Strategically important, Gibraltar was reluctantly ceded to Great Britain by Spain in the 1713 Treaty of Utrecht; the British garrison was formally declared a colony in 1830. In a referendum held in 1967, Gibraltarians voted overwhelmingly to remain a British dependency. The subsequent granting of autonomy in 1969 by the UK led to Spain closing the border and severing all communication links. A series of talks were held by the UK and Spain between 1997 and 2002 on establishing temporary joint sovereignty over Gibraltar. In response to these talks, the Gibraltar Government called a referendum in late 2002 in which the majority of citizens voted overwhelmingly against any sharing of sovereignty with Spain. Since late 2004, tripartite talks among Spain, the UK, and Gibraltar have been held with the aim of cooperatively resolving problems that affect the local population, and work continues on cooperation agreements in areas such as taxation and financial services; communications and maritime security; policy, legal and customs services; environmental protection; and education and visa services. Throughout 2009, a dispute over Gibraltar's claim to territorial waters extending out three miles gave rise to periodic non-violent maritime confrontations between Spanish and UK naval patrols. A new noncolonial constitution came into effect in 2007, and the European Court of First Instance recognized Gibraltar's right to regulate its own tax regime in December 2008, but the UK retains responsibility for defense, foreign relations, internal security, and financial stability.
limited natural freshwater resources: large concrete or natural rock water catchments collect rainwater (no longer used for drinking water) and adequate desalination plant
Roman Catholic 78.1%, Church of England 7%, other Christian 3.2%, Muslim 4%, Jewish 2.1%, Hindu 1.8%, other or unspecified 0.9%, none 2.9% (2001 census)
elections:
the monarchy is hereditary; governor appointed by the monarch; following legislative elections, the leader of the majority party or the leader of the majority coalition is usually appointed chief minister by the governor
unicameral Parliament (18 seats: 17 members elected by popular vote, 1 for the speaker appointed by Parliament; members serve four-year terms)
elections:
last held on 8 December 2011 (next to be held not later than 8 December 2015)
election results:
percent of vote by party - GSD 48%, GSLP 46.8%, Progressive Democratic Party 4.4%; seats by party - GSD 10, GSLP 7, Progressive Democratic Party 0
Gibraltar Liberal Party [Joseph GARCIA]; Gibraltar Social Democrats or GSD [Fabian PICARDO]; Gibraltar Socialist Labor Party or GSLP [Joseph John BOSSANO]; Progressive Democratic Party
two horizontal bands of white (top, double width) and red with a three-towered red castle in the center of the white band; hanging from the castle gate is a gold key centered in the red band; the design is that of Gibraltar's coat of arms granted on 10 July 1502 by King Ferdinand and Queen Isabella of Spain; the castle symbolizes Gibraltar as a fortress, while the key represents Gibraltar's strategic importance - the key to the Mediterranean
Self-sufficient Gibraltar benefits from an extensive shipping trade, offshore banking, and its position as an international conference center. Tax rates are low to attract foreign investment. The British military presence has been sharply reduced and now contributes about 7% to the local economy, compared with 60% in 1984. The financial sector, tourism (almost 5 million visitors in 1998), gaming revenues, shipping services fees, and duties on consumer goods also generate revenue. The financial sector, tourism, and the shipping sector contribute 30%, 30%, and 25%, respectively, of GDP. Telecommunications, e-commerce, and e-gaming account for the remaining 15%. In recent years, Gibraltar has seen major structural change from a public to a private sector economy, but changes in government spending still have a major impact on the level of employment.
Gibraltar Broadcasting Corporation (GBC) provides television and radio broadcasting services via 1 television station and 4 radio stations; British Forces Broadcasting Service (BFBS) operates 1 radio station; broadcasts from Spanish radio and TV stations are accessible (2008)
by type:
bulk carrier 1, cargo 139, chemical tanker 65, container 35, liquefied gas 2, petroleum tanker 11, roll on/roll off 4, vehicle carrier 8
foreign-owned:
250 (Belgium 2, Cyprus 1, Denmark 6, Finland 2, Germany 125, Greece 7, Iceland 1, Italy 4, Jersey 1, Morocco 4, Netherlands 33, Norway 42, Singapore 1, Sweden 12, UAE 5, UK 4)
note:this country allows large numbers of ships owned by foreign entities to be registered in its national shipping registry and to fly its flag; these ships operate under the laws of the flag state
registered in other countries:
6 (Liberia 5, Panama 1) (2010)
in 2002, Gibraltar residents voted overwhelmingly by referendum to reject any "shared sovereignty" arrangement; the government of Gibraltar insists on equal participation in talks between the UK and Spain; Spain disapproves of UK plans to grant Gibraltar even greater autonomy