Since the adoption on November 25, 1992, of the law pertaining to universities and research institutions, the Principality of Liechtenstein has formally possessed - albeit in a limited fashion - a higher education sector. This currently consists of three universities, and one research institution:
• University of Liechtenstein;
• International Academy of Philosophy;
• Private University in the Principality of Liechtenstein, and
• Liechtenstein Institute.
Existing universities offer a very limited range of courses and study places, and are far from meeting current or future demand in Liechtenstein. Therefore, in the context of efforts to broaden the recognition of the Liechtenstein baccalaureate, and thus guarantee unrestricted access to Swiss and Austrian higher education institutions for students from Liechtenstein, agreements with Switzerland and Austria have been reached.
Around 65% of students from Liechtenstein successfully complete their studies at a Swiss university or university of applied science or universities of teacher education. Since 1981, Liechtenstein has been a member of the Inter-Cantonal Agreement, responsible for the funding of higher education in Switzerland (since the late 90s: The Inter-Cantonal University Agreement or The Inter-Cantonal Agreement for Universities of Applied Sciences (Fachhochschulvereinbarung)). Through this agreement, students from Liechtenstein have unrestricted access to all cantonal universities and universities of applied science. Within the framework of the agreement, Liechtenstein, in identical fashion to Swiss cantons, financially compensates Swiss universities and universities of applied science for every student. Associated with the agreements are also quality standards, which must be met by higher education institutions in Liechtenstein, so as to obtain the appropriate financial compensation for Swiss students.
In addition to Switzerland, Austria is of great importance for the education of students from Liechtenstein. Agreements have existed between the Republic of Austria and the Principality of Liechtenstein since 1976, in which the admission of students from Liechtenstein to Austrian higher education institutions is ensured. Reciprocal rights for Austrian students in Liechtenstein have applied since Liechtenstein has had its own public university.