The two co-princes of Andorra – the President of France and the Bishop of Urgell – do not get involved in internal politics, particularly after the May 1993 constitution making the principality an independent state.

A crisis in government developed after banking secrecy laws were lifted and a value added tax was due to be applied to companies, along with an opening up to foreign investment.

The government fell two years before its full four-year term was due to end after failing to pass the budget with an absolute majority.

Incumbent Prime Minister Jaume Bartumeu and his main challenger Antoni Martí wanted to change the protectionism previously prevalent in the national economy.

They sought to attract foreign capital primarily in the technology sector to diversify from a current economy based on trade (33%), tourism (33%) and banking (17%).

Eusebi Nomen of Andorra for Change also denounced the proposed increased tax burden and accused the government of selling "national sovereignty."