literacy—96%.

Health: Infant mortality rate (2006)—5.63/1,000 live birth rates. Life expectancy (2006)—78.6 for men and 85.5 for women.

Work force: approx 18,000.

Government

Type: Independent republic.

Constitution: October 8, 1600, electoral law of 1926 and manuscript of rights (1974) serve some of the functions of the Constitution.

Government branches: Executive—Captain Regent Roberto Giorgetti and Captain Regent Antonio Carattoni (co-chiefs of state); Congress of State (cabinet) elected by the Great and General Council; Secretary of State for Foreign and Political Affairs Fiorenzo Stofli (head of government). Legislative—unicameral parliament: 60-member Great and General Council. Judicial— Council of Twelve.

Political subdivisions: 9 municipalities.

Political parties: Christian Democratic Party, Party of Socialists and Democrats, National Alliance, Popular Alliance, United Left, New Socialist Party, We Sammarinesi, Sammarinesi for Freedom.

Suffrage: Universal, 18 years of age.

Economy

GDP: (2003) Euros 995 million.

Per capita income: (2003 est.) Euros 26,654.

GDP growth: (2004 est.) 4%.

Natural resources: Building stone.

Agriculture: Products—wheat, grapes, maize, olives, cattle, pigs, horses, meat, cheese, hides.

Industry: Types—tourism, textiles, electronics, ceramics, cement, wine.

Trade: Exports—Euros 1,763 million (2003). 85% to Italy. Imports—Euros 1,847 million (2003) manufactured goods, food. Partners—Italy, Western Europe, Eastern Europe, South America, China, Taiwan.

PEOPLE AND HISTORY

The population of San Marino is comprised of native Sammarinese and Italian citizens. Crop farming, sheep farming, and the working of stone from the quarries formed the early backbone of San Marino’s economy. It has no mineral resources, and today most of the land is cultivated or covered by woods.

According to tradition, San Marino was founded in AD 301 when a Christian stonemason named Marinus the Dalmatian fled to the island of Arbe to escape the anti-Christian Roman Emperor Diocletian. Marinus hid on the peak of Mount Titano and founded a small community of people following their Christian beliefs. It is certain that the area had been inhabited since prehistoric times, although evidence of existence on Mount Titano only dates back to the Middle Ages. In memory of the stonecutter, the land was renamed “Land of San Marino” and was finally changed to its present-day name, “Republic of San Marino.”

The original government structure was composed of a self-governed assembly known as the Arengo, which consisted of the heads of each family. In 1243, the positions of Captains Regent (Capitani Reggenti)

were established to be the joint heads of state. The land area of San Marino consisted only of Mount Titano until 1463, at which time the republic entered into an alliance against Sigismondo Pandolfo Malatesta, Lord of Rimini, who was later defeated. As a result, Pope Pius II Piccolomini gave San Marino the towns of Fiorentino, Montegiardino, and Serravalle. Later that year, the town of Faetano joined the republic on its own accord. Since then, the size of San Marino has remained unchanged.

San Marino has been occupied by foreign militaries twice in its history, both for only short periods of time. In 1503, Cesare Borgia, known as Valentino, occupied the republic until his death several months later. In 1739, Cardinal Alberoni used military force to occupy the country. Civil disobedience was used to protest his occupation, and clandestine notes sent to the Pope to obtain justice were answered by the Pope’s recognition of San Marino’s rights and restoration of San Marino’s independence.

GOVERNMENT

The Arengo, initially formed with the heads of each family, relinquished its power to the Great and General Council. In 1243, the first two Captains Regent were nominated by the Council, and this method of nomination is still in use today. The Council is composed of 60 members who are elected every 5 years under a proportional representation system in all nine administrative districts. These districts (Townships) correspond to the old parishes of the Republic, and each one is ruled by a Council, which is chaired by a Captain elected every 5 years. The Great and General Council approves the budget, as well as the nominations of Captains Regent and heads of the Executive.

Every 6 months, the Council elects two Captains Regent to be the heads of state. The Regents are chosen from opposing parties so they can keep an eye on each other. They serve a 6-month term. The investiture of the Captains Regent takes place on April 1 and October 1 in every year. Once this term is over, citizens have 3 days in which to file complaints about the previous Regents’ activities. If they warrant it, judicial proceedings against the former head(s) of state can be initiated.

The State Congress, composed of 10 Secretaries, wields executive power. The 10 Secretaries are (1) Secretary of State for Foreign and Political Affairs, and Economic Planning; (2) Secretary of State for Internal Affairs and Civil Defense; (3) Secretary of State for Finance, Budget, and Relations with the State Philatelic and Numismatic Office; (4) Secretary of State for Education, Culture, University and Social Affairs; (5) Secretary of State for Territory, Environment and Agriculture; (6) Secretary of State for Health and Social Security; (7) Secretary of State for Industry, Trade and Relations with the Azienda Autonoma di Stato for Services; (8) Secretary of State for Communication, Transport, Tourism, and Sport; (9) Secretary of State for Justice, Information, and Peace; and (10) Secretary of State for Labor and Cooperation.

The Great and General Council elects the Council of Twelve for the duration of the Legislature and serves a jurisdictional body that also acts as a third instance Court of Appeals. Two government inspectors represent the State in financial and patrimonial questions.

The Legislative body consists of the Great and General Council, the parliament, and a unicameral Chamber. The members of parliament are usually elected every five years and are in charge of legislation, justice, and the administration of jurisdiction. In addition, they are tasked with electing the Captains Regent, the State Congress, the Council of Twelve, the Advising Commission, and the Government Unions once the Council nominates them. Parliament also has the power to ratify contracts with other countries. The parliament is divided into five different Advising Commissions consisting of 15 councils which examine, propose, and discuss the implementation of new laws that are on being submitted to the Great and General Council. The judiciary is composed of the commissioner of the law, the judging magistrate, the appellate judge, the juvenile court, and the judge of last appeal. The commissioner tries civil and penal cases with penalties not exceeding a three-year sentence. The judging magistrates, who are appointed by parliament for a three-year term and can be indefinitely reappointed, preside over all other cases.

Reform legislation, enacted in 2004, no longer requires that the country’s lower court judges be noncitizens; however, most lower court judges remained Italian citizens. A local conciliation judge handles cases of minor importance. Under the same reform, the final court of review is the judge of the last appeal. In civil matters, this judge confirms or overrules either the lower court judgment or an appellate decision; in criminal matters, he judges on the legitimacy of detention measures and on the enforcement of a judgment.

On April 28, 2005 a new act established the country’s constitutional court with the following functions: 1) to verify that laws, acts, and traditions that are given the force of law conform to constitutional precepts; 2) to verify the admissibility of a referendum; 3) to decide on conflicts between constitutional institutions; 4) to control the activity of the Captains Regent. The court is composed of three standing judges and three alternate judges. They are selected by the Great and General Council with a two-thirds majority to a four-year term. After the first selection one-third of the members of the court are reselected every two years.

Principal Government Officials

Last Updated: 12/18/2006

Captain Regent (Co-Head of State): Antonio CARATTONI

Captain Regent (Co-Head of State):Roberto GIORGETTI

Sec. of Budget & Finance: Stefano MACINA

Sec. of Health & Social Security: Fabio BERARDI

Sec. of Industry, Trade, & Research: Tito MASI

Sec. of Interior & Civil Protection: Valeria CIAVATTA

Sec. of Justice, Information, & Peace: Ivan FOSCHI

Sec. of Labor: Antonello BACCIOCCHI

Sec. of Public Education, Culture, & Social Affairs: Francesca MICHELOTTI

Sec. of State for Foreign & Political Affairs & for Economic Planning: Fiorenzo STOLFI

Sec. of Territory, Environment, & Agriculture: Marino RICCARDI

Sec. of Tourism, Telecommunications, Transportation, Economic Cooperation, & Sports: Paride ANDREOLI

Permanent Representative to the UN, New York: Daniele BODINI

San Marino has honorary Consulates General in Washington, DC and New York and honorary Consulates in Detroit and Honolulu. The honorary Consulate General in Washington, DC is located at 1899 L Street NW, Suite 500, Washington, DC 20036. The Republic of San Marino’s Web Site provides information on politics, trade, and events in San Marino.

POLITICAL CONDITIONS

San Marino is a multi-party democratic republic. The two main parties are the Democratic Christian Party of San Marino (PDCS), and the Party of Socialists and Democrats (PSD), in addition to several other smaller parties.

Due to the small size and low population of San Marino, it is difficult for any party to gain a pure majority, and most of the time the government is run by a coalition. Following the June 2006 election results, the PSD formed a center-left coalition government with the Popular Alliance and the United Left parties.

Because tourism accounts for more than 50% of the economic sector, the government relies not only on taxes and customs for revenue but also the sale of coins and postage stamps to collectors throughout the world. In addition, the Italian Government pays San Marino an annual budget subsidy provided under the terms of the Basic Treaty with Italy. In recent years banking has also become an important economic activity.

Harmonization of statutes and policies with the EU is a major domestic and foreign policy priority of the republic. Another priority issue is the signing of a cooperation agreement with Italy, San Marino’s most important economic partner.

ECONOMY

San Marino’s per capita GNP in 2003 stood at 26,654 Euros with more than 50% coming from the tourism industry, which draws about 3 million people annually. Traditional economic activities in San Marino were food crops, sheep farming, and stone quarrying. Today farming activities focus on grain, vines, and orchards, as well as animal husbandry (cattle and swine). Besides the tourism industry, San Marino makes most of its income from the banking industry and from the manufacture and export of ceramics, tiles, furniture, clothing, paints, fabrics, and spirits/wines. The per capita level of output and standard of living in San Marino are comparable to those of Italy. In addition, San Marino maintains the lowest unemployment rate in Europe and no national debt.

FOREIGN RELATIONS

San Marino is an active player in the international community. Currently, the Republic has diplomatic relations with over 70 countries. Italy is the only country represented by an ambassador resident in San Marino. The Papal Nuncio, based in Rome, is the dean of San Marino’s diplomatic corps.

San Marino is a full member of the United Nations (UN), International Court of Justice (ICJ), United Nations Educational, Scientific and Cultural Organization (UNESCO), International Monetary Fund (IMF), World Health Organization (WHO), World Tourism Organization (WTO), Council of Europe, International Red Cross Organization, the International Institution for the Unification of Private Law (UNIDROIIT), and Interpol, among others. It also cooperates with UNICEF and the United Nations High Commission for Refugees (UNHCR) and has official relations with the European Union (EU). From May 10 until November 6, 1990, San Marino held the semiannual presidency of the Committee of Ministers of the Council of Europe, headquartered in Strasbourg, France, and it is preparing to do the same for the period November 2006-May 2007.

U.S.-SAN MARINO RELATIONS

The United States and San Marino enjoy friendly diplomatic relations. San Marino consistently supports U.S. foreign policy positions, as well as U.S. candidates to international organizations. The two countries are on excellent terms. The United States Consul General in Florence also serves as the U.S. diplomatic representative to San Marino. However, in September 2006 President George W. Bush appointed Ambassador to Italy Ronald P. Spogli as Ambassador Extraordinary and Plenipotentiary to San Marino. When the accreditation process is completed, Ambassador Spogli will be the first U.S. Ambassador to San Marino in the country’s history. For consular purposes, the republic is within the jurisdiction of the Florence consular district. Consulate officials regularly visit San Marino to carry out diplomatic demarches, represent U.S. interests, and administer consular services.

Principal U.S. Embassy Officials

FLORENCE (CG) Address: Lungarno A. Vespucci, 38; APO/FPO: PSC 59 Box 100 (f) APO AE 09624; Phone: +39-055-266-951; Fax: 39-055-284088; Workweek: 8:30–5:30 Mon to Fri; Website: http://florence.usconsulate.gov.

Last Updated: 5/3/2006

TRAVEL

Consular Information Sheet : January 22, 2007

Country Description: Italy is a developed democracy with a modern economy. The Holy See is a sovereign entity that serves as the ecclesiastical, governmental and administrative capital of the Roman Catholic Church, physically located within the State of the Vatican City inside Rome, with a unique, non-traditional economy. San Marino is a developed, constitutional democratic republic, also independent of Italy, with a modern economy. Tourist facilities are widely available.

Entry Requirements: A valid passport is required. Italian authorities may deny entry to travelers who attempt to enter without a valid passport. A visa is not required for tourist stays up to three months. However, for all other purposes, such as work, study, etc., a visa is required and must be obtained from the Italian Embassy or Consulates before entering Italy. For further information concerning visas and entry requirements for Italy, travelers may contact the Embassy of Italy at 3000 Whitehaven St NW, Washington, DC 20008, via telephone at (202) 612-4400 or via the internet: http://www.ambwashingtondc.esteri.it/ambasciata_washington, or Italian Consulates General in Boston, Chicago, Detroit, Houston, Los Angeles, Miami, Newark, New Orleans, New York, Philadelphia, or San Francisco, accessible through the above Internet site.

Under Italian law, tourists who plan to stay more than eight business days are required to obtain a permesso di soggiorno (permit of stay) within eight business days of their arrival. As of December 11, 2006, tourists may request an application “kit” for the permesso di soggiorno from one of 14,000 national post offices (Poste Italiane). The kit must then be returned to one of 5,332 designated Post Office acceptance locations. Tourists will have to complete a form, provide a complete photocopy of their passport, present sufficient proof of their means of financial support, submit photographs, a photocopy of their insurance policy, photocopy proof of their return to the United States, and pay a fee. It is important that applicants keep a copy of the receipt issued by the Post Office. Failure to obtain the permit of stay within eight days is punishable by fine. Additional information may be obtained from an Italian immigration website via Internet at http://www.portaleimmigrazione.it/.

Safety and Security: There have been occasional episodes of politically motivated violence in Italy, most often connected to Italian internal developments or social issues. At various times, Italian authorities have found bombs outside public buildings, have received bomb threats and were subjects of letter bombs. Firebombs or Molotov cocktails have been thrown at buildings or offices in the middle of the night. These incidents have all been attributed to organized crime or anarchist movements. Americans were not targeted or injured in these instances. Demonstrations may have an anti-American character. Even demonstrations intended to be peaceful have the potential to turn into confrontational situations and possibly escalate into violence. U.S. citizens traveling or residing in Italy should take common sense precautions and follow news reports carefully in order to avoid demonstrations and to be aware of heightened security and potential delays when they occur.

Italy remains largely free of terrorist incidents. However, like other countries in the Schengen area, Italy’s open borders with its Western European neighbors allow the possibility of terrorist groups entering/exiting the country with anonymity.

For the latest security information, Americans traveling abroad should regularly monitor the Department’s Internet web site where the current Travel Warnings and Public Announcements, including the Worldwide Caution Public Announcement, can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S., or for callers outside the U.S. and Canada, a regular toll-line at 1-202-501-4444. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

Crime: Italy has a moderate rate of violent crime, some of which is directed towards tourists, principally for motives of theft. Some travelers have been victims of rape and beating. There have also been incidents of drinks laced with drugs being used by criminals to rob, and in some cases, assault tourists. Many of these incidents have occurred in the vicinity of Rome’s Termini train station and at major tourist centers such as Campo de Fiori and Piazza Navona, as well as in Florence and Naples. Criminals using this tactic “befriend” a traveler at a train station, bus stop, restaurant, café or bar in tourist areas, then eventually offer a drink laced with a sleeping drug. When the tourist falls asleep, criminals steal the traveler’s valuables. There have also been instances where the victim was assaulted, either physically or sexually.

Americans are urged to exercise caution at train stations and airports, and when frequenting nightclubs, bars and outdoor cafes, particularly at night, because criminals may make initial contact with potential victims in such settings. Individuals under the effect of alcohol may become victims of crime, including robbery, physical and sexual assault, due to their impaired ability to judge situations and make decisions. This is particularly a problem for younger Americans visiting Italy, where the age limit on the sale of alcoholic beverages is lower than in most U.S. states. If you are a victim of such a crime, please file a police report and contact the U.S. Embassy or nearest Consulate. There are also in-country organizations, which provide counseling, medical, and legal assistance to certain crime victims.

Petty crimes such as pick pocketing, theft from parked cars, and purse snatching are serious problems, especially in large cities. Pickpockets sometimes dress like businessmen so tourists should not be lulled into a false sense of security by believing that well-dressed individuals are not potential pickpockets or thieves. Most reported thefts occur at crowded tourist sites, on public buses or trains, or at the major railway stations: Rome’s Termini; Milan’s Centrale; Florence’s Santa Maria Novella; and Naples’ Centrale and Piazza Garibaldi. Travelers should also be alert to theft in Milan’s Malpensa Airport, particularly at car rental agencies. Clients of Internet cafes in major cities have been targeted. Tourists who have tried to resist petty thieves on motor scooters have suffered broken arms and collarbones.

Thieves in Italy often work in groups or pairs. Pairs of accomplices or groups of street urchins are known to divert tourists’ attention so that another can pickpocket them. In one particular routine, one thief throws trash, waste or ketchup at the victim; a second thief assists the victim in cleaning up the mess; and the third discreetly takes the victim’s belongings. Criminals on crowded public transportation slit the bottoms of purses or bags with a razor blade or sharp knife, and then remove the contents. Theft of small items such as radios, luggage, cameras, briefcases, and even cigarettes from parked cars is a major problem.

Carjacking and theft has also been reported from occupied vehicles waiting in traffic or stopped at traffic lights. Vehicles parked near beaches during the summer have been broken into and items stolen. Robbers take items from cars at gas stations often by smashing car windows.

In a scam practiced on the highways, one thief signals a flat tire to the driver of another car and encourages the driver to pull over. Often, the tire has been punctured by an accomplice, while in other instances, there may, in fact, be nothing wrong with the vehicle. When the driver stops, one thief helps change the tire, while the other takes the driver’s belongings. Use particular caution driving at night on highways, when there may be a greater incidence of robbery attempts. There have been occasional reports of break-ins of rental cars driven by Americans when the precautions mentioned above were not followed during stops at highway service areas.

On trains, a commonly reported trick involves one or more persons who pretend to befriend a traveler and offer drugged food or drink. Also, thieves have been known to impersonate police officers to gain the confidence of tourists. The thief shows the prospective victim a circular plastic sign with the words “police” or “international police.” If this happens, the tourist should insist on seeing the officer’s identification card (documento), as impersonators tend not to carry forged documents. Tourists should immediately report thefts or other crimes to the local police.

The U.S. Secret Service in Rome has been advised of, and is assisting Italian Law Enforcement authorities in investigating, an increase in the appearance of ATM skimming devices. These devices are attached to legitimate bank ATMs, usually located in tourist areas, and capture the account information stored electronically on the card’s magnetic strip. The devices consist of a card reader installed over the legitimate reader and a pin-hole video camera mounted above the keypad that records the customer’s PIN. ATMs with skimming devices installed may also allow normal transactions to occur. The victim’s information is sold, traded on-line or encoded on another card such as a hotel key card to access the compromised account. Here are some helpful hints to protect yourself and to identify skimming devices:

• Use ATMs located in well-lit public areas, or secured inside the bank/business
• Cover the keypad with one hand as you enter your PIN
• Look for gaps, tampered appearance, or other irregularities between the metal faceplate of the ATM and the card reader
• Avoid card readers that are not flush with the face of the ATM
• Monitor your account statements for unauthorized transactions

Organized criminal groups operate throughout Italy, but are more prevalent in the south. They have occasionally resorted to violence to intimidate or to settle disputes. Though the activities of such groups are not generally targeted at tourists, visitors should be aware that innocent bystanders could be injured.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Lost or stolen credit cards present risk of identity theft and should be cancelled immediately. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information: Medical facilities are available, but may be limited outside urban areas. Public hospitals, though generally free of charge for emergency services, sometimes do not maintain the same standards as hospitals in the United States, so travelers are encouraged to obtain insurance that would cover a stay in a private Italian hospital or clinic. It is almost impossible to obtain an itemized hospital bill from public hospitals, as required by many U.S. insurance companies, because the Italian National Health Service charges one inclusive rate (care services, bed and board).

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention’s hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC’s internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization’s (WHO) website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Italy is provided for general reference only, and may not be totally accurate in a particular location or circumstance.

Streets in historic city centers are often narrow, winding and congested. Motor scooters are very popular and drivers often see themselves as exempt from conventions that apply to automobiles. Travelers who rent scooters should be particularly cautious. Pedestrians and drivers should be constantly alert to the possibility of scooters’sudden presence. Traffic lights are limited, often disobeyed, and a different convention of right-ofway is observed. Italy has over 5,600 kilometers (3,480 mi.) of “Autostrada,” or superhighways. Commercial and individual vehicles travel and pass on these well-maintained roads at very high speeds. Accidents occur in which contributing factors include excessive speed, alcohol/drug use and/or sleepiness of long-distance drivers. Italy has one of the highest rates of car accident deaths in the European Union.

In rural areas, a wide range of speed on highways makes for hazardous driving. Roads are generally narrow and often have no guardrails. Travelers in northern Italy, especially in winter, should be aware of fog and poor visibility, responsible for multiple-car accidents each year. Most Italian automobiles are equipped with special fog lights. Roadside assistance in Italy is excellent on the well-maintained toll roads, but limited on secondary roads. Use of safety belts and child restraining devices is mandatory and headlights should be on at all times outside of urban areas.

For specific information concerning Italian driving permits, vehicle inspection, road tax and mandatory insurance, contact the Italian Government Tourist Board (ENIT) offices via the Internet at: http://www.enit.it, tel: 212-245-4822 or the A.C.I. (Automobile Club Italiano) at Via Magenta 5, 00185 Rome, tel: 39-06-4477. For information on obtaining international drivers licenses, contact AAA or the American Automobile Touring Alliance.

Visit the website of the country’s national tourist office at http://www.italiantourism.com and national authority responsible for road safety at http://www.infrastrutturetrasporti.it.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Italy’s Civil Aviation Authority as being in compliance with International Civil Aviation Organization (ICAO) aviation safety standards for oversight of Italy’s air carrier operations. For more information, travelers may visit the FAA’s website at http://www.faa.gov.

Special Circumstances: Strikes and other work stoppages occur frequently in the transportation sector (national airlines, airports, trains, and bus lines). Most are announced in advance and are of short duration. Information on strikes may be found at http://www.infrastrutturetrasporti.it. Reconfirmation of domestic and international flight reservations is highly recommended.

Disaster Preparedness: Several major earthquake fault lines cross Italy. Principal Italian cities, with the exception of Naples, do not lie near these faults, but smaller tourist towns, like Assisi, do and have suffered earthquakes. General information about disaster preparedness is available via the Internet from the U.S. Federal Management Agency (FEMA) at http://www.fema.gov. Detailed information on Italy’s earthquake fault lines is available from the U.S. Geological Survey (USGS) at http://www.usgs.gov.

Italy also has several active volcanoes generating geothermal events. Mt. Etna, on the eastern tip of the island of Sicily, has been erupting intermittently since 2000. Mt. Vesuvius, located near Naples, is currently capped and not active. Activity at Mt. Vesuvius is monitored by an active seismic network and sensor system, and no recent seismic activity has been recorded. Two of Italy’s smaller islands, Stromboli and Vulcano in the Aeolian Island chain north of Sicily, also have active volcanoes with lava flows. Detailed information on volcano activity in Italy is available from the U.S. Geological Survey (USGS) at http://www.usgs.gov.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country’s laws and regulations. They may differ significantly from those of the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Italian law, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use or trafficking in illegal drugs in Italy are severe and convicted offenders can expect long jail sentences and heavy fines. Engaging in sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children’s Issues: For information on international adoption of children and international parental child abduction, see the Office of Children’s Issues website at http://travel.state.gov/family/family_1732.html.

Registration/Embassy and Consulate Locations: Americans living or traveling in Italy are encouraged to register with the nearest U.S. Embassy or Consulate through the State Department’s travel registration website, and to obtain updated information on travel and security within Italy. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency. The U.S. Embassy is located at Via V. Veneto 119/A, tel: 39-06-46741 and fax: 39-06-4674-2217; Internet address: http://italy.usembassy.gov.

The U.S. Consulates are located in:

Florence: Lungarno Amerigo Vespucci 38, tel: 39-055-266-951, consular fax: 399-055-215-550;

Milan: Via Principe Amedeo 2/10, tel: 39-02-290-351, and fax: 39-02-290-35-273;

Naples: Piazza della Repubblica, tel: 39-081-583-8111, and consular fax: 39-081-583-8275.

There are U.S. Consular Agents located in:

Genoa: Via Dante 2, tel: 39-010-584-492, and fax: 39-010-553-3033;

Palermo: Via Vaccarini 1, tel: 39-091-305-857, and fax: 39-091-625-6026;

Venice: Viale Galileo Galilei, 30, tel: 39-041-541-5944, and fax: 39-041-541-6654.

SAN MARINO

Compiled from the October 2004 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Republic of San Marino

PROFILE

Geography

Area: 60 sq. km.; about one-third the size of Washington, DC.

Cities: Capital—San Marino (pop. 4,482). Other cities—Serravalle, Borgo Maggiore, Domagnano.

Terrain: Rugged mountains.

Climate: Mediterranean; mild to cool winters; warm, sunny summers.

People

Nationality: Noun and adjective—Sammarinese.

Population: (12-31-2002) 28,753

Ethnic groups: Sammarinese, Italian.

Religions: Roman Catholic.

Language: Italian.

Education: Literacy—96%.

Health: Infant mortality rate—6.7/1,000 live birth rates (2003). Life expectancy—81.37 years.

Work force: approx 18,000.

Government

Type: Republic.

Constitution: October 8, 1600, electoral law of 1926 and manuscript of rights (1974) serve some of the functions of the Constitution.

Branches: Executive—Captains Regent (co-chiefs of state), Congress of State (cabinet) elected by the Great and General Council, Secretary of State for Foreign and Political Affairs (head of government). Legislative—unicameral parliament: 60-member Great and General Council. Judicial—Council of Twelve.

Administrative subdivisions: 9 municipalities.

Political parties: Christian Democratic Party, Democratic Progressive Party, San Marino Socialist Party, National Alliance, Popular Alliance, Communist Refoundation.

Suffrage: Universal over 18.

Economy

GDP: (2002) Euros 935 million.

Per capita income: (2002 est) Euros 24,054.

GDP growth: (2004 est) 2%.

Natural resources: Building stone.

Agriculture: Products—wheat, grapes, maize, olives, cattle, pigs, horses, meat, cheese, hides.

Industry: Types—tourism, textiles, electronics, ceramics, cement, wine.

Trade: Exports—Euros 1,705 million (2001). 85% to Italy. Imports—Euros 1,744 million (2001) manufactured goods, food. Partners—Italy, Western Europe, Eastern Europe, South America, China, Taiwan.

PEOPLE AND HISTORY

The population of San Marino is comprised of native Sammarinese and Italian citizens. Crop farming, sheep farming, and the working of stone from the quarries formed the early backbone of San Marino's economy. It has no mineral resources, and today most of the land is cultivated or covered by woods.

According to tradition, San Marino was founded in AD 301 when a Christian stonemason named Marinus the Dalmatian fled to the island of Arbe to escape the anti-Christian Roman Emperor Diocletian. Marinus hid on the peak of Mount Titano and founded a small community of people following their Christian beliefs. It is certain that the area had been inhabited since prehistoric times, although evidence of existence on Mount Titano only dates back to the Middle Ages. In memory of the stonecutter, the land was renamed "Land of San Marino" and was finally changed to its present-day name, "Republic of San Marino."

The original government structure was composed of a self-governed assembly known as the Arengo, which consisted of the heads of each family. In 1243, the positions of Captains Regent (Capitani Reggenti) were established to be the joint heads of state.

The land area of San Marino consisted only of Mount Titano until 1463, at which time the republic entered into an alliance against Sigismondo Pandolfo Malatesta, Lord of Rimini, who was later defeated. As a result, Pope Pius II Piccolomini gave San Marino the towns of Fiorentino, Montegiardino, and Serravalle. Later that year, the town of Faetano joined the republic on its own accord. Since then, the size of San Marino has remained unchanged.

San Marino has been occupied by foreign militaries twice in its history, both for only short periods of time. In 1503, Cesare Borgia, known as Valentino, occupied the republic until his death several months later. In 1739, Cardinal Alberoni used military force to occupy the country. Civil disobedience was used to protest his occupation, and clandestine notes sent to the Pope to obtain justice were answered by the Pope's recognition of San Marino's rights and restoration of San Marino's independence.

GOVERNMENT

The Arengo, initially formed with the heads of each family, relinquished its power to the Great and General Council. In 1243, the first two Captains Regent were nominated by the Council, and this method of nomination is still in use today. The Council is composed of 60 members who are elected every 5 years under a proportional representation system in all nine administrative districts. These districts (Townships) correspond to the old parishes of the Republic, and each one is ruled by a Council, which is chaired by a Captain elected every 5 years. The Great and General Council approves the budget, as well as the nominations of Captains Regent and heads of the Executive.

Every 6 months, the Council elects two Captains Regent to be the heads of state. The Regents are chosen from opposing parties so they can keep an eye on each other. They serve a 6-month term. The investiture of the Captains Regent takes place on April 1 and October 1 in every year. Once this term is over, citizens have 3 days in which to file complaints about the previous Regents' activities. If they warrant it, judicial proceedings against the former head(s) of state can be initiated.

The State Congress, composed of 10 Secretaries, wields executive power. The 10 Secretaries are (1) Secretary of State for Foreign and Political Affairs; (2) Secretary of State for Internal Affairs and Civil Defense; (3) Secretary of State for Finance, Budget and Programming, Information and Relations with the State Philatelic and Numismatic Office; (4) Secretary of State for Education, Culture, University and Justice; (5) Secretary of State for Territory, Environment and Agriculture; (6) Secretary of State for Health and Social Security; (7) Secretary of State for Trade and Relations with the Town Council; (8) Secretary of State for Communication, Transport, Relations with the Azienda Autonoma di Stato for Services, Tourism, and Sport; (9) Secretary of State for Industry and Crafts; and (10) Secretary of State for Labor and Cooperation.

The Great and General Council elects the Council of Twelve for the duration of the Legislature and serves a jurisdictional body that also acts as a third instance Court of Appeals. Two government inspectors represent the State in financial and patrimonial questions.

The Legislative body consists of the Great and General Council, the parliament, and a unicameral Chamber. The members of parliament are usually elected every five years and are in charge of legislation, justice, and the administration of jurisdiction. In addition, they are tasked with electing the Captains Regent, the State Congress, the Council of Twelve, the Advising Commission, and the Government Unions once the Council nominates them. Parliament also has the power to ratify contracts with other countries. The parliament is divided into five different Advising Commissions consisting of 15 councils which examine, propose, and discuss the implementation of new laws that are on being submitted to the Great and General Council.

The judicial system of San Marino is entrusted to foreign executives, both for historical and social reasons. The only native judges are the Justices of the Peace, who only handle civil cases where sums involved do not exceed 25 million lire. The Council of Twelve serves as an appeals court in the third instance.

Principal Government Officials

Last Updated: 12/29/04

Co-Head of State (Captain Regent): Giuseppe ARZILLI
Co-Head of State (Captain Regent): Roberto RASCHI
Sec. of State for Foreign & Political Affairs & for Economic Planning: Fabio BERARDI
Sec. of Finance, Budget, & Transportation: Pier Marino MULARONI
Sec. of Health & Social Security: Massimo Roberto ROSSINI
Sec. of Industry, Craftsmanship, Trade, Telecommunications, & Economic Cooperation: Claudio FELICI
Sec. of Interior, Civil Protection, & Relations with Local Governments: Loris FRANCINI
Sec. of Justice, Relations with Local Governments, & Information: Alberto CECCHETTI
Sec. of Labor, tourism, Postal Service, & Sports: Paride ANDREOLI
Sec. of Public Education, University, & Cultural Institutions: Rosa ZAFFERANI
Sec. of Territory, Environment, & Agriculture: Gian Carlo VENTURINI
Permanent Representative to the UN, New York: Gian Nicola Filippi BALESTRA

POLITICAL CONDITIONS

San Marino is a multi-party democratic republic. The three main parties are the Democratic Christian Party of San Marino (PDCS), the Socialist Party of San Marino (PSS), and the Progressive Democratic Party of San Marino (PPDS), in addition to several other smaller parties. Due to the small size and low population of San Marino, it is difficult for any party to gain a pure majority, and most of the time the government is run by a coalition. Following a period of political instability after the June 2001 elections, in December 2003 the three largest parties formed a coalition government with a view to reforming the electoral law and subsequently calling for early elections.

Because tourism accounts for more than 50% of the economic sector, the government relies not only on taxes and customs for revenue but also the sale of coins and postage stamps to collectors throughout the world. In addition, the Italian Government pays San Marino an annual budget subsidy provided under the terms of the Basic Treaty with Italy. In recent years banking has also become an important economic activity.

Harmonization of statutes and policies with the EU is a major domestic and foreign policy priority of the republic. Another priority issue will be to increase the transparency and efficiency in parliament and in relations among parliament, cabinet, and the Captains Regent.

ECONOMY

San Marino's per capita GNP in 2002 stood at 24,054 Euros with more than 50% coming from the tourism industry, which draws about 3 million people annually. One of the greatest sources of income from tourism comes from the sale of historic coins and stamps. In 1894, San Marino issued its first commemorative stamps, which produced government revenue for the republic. All 10 of the Post Offices of San Marino sell these stamps and collectable coins, including "Legal Tender Gold Coins." Traditional economic activities in San Marino were food crops, sheep farming, and stone quarrying. Today farming activities focus on grain, vines,

and orchards, as well as animal husbandry (cattle and swine). Besides the tourism industry, San Marino makes most of its income from the banking industry and from the manufacture and export of ceramics, tiles, furniture, clothing, paints, fabrics, and spirits/wines. The per capita level of output and standard of living in San Marino are comparable to those of Italy. In addition, San Marino maintains the lowest unemployment rate in Europe and no national debt.

FOREIGN RELATIONS

San Marino is an active player in the international community. Currently, the Republic has diplomatic relations with over 70 countries. Italy is the only country represented by an ambassador resident in San Marino. The Papal Nuncio, based in Rome, is the dean of San Marino's diplomatic corps.

San Marino is a full member of the United Nations, International Court of Justice, United Nations Educational, Scientific and Cultural Organization (UNESCO), International Monetary Fund (IMF), World Health Organization (WHO), World Tourism Organization (WTO), Council of Europe, International Red Cross Organization, and the International Institution for the Unification of Private Law (UNIDROIIT), among others. It also cooperates with UNICEF and the United Nations High Commission for Refugees and has official relations with the European Union. From May 10 until November 6, 1990, San Marino held the semi-annual presidency of the Committee of Ministers of the Council of Europe, headquartered in Strasbourg, France.

U.S.-SAN MARINO RELATIONS

The United States and San Marino enjoy friendly diplomatic relations. San Marino consistently supports U.S. foreign policy positions, as well as U.S. candidates to international organizations. The two countries are on excellent terms. The United States Consul General in Florence also serves as the U.S. diplomatic representative to San Marino. For consular purposes, the republic is within the jurisdiction of the Florence consular district. Consulate officials regularly visit San Marino to carry out diplomatic demarches, represent U.S. interests, and administer consular services.

Principal U.S. Embassy Officials

FLORENCE (C) Address: Lungarno A. Vespucci, 38; APO/FPO: PSC 59 Box 100 (f) APO AE 09624; Phone: +39-055-266-951; Fax: 39-055-284088; INMARSAT Tel: Iridium 881631458976; Workweek: 8:30-5:30 Mon to Fri

TRAVEL

Consular Information Sheet—Italy

June 25, 2004

Country Description: Italy is a developed democracy with a modern economy. Tourist facilities are widely available. Additional information may be obtained from the Italian Government Tourist Board via Internet at http://www.enit.it or telephone at: 212-245-5618.

Entry/Exit Requirements: A valid passport is required. Italian authorities may deny entry to travelers who attempt to enter without a valid passport. A visa is not required for tourist stays up to three months. However, for all other purposes, such as work, study, etc., a visa is required and must be obtained from the Italian Embassy or Consulates before entering Italy. For further information concerning visas and entry requirements, travelers may contact the Embassy of Italy at 1601 Fuller St. N.W., Washington, D.C. 20009, tel: 202-328-5500 or via the internet: http://www.italyemb.org, or Italian Consulates General in Boston, Chicago, Detroit, Houston, Los Angeles, Miami, Newark, New Orleans, New York, Philadelphia, or San Francisco, accessible through the above Internet site.

Under Italian law, tourists are required to register with a local police station and obtain a "permesso di soggiorno" (permit to stay) within eight working days of their arrival, regardless of the intended length of stay. Visitors may be required to show police that they have sufficient means of financial support. Credit cards, ATM cards, travelers' checks, prepaid hotel/vacation vouchers, etc. may be evidence of sufficient means.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for a child's travel from the parent(s) or legal guardian not present. Having such documentation on hand, even if not required, may facilitate entry/departure.

Dual Nationality: U.S. Citizens born in Italy and/or who are also Italian citizens may be subject to compulsory military service and other laws imposing special obligations upon them in Italy. Those who might be affected should inquire at an Italian embassy or consulate regarding their status before traveling to Italy. In some instances, dual nationality may hamper U.S. Government efforts to provide protection abroad. For additional information, see the Consular Affairs home page at http://www.travel.state.gov for our Dual Nationality flyer.

Safety and Security: There have been occasional episodes of politically motivated violence in Italy, most often connected to Italian internal developments or social issues. At various times, Italian authorities have found bombs outside public buildings, have received bomb threats and were subjects of letter bombs. Firebombs or Molotov cocktails have been thrown at buildings or offices in the middle of the night. These incidents have all been attributed to organized crime or anarchist movements. Americans were not targeted or injured in these instances.

Demonstrations may have an anti-American character. Even those intended to be peaceful have the potential to turn into confrontational situations and possibly escalate into violence. U.S. citizens traveling or residing in Italy should take common sense precautions and follow news reports carefully in order to avoid demonstrations and to be aware of heightened security and potential delays when they occur.

Italy remains largely free of terrorist incidents. However, like other countries in the Schengen area, Italy's open borders with its Western European neighbors allow the possibility of terrorist groups entering/exiting the country with anonymity.

For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet web site at http://travel.state.gov where the current Worldwide Caution Public Announcement, Travel Warnings, and Public Announcements can be found. Up to date information on security can also be obtained by calling 1-888-407-4747 toll free in the United States, or, for callers outside the United States and Canada, a regular toll line at 1-317-472-2328. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

Crime: Italy has a moderate rate of violent crime, some of which is directed towards tourists, principally for motives of theft. Some travelers have been victims of rape and beatings. There have been increasing incidents of drinks laced with drugs being used by criminals to rob, and in some cases, assault tourists. This occurs repeatedly in the vicinity of Rome's Termini train station. Instances have also occurred elsewhere in Rome, as well as in Florence and Naples. Criminals using this tactic "befriend" a traveler, at a bus stop, restaurant, cafe or bar in tourist areas, then eventually offer a drink laced with a sleeping drug. When the tourist falls asleep, criminals steal the traveler's valuables. There have also been instances where the victim was assaulted, either physically or sexually. Other embassies in Rome report this happening to their citizens as well.

Americans are advised to exercise caution when frequenting nightclubs, bars and outdoor cafes, particularly at night, because criminals may make initial contact with potential victims in such settings. Individuals under the effect of alcohol may become victims of crime, including robbery, physical and sexual assault, due to their impaired ability to judge situations and make decisions. This is particularly a problem for younger Americans visiting Italy, where age limits on the sale of alcoholic beverages is lower than in most U.S. states. If you are a victim of such a crime, please file a police report and contact the U.S. Embassy or Consulates. There are also in-country organizations, which provide counseling, medical, and legal assistance to certain crime victims.

Petty crimes such as pick pocketing, theft from parked cars, and purse snatching are serious problems, especially in large cities. Pickpockets sometimes dress like businessmen, so tourists should not be lulled into a false sense of security by believing that well-dressed individuals are not potential pickpockets or thieves. Most reported thefts occur at crowded tourist sites, on public buses or trains, or at the major railway stations, Rome's Termini, Milan's Centrale, Florence's Santa Maria Novella, and Naples' Centrale and Piazza Garibaldi. Travelers should also be alert to theft in Milan's Malpensa airport, particularly at car rental agencies. Clients of Internet cafes in major cities have been targeted. Tourists who have tried to resist petty thieves on motor scooters have suffered broken arms and collarbones.

Thieves in Italy often work in groups or pairs. Pairs of accomplices or groups of street urchins are known to divert tourists' attention so that another can pickpocket them. In one particular routine, one thief throws trash, waste or ketchup at the victim; a second thief assists the victim in cleaning up the mess; and the third discreetly takes the victim's belongings. Criminals on crowded public transportation slit the bottoms of purses or bags with a razor blade or sharp knife, then remove the contents. Theft of small items such as radios, luggage, cameras, briefcases, and even cigarettes from parked cars are a major problem.

Robbers take items from cars at gas stations often by smashing car windows. Thefts have also been reported from occupied vehicles waiting in traffic or stopped at traffic lights. Vehicles parked near beaches during the summer have been broken into and items stolen.

In a scam practiced on the highways, one thief signals a flat tire to the driver of another car and encourages the driver to pull over. Often, the tire has been punctured by an accomplice, while in other instances, there may, in fact, be nothing wrong with the vehicle. When the driver stops, one thief helps change the tire, while the other takes the driver's belongings. Use particular caution driving at night on highways, when there may be a greater incidence of robbery attempts. There have been occasional reports of break-ins of rental cars driven by Americans when the precautions mentioned above were not followed during stops at highway service areas.

On trains, a commonly reported trick involves one or more persons who pretend to befriend a traveler and offer drugged food or drink. Also, thieves have been known to impersonate police officers to gain the confidence of tourists. The thief shows the prospective victim a circular plastic sign with the words "police" or "international police." If this happens, the tourist should insist on seeing the officer's identification card (documento), as impersonators tend not to carry forged documents. Tourists should immediately report thefts or other crimes to the local police.

Organized criminal groups operate throughout Italy, but are more prevalent in the south. They have occasionally resorted to violence to intimidate or to settle disputes. Though the activities of such groups are not generally targeted at tourists, visitors should be aware that innocent bystanders could be injured.

The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, contact the nearest U.S. Embassy or Consulate for assistance. Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends, and explain how funds could be transferred.

Although the investigation and prosecution of crime is solely the responsibility of local authorities, consular officers can help you understand the local criminal justice process and help you locate an attorney if needed.

U.S. citizens can refer to the Department of State's pamphlet, A Safe Trip Abroad, for ways to promote a trouble-free journey. The pamphlet is available by mail from the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, via the Internet at http://www.gpoaccess.gov, or via the Bureau of Consular Affairs home page at http://travel.state.gov.

Medical Facilities and Insurance: Medical facilities are available, but may be limited outside urban areas. Public hospitals sometimes do not maintain the same standards as hospitals in the United States, so travelers are encouraged to obtain insurance that would cover a stay in a private Italian hospital or clinic. It is almost impossible to obtain an itemized hospital bill from public hospitals, as required by many U.S. insurance companies, because the Italian National Health Service charges one inclusive rate (care services, bed and board). The Department of State strongly urges Americans to consult their medical insurance company prior to traveling to confirm whether their policy applies overseas and if it will cover emergency expenses such as a medical evacuation. U.S. medical insurance plans seldom cover health costs incurred outside the United States unless supplemental coverage is purchased. U.S. Medicare and

Medicaid programs do not provide payment for medical services outside the United States. Many travel agents and private companies offer insurance plans to cover overseas health care expenses including emergency services such as medical evacuations.

When making a decision regarding health insurance, Americans should consider that many foreign doctors and hospitals require payment in cash prior to providing service and that a medical evacuation to the U.S. may cost well in excess of $50,000. Uninsured travelers requiring medical care overseas often face extreme difficulties unlike travelers who have purchased overseas medical insurance. Prior to your trip, ask your insurance company if payment will be made to the overseas healthcare provider or whether you will be reimbursed later for incurred expenses. Some insurance companies include coverage for psychiatric treatment and for disposition of remains in the event of death.

Information on medical emergencies abroad, including overseas insurance programs, is provided in the Department of State's Bureau of Consular Affairs brochure, Medical Information for Americans Traveling Abroad, available via the Bureau of Consular Affairs home page.

Other Health Information: Travelers should always carry a prescription for any drugs they are taking and should know the generic name of the drug. Most prescription drugs available in the U.S. can also be found in Italy. If you are taking an unusual medicine that is difficult to find even in the United States, we suggest that you bring an ample supply with you when you travel. Mailing prescription drugs to Italy is time-consuming and complicated. Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747); fax: 1-888-CDC-FAXX (1-888-232-3299), or via the CDC's Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the U.S. The information below concerning Italy is provided for general reference only, and may not be totally accurate for all locations or circumstances.

Safety of Public Transportation: Good
Urban Road Condition/Maintenance: Good
Rural Road Condition/Maintenance: Good
Availability of Roadside Assistance: Excellent on toll roads, good elsewhere

Streets in historical city centers are often narrow, winding and congested. Traffic lights are limited, often disobeyed and a different convention of right-of-way is observed. Italy has over 5,600 kilometers (3,480 mi.) of "Autostrada," or superhighways. Commercial and individual vehicles travel and pass on these well-maintained roads at very high speeds. Accidents do occur in which contributing factors include excessive speed, alcohol/drug use and/or sleepiness of long-distance drivers. Italy has one of the highest rates of car accident deaths in the European Union.

In rural areas, a wide range of speed on highways makes for hazardous driving. Roads are generally narrow and often have no guardrails. Travelers in northern Italy, especially in winter, should be aware of fog and poor visibility, responsible for multiple-car accidents each year. Most Italian automobiles are equipped with special fog lights. Roadside assistance in Italy is excellent on the well-maintained toll roads, but limited on secondary roads.

For specific information concerning Italian driving permits, vehicle inspection, road tax and mandatory insurance, contact the Italian Government Tourist Board (ENIT) offices via the Internet at: http://www.enit.it, tel: 212-245-4822 or the A.C.I. (Automobile Club Italiano) at Via Magenta 5, 00185 Rome, tel: 39-06-4477. For information on obtaining international drivers licenses, contact AAA or the American Automobile Touring Alliance.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Italy's Civil Aviation Authority as Category 1 – in compliance with international aviation safety standards for oversight of Italy's air carrier operations. For further information, travelers may contact the Department of Transportation within the U.S. at 1-800-322-7873, or visit the FAA Internet website at http://www.faa.gov/avr/iasa/index.cfm.

Customs Regulations: Italian customs authorities may enforce strict regulations concerning temporary importation into or export from Italy of items such as professional equipment, commercial samples, advertising materials and/or goods for exhibition and fair purposes. Tax-free shopping rules are strictly enforced. Be sure you have read and understood all the procedures and conditions regarding refunds before purchasing any item. It is advisable to contact the Embassy of Italy in Washington or one of Italy's Consulates in the United States for specific information regarding customs requirements. The U.S. Customs Service may impose corresponding import restrictions in accordance with the Convention on Cultural Property Implementation Act. Contact the Customs Service at (202) 927-2336 or Internet at: http://exchanges.state.gov/education/culprop for further information.

Italy's customs authorities encourage the use of an ATA (Admission Temporaire/Temporary Admission) Carnet. ATA Carnet Headquarters, located at the U.S. Council for International Business, 1212 Avenue of the Americas, New York, NY 10036, issues and guarantees the ATA Carnet in the United States. For additional information, call (212) 354-4480, send an e-mail to [email protected], or visit http://www.uscib.org.

In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products are illegal and bringing them back to the United States may result in forfeitures and/or fines. A current list of those countries with serious problems in this regard can be found at http://www.ustr.gov/reports/2003/special301.htm.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations. They may differ significantly from those of the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Italian law, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use or trafficking in illegal drugs in Italy are strict and convicted offenders can expect jail sentences and heavy fines.

Under the PROTECT Act of April 2003, it is a crime, prosecutable in the United States, for a U.S. citizen or permanent resident alien, to engage in illicit sexual conduct in a foreign country with a person under the age of 18, whether or not the U.S. citizen or lawful permanent resident alien intended to engage in such illicit sexual conduct prior to going abroad.

Under the Protection of Children from Sexual Predators Act of 1998, it is a crime to use the mail or any facility of interstate or foreign commerce, including the Internet, to transmit information about a minor under the age of 16 for criminal sexual purposes that include, among other things, the production of child pornography. This same law makes it a crime to use any facility of interstate or foreign commerce, including the Internet, to transport obscene materials to minors under the age of 16.

Special Circumstances: Strikes and other work stoppages occur frequently in the transportation sector (national airlines, airports, trains, and bus lines). Most are announced in advance and are of short duration. Information on strikes may be found at http://www.infrastrutturetrasporti.it. Reconfirmation of domestic and international flight reservations is highly recommended.

Disaster Preparedness: Several major earthquake fault lines cross Italy. Principal Italian cities do not lie near these faults, but smaller tourist towns, like Assisi, do and have suffered earthquakes. General information about disaster preparedness is available via the Internet from the U.S. Federal Management Agency (FEMA) at http://www.fema.gov. Detailed information on Italy's earthquake fault lines is available from the U.S. Geological Survey (USGS) at http://www.usgs.gov.

Italy also has several active volcanoes generating geothermal events. Mt. Etna, on the eastern tip of the island of Sicily, has been erupting intermittently since 2000. Mt. Vesuvius, located near to Naples, is currently capped and not active. Activity at Mt. Vesuvius is monitored by an active seismic network and sensor system, and no recent seismic activity has been recorded. Two of Italy's smaller islands, Stromboli and Vulcano in the Aeolian Island chain north of Sicily, also have active volcanoes with lava flows. Detailed information on volcano activity in Italy is available from the U.S. Geological Survey (USGS) at http://www.usgs.gov.

Children's Issues: For information on international adoption of children and international parental child abduction, please refer to our Internet site at http://travel.state.gov/children's_issues.html or telephone Overseas Citizens Services at 1-888-407-4747. This number is available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays). Callers who are unable to use toll-free numbers, such as those calling from overseas, may obtain information and assistance during these hours by calling 1-317-472-2328.

Registration/Embassy and Consulate Locations: Americans residing, studying or working in Italy, and longer term tourists, are encouraged to register at the Consular Section of the U.S. Embassy in Rome or at one of the three U.S. Consulates General and obtain updated information on travel and security.

SAN MARINO

Republic of San Marino

Repubblica di San Marino

COUNTRY OVERVIEW

LOCATION AND SIZE.

San Marino is an enclave lying wholly within northern Italy. It surrounds the 3-peaked Mount Titano (739 meters/2,425 feet) in the central Apennine Mountains, east of the city of Florence, Italy, and southwest of the city of Rimini, Italy, near the Adriatic Sea. With a total area of only 61.2 square kilometers (23.6 square miles), or about one-third the size of Washington, D.C., San Marino is one of the smallest countries in the world. The republic is also arguably the oldest in the world. It is named for its legendary founder, the 4th-century, Christian stonecutter and Catholic Saint Marinus. The capital is San Marino, a small town on the slopes of Mount Titano with a population of 4,498 (1996 estimate). Other population centers include Borgo Maggiore, Serravalle, and Domagnano.

POPULATION.

The population of San Marino was estimated at 27,336 in July 2001; it was less than 25,000 two years earlier. The growth rate was estimated at 1.49 percent in the same year, with a birth rate of 10.88 births per 1,000 population, exceeding the death rate of 7.65 per 1,000 population, all estimated in 2000. There is a high migration rate of 11.62 per 1,000 population (2000), mostly of people from adjacent Italian towns and villages. The population is somewhat less elderly than other European countries, and the percent of people under 15 years of age, 16 percent, is equal to that of people 65 or older. San Marino has a very high life expectancy at birth—81.14 years for the total population, 85.02 years for women and 77.57 years for men. The fertility rate is estimated at 1.3 children per woman, which is comparable to Italy's rate. The workforce in 1999 included about 15,600 persons. The people of San Marino are distinctively Italian in their language, appearance, and culture; they use the Italian currency, and are mostly Roman Catholic, but are very proud of their independent political heritage. In addition to the native Sammarinese, there are also Italian immigrants.

OVERVIEW OF ECONOMY

The economy of San Marino is tiny but, nevertheless, it is stable and quite prosperous, particularly when compared to other Southern European countries. More than half of the country's gross domestic product 's (GDP) total worth of about $860 million has been traditionally produced in the tourism industry. On the average, close to 3.5 million visitors travel to San Marino annually, a huge number compared to the country's population of about 27,000.

Interestingly, one of the most reliable sources of income within tourism, apart from hotels, restaurants, shops, and other facilities, is the sale of collectibles and souvenirs such as historic coins and the world famous Sammarinese picturesque postage stamps, which are produced by the government. San Marino issued its first commemorative stamps in 1894 and, since then, these have become part of a notable and sustainable source of income. All 10 of the post office branches in San Marino sell such stamps and collectable coins, including some legal gold tender coins (lawful money).

Besides the tourism industry, San Marino makes most of its income from the manufacture and export of ceramics, tiles, building material, furniture, clothing, fabrics, paints, and some quality brands of spirits and wines. San Marino's bank system forms an integral part of the Italian banking system. Other key sectors are electronics and Internet-related activities.

Traditional economic activity in San Marino in the past relied mostly on stone quarrying, agriculture, sheep breeding, and wine and cheese making. Most Sammarinese families historically made their living as farmers and/or stone cutters. Building stone is the most important of the natural resources, as in much of Italy. Today's tiny agriculture sector focuses mostly on grains, grapes, and other fruits, as well as on animal husbandry, mostly cattle and pigs.

The per capita level of output and standard of living in San Marino are reasonably high and comparable to those of surrounding Italy, with a GDP per capita of about $32,000 (2000 estimate). GDP growth for the same year was 8 percent. San Marino is closely associated with the economic structures of the EU through the Italian economy and monetary and customs systems, with which it is closely integrated. San Marino also receives payments from the Italian government in exchange for permitting its monopolies on tobacco and other commodities on its territory.

POLITICS, GOVERNMENT, AND TAXATION

San Marino is a republic that has preserved some very ancient traditions that additionally attract tourists to the country. Although it has been greatly influenced by modern political developments in surrounding Italy, it also has been spared some of the turbulent moments in its larger neighbor's contemporary history. It is democratic and neutral, and even more sensitive than ever to the importance of liberty. San Marino is governed according to a constitution adopted on 8 October 1600. A newer electoral law of 1926 and a "Manuscript of Rights" of 1974 also serve some of the functions of a constitution. San Marino claims to be the world's oldest surviving republic, founded by Saint Marinus in 301 A.D. Its foreign policy is aligned with that of Italy, and the social trends in the republic also follow closely with those of its neighbor.

The executive authority comprises the 2 Captains Regent, the traditional co-heads of state, who are both members of the parliament and elected by that body; a Congress of State (cabinet), also elected by the parliament; and a senior Secretary of State for foreign and political affairs, who acts as the traditional head of government. In their tenure, the Captains Regent preside over the deliberations of the executive body, the Congress of State. Every 6 months, the Sammarinese parliament elects new Captains Regent—traditionally from opposing parties to provide checks and balances. Their investiture (inauguration ceremony) takes place on 1 April and 1 October of every year and is accompanied by a centuries-old ceremony. Once their term is over, Sammarinese citizens have 3 days in which to file any complaints about the in-office activities and behavior of out-going Captains Regent. If so warranted, judicial proceedings against the ex-heads of state may be initiated.

The legislative power is vested in a unicameral (having 1 chamber) parliament, a 60-member house named the Grand and General Council that is elected by universal suffrage for a term of 5 years. The electoral body once comprised the heads of the Sammarinese families exclusively, but it was gradually extended to include all citizens over 18 years of age.

Italian magistrates, for both historical and social reasons of impartiality, have staffed the judicial system. The only native Sammarinese judges are the several Justices of the Peace, who may handle only civil cases in which disputed sums do not exceed 25 million lire (about $15,000). The traditional local Council of the Twelve serves as the highest court of appeals. It is elected by the Grand and General Council for the duration of the legislature.

The political parties in San Marino are traditionally very close to those in Italy, particularly the Christian Democrats, Socialists, and Communists. In the 1990s, however, among a series of disruptive political scandals, the Italian post-war political system was discredited and finally collapsed. A more complex and diversified system of new parties and alliances emerged from its debris. The centrist Christian Democratic Party, part of all ruling coalitions after 1948, dissolved and its members formed 2 new organizations, the Popular Party and the Christian Democratic Center. The new Democratic Party of the Left became the major left-wing party, including the majority of the reformed communists and many socialists. A smaller leftist group, the Communist Refoundation, retained some of the traditional Marxist policies, characteristic of the old communist party. The numerous Sammarinese political groups of the late 1990s accordingly included the conservative Democratic Christian Party (PDCS), the Progressive Democratic Party (PPDS), the Popular Democratic Party (APDS), the left-of-center Socialist Party (PSS), and the Communist Refoundation (RC), plus several other smaller groups, such as the Democratic Movement, the Popular Alliance, and the Socialists for Reform. Due to the small size of San Marino's population and electorate, no party has gained an absolute majority, so the government is usually run by a coalition. The parties sharing power currently are the Democratic Christian Party and the Socialist Party, but for several decades after World War II, San Marino was the only European country outside the Soviet sphere of influence ruled by a communist - socialist coalition. The elections held on 31 May 1998 (the next elections are to be held in May 2003) gave PDCS 40.8 percent of the popular vote, PSS received 23.3 percent, and PPDS had 18.6 percent. The composition of the current parliament and the Captains Regent reflects the stable economic situation in San Marino arising from having one of the lowest unemployment rates in Europe, a stable budget surplus , and zero national debt .

The role of the government in the economy is significant, although San Marino has developed a mature market economy. In the late 1980s, annual government revenue and expenditure were balanced at about $183 million, and since then the budget has accumulated a surplus. The state executive congress (cabinet), composed of 3 secretaries and 7 ministries, oversees the most vital economic activities, including those of the state-run Philatelic and Numismatic Office (stamps and coins). The government relies not only on tourism, taxes, and customs for revenue, but also on the sale of coins and stamps to collectors from throughout the world. In addition, the Italian government pays San Marino an annual budget subsidy provided under the terms of its basic treaty with Italy. The main issues facing the current government include economic and administrative problems related to San Marino's status as a close financial and trading partner with Italy while at the same time remaining officially separated from the EU.

Despite the tiny size of San Marino, it is an active player in the international community, with diplomatic ties to more than 70 countries. San Marino is a full member of the United Nations (UN), the International Court of Justice, the UN Educational, Scientific and Cultural Organization (UNESCO), the International Monetary Fund (IMF), the World Health Organization (WHO), the World Tourism Organization (WTO), the Council of Europe, the International Red Cross Organization, and the International Institution for the Unification of Private Law (UNIDROIT), among others. It also cooperates with the UN Children's Fund (UNICEF) and the UN High Commissioner for Refugees, and has official relations with the European Union. From May to November 1990, San Marino held the rotating presidency of the European Council of Ministers.

INFRASTRUCTURE, POWER, AND COMMUNICATIONS

Italy supplies virtually all of San Marino's electricity, and the domestic automatic telephone system is completely integrated into the Italian telecommunications system. Main (fixed) phone lines (nearly 20,000) and cellular phones are ubiquitous, yet in 1999 there was only 1 local Internet service provider. The country has its own local television station and 3 local FM radio stations, although Italian broadcasting and cable TV is available everywhere. The republic has only a 1.5-kilometer (1 mile) cable railway, which connects the city of San Marino to the community of Borgo Maggiore. Virtually all of the 220 kilometers (138 miles) of roads in San Marino are paved. The country has no naval ports or airports, relying instead on Italy's extensive and advanced transportation facilities.

ECONOMIC SECTORS

The traditional foundation of San Marino's economy was agriculture and stone quarrying, while tourism and

light industry have grown in importance. Wheat, barley, maize, olives, wine, and livestock and dairy products dominate agricultural output. Some building stone is still quarried. Manufactures include textiles, cement and building materials, leather goods, synthetic rubber products, and ceramics. Other important sources of income are the sale of postage stamps and collectible coins. In 1998, 60 percent of the labor force worked in the services sector, 38 percent in industry, and 2 percent in agriculture. In terms of industries, most workers were employed in tourism, banking, textiles, electronics, ceramics, cement, and wine production. No exact figures for sales of any industry are available, as the figures for San Marino are recorded as part of Italy's output.

AGRICULTURE

Arable land comprises some 17 percent of San Marino's rugged territory, and agricultural products include wheat, grapes, corn, olives, cattle, pigs, horses, beef, cheese, and hides. Italy supplies much of the republic's food, while main export products are wine and cheeses, renowned in Italy and abroad. Woods also cover a part of the land.

INDUSTRY

The government has a sound policy of promoting local producers. Electronics and Internet related activities have been added to the traditional Sammarinese construction materials manufacture, which includes building-stone quarrying, cement, ceramics, and tiles fabrication. Wood processing and fine furniture manufacturing are also well developed. Minting of coins and medals, printing of stamps and cards, and fine local handicrafts are the largest contributors to the economy in terms of revenue. Construction and the real estate market are another important source of income and occupation. Chemical industries, textiles, and apparel manufacturing also contribute to the country's exports.

SERVICES

The tourist sector is estimated to contribute over 50 percent of San Marino's GDP. In 1997, San Marino's rich history, charming mountain views, fine dining, and shopping attracted 3.4 million tourists. The republic's proximity to major maritime tourist resorts on the Adriatic Sea at Rimini and and to world centers of sophisticated tourism such as the museum cities of Florence and Venice also stimulated tourism. In finance, apart from the major Italian banks and insurance firms, there is only 1 local credit institution, the Istituto di Credito Sammarinese, which performs the functions of a central bank. Among other duties, this institution coordinates the country's banking system and performs treasury and tax collection services. Given the small size of the retail market, small, family-owned stores prevail. The Sammarinese also shop in larger retail establishments in Italy, however.

INTERNATIONAL TRADE

International trade is light in volume. About 85 percent of exports and imports are shipped to, or come from, Italy. Energy, automobiles, equipment, and most manufactured goods and food are imported. Besides Italy, primary trade partners include some EU members, eastern European and South America countries, China, and Taiwan.

MONEY

The Sammarinese economy is closely integrated with the Italian monetary and banking system. The Banking Act in Italy of 1990 introduced major changes as a part of the EU policy for free capital movement within the member states and a currency union, creating conditions for the reduction of public ownership of banks and liberalizing the regulations on foreign capital. In 1999, Italy and 10 other members of the EU switched from their national currencies to the single currency of the euro, as a part of the European System of Central Banks (ESCB). The euro has been in use since 1 January 1999, initially for electronic transfers and accounting purposes only, while euro coins and bills will be issued in 2002. At that time the Italian currency will cease to be legal tender. On 1 January 1999, control over Italian monetary policy , including the issues of setting the interest rates and regulating the money supply, was transferred to the European Central Bank (ECB). The need to adjust to the centralized European monetary and banking system requirements without being officially a member of the EU will be a serious challenge for the Sammarinese government

in the near future. The benefits from the single European economic space, however, are expected to outweigh the drawbacks.

POVERTY AND WEALTH

With a high measure of GDP per capita, a low inflation rate (in terms of consumer prices) of 2 percent (1997 estimate), and the benefits of the monetary and economic union with Italy, the tiny republic offers its citizens a high standard of living. No data as to San Marino's economic equality index ( Gini index ) are available, but if Italy's index is used, the degree of economic equality in the republic should be characterized as outstanding compared with that of the United States and the United Kingdom. The size of the republic and its economic activity render little space for the accumulation of large private fortunes, but extreme poverty is not an issue in the country either. This is no wonder given the influence of socialist politics in the country's history. In this and other ways, San Marino more closely resembles the above-average economic and social structures of industrialized northern Italy

WORKING CONDITIONS

The small but affluent Sammarinese economy, the close popular scrutiny over the government's deliberations, the long tradition of socialist control, and one of the lowest unemployment rates in Europe almost rule out labor unrest in the republic. The new, more environmentally friendly industries that are gradually supplanting traditional stone quarrying are also more conducive to enhancing safety at work. Of a workforce of some 18,500, only 3 percent were unemployed in 1999.

COUNTRY HISTORY AND ECONOMIC DEVELOPMENT

301 A.D. According to legend, San Marino was founded by the Christian stonecutter Marinus who sought refuge on Mount Titano from religious persecution.

4TH TO 13TH CENTURIES. San Marino retains its independence despite the ambitions of the neighboring rulers and as new political entities develop and disappear throughout the land. The economy is based on agriculture and stonecutting.

1291. Roman Pope Nicholas IV officially recognizes San Marino's independence.

1503. Italian general Cesare Borgia briefly occupies the republic until his death several months later.

1739. Italian Roman Catholic Cardinal Alberoni uses military force to occupy San Marino, but civil disobedience against the invader and letters of protest to the Pope are answered by renewed papal recognition of San Marino's rights and restoration of independence.

1797. French leader Napoleon Bonaparte offers to expand the territory of San Marino as a gift and as a sign of friendship with the republic, but the Sammarinese authorities refuse.

1849. San Marino offers refuge to Italian revolutionary leader Giuseppe Garibaldi.

1862. San Marino signs a treaty of friendship (revised several times since) with Italy.

1943-45. During World War II, neutral San Marino hosts about 100,000 refugees from the embattled neighboring zones of Italy.

1945. A coalition of Communists and Socialists wins elections and rules for 12 years, creating the base of the welfare state and modern economic development.

1957. The Christian Democratic Party, aided by Communist dissidents, takes control of the government.

1978. A Communist coalition regains power and retains it for 14 years.

1992. San Marino becomes a member of the United Nations, while the Christian Democrats form a coalition government with the Socialists, a regime that continues to govern after the 1993 general elections.

1999. Control over the Italian monetary and banking system, used in San Marino, is transferred to the European Central Bank (ECB).

FUTURE TRENDS

The Sammarinese economy is closely related to Italy's and is highly dependent on the developmental trends of the EU. It is likely that the country will preserve its economy—particularly in the areas of tourism, services, and modern manufacturing—maintain its high living standards, and continue to attract tourists and collectors for the foreseeable future. The number of foreign visitors may even increase as the movement of people, particularly from Central Europe, becomes easier with their gradual integration in the EU and the positive changes concerning the wealth and leisure of their people.

The government's desire to maintain the republic's autonomy and independence may be challenged, however, by the advance of European integration, the increasing competition following the liberalization of commerce and services, and notably by the coming of the single European monetary system. The benefits of the unified European economic space, however, will almost definitely outweigh the problems and possible drawbacks. It is not likely that Sammarinese bank revenues will significantly decline without the exchange fees they charged before San Marino adopted the euro: the monetary union with Italy and the location of the republic as an enclave in Italian territory never generated a large foreign exchange turnover even before the European monetary union took effect.

DEPENDENCIES

San Marino has no territories or colonies.

BIBLIOGRAPHY

Global Investment Business Center, Inc. staff. San Marino: A Country Study Guide. International Business Publications, February 2001.

Repubblica di San Marino. <http://www.sanita.segreteria.sm>. Accessed August 2001.

U.S. Central Intelligence Agency. World Factbook 2000. <http://www.odci.gov/cia/publications/factbook/index.html>. Accessed August 2001.

U.S. Department of State. U.S. Department of State Background Notes: San Marino, November 1998. <http://www.state.gov/www/background_notes/sanmarino_9811-bgn.html>. Accessed January 2001.

—Valentin Hadjiyski

CAPITAL:

San Marino.

MONETARY UNIT:

Italian lira (plural is lire). One Italian lira (L) equals 100 centesimi. There are notes of L1,000, 2,000, 5,000, 10,000, 50,000, and 100,000, and coins of L50, 100, 200, and 500. San Marino also mints its own coins, having the same value as the Italian ones. San Marino has a customs union with Italy, and it switched to the new European unit, the euro, along with Italy and other members of the European Union (EU) in 1999 for all forms of "written money"—checks, bank transactions, and credit cards. In January 2002, the euro will be issued as coins and notes, and the lira will be phased out.

CHIEF EXPORTS:

Building stone, lime, wood, chestnuts, wheat, wine, baked goods, hides, ceramics, furnishings, textiles, apparel.

CHIEF IMPORTS:

Energy, automobiles, equipment, a wide variety of consumer manufactures, clothing, food.

GROSS DOMESTIC PRODUCT:

$860 million (purchasing power parity, 2000 estimate).

BALANCE OF TRADE:

All San Marino foreign trade data are included with the statistics for Italy and no separate statistics are available.