Swiss voters rejected a proposal to join the European Economic Area in 1992 and said no in 2001 to a popular initiative asking the government to open negotiations for entry to the EU. But a number of bilateral treaties that bind Switzerland to various EU systems have since been implemented.
Swiss-EU relations have not always been harmonious, particularly on the issue of tax. Merz, who as finance minister is currently embroiled in a dispute with European neighbours over banking secrecy and tax evasion, said the bilateral path proved the two sides could still make progress.
"It has become a very useful and promising method for getting along with the European Union. This shows that step-by-step Switzerland can get along with the EU while keeping its independence," he told swissinfo.