Three Gorges Dam
EnergyThe world's largest hydropower station by installed capacity, at 22.5 GW, and the main flood-control structure on the Yangtze.
Founded in 963, Luxembourg became a grand duchy in 1815 and an independent state under the Netherlands. It lost more than half of its territory to Belgium in 1839 but gained a larger measure of autonomy. Full independence was attained in 1867. Overrun by Germany in both world wars, it ended its neutrality in 1948 when it entered into the Benelux Customs Union and when it joined NATO the following year. In 1957, Luxembourg became one of the six founding countries of the European Economic Community (later the European Union), and in 1999 it joined the euro currency area. In January 2013, Luxembourg assumed a nonpermanent seat on the UN Security Council for the 2013-14 term.
The National Infrastructure Index maps the physical assets national life runs on — power stations and grids, water systems, ports, railways and airports, data networks, payment systems and launch sites. Each asset is placed in a Strategic Infrastructure capability group, so it can be read against the ratings in the National Capability index above.
Assets are chosen for how much of the economy and state depends on them and how hard they would be to replace. Each card records what the asset is, the category it belongs to, what it does and where it is.
Example assets. These twenty cards are modelled on China's most critical infrastructure and show on every nation page until each nation's own assets are mapped.
The world's largest hydropower station by installed capacity, at 22.5 GW, and the main flood-control structure on the Yangtze.
A 16 GW dam on the Jinsha River, built around sixteen 1 GW turbines, the largest single units in service.
A ±1,100 kV direct-current line carrying 12 GW more than 3,000 km from Xinjiang's power bases to the eastern grid.
China's first large commercial nuclear plant, in service since 1994, with much of its output sold to Hong Kong.
A canal carrying Yangtze basin water more than 1,400 km north from the Danjiangkou Reservoir to Beijing and Tianjin.
The 1,318 km trunk line between the two largest cities, opened in 2011 and one of the busiest high-speed routes in the world.
The world's busiest container port since 2010, including the automated Yangshan deep-water terminals.
The world's largest port by cargo tonnage, handling iron ore, crude oil and coal for the eastern industrial belt.
The capital's second international hub, opened in 2019 around one of the largest single terminal buildings in the world.
A 55 km bridge and undersea tunnel system linking the western and eastern shores of the Pearl River Delta, opened in 2018.
The 1,956 km line from Xining to Lhasa, crossing the Tanggula Pass at 5,072 m, the highest railway in the world.
One of eight national data centre hubs under the East Data, West Computing programme, hosting major cloud providers.
A 2,000 km quantum key distribution trunk line through Jinan and Hefei, completed in 2017 for secure government and bank links.
CIPS clears and settles cross-border payments in renminbi, launched in 2015 to extend the currency's international reach.
The coastal launch site for Long March 5 heavy-lift rockets, used for the Tiangong station modules and lunar and Mars missions.
China's first launch site, founded in 1958 in the Gobi Desert, and the base for every crewed Shenzhou mission.
The national satellite navigation system, providing global positioning and timing since 2020 from its Beijing control segment.
The world's largest known rare-earth deposit and the core of China's rare-earth mining and refining supply chain.
A weir and channel system built around 256 BC that still irrigates much of the Chengdu Plain's farmland.
China's leading maker of 3D NAND flash memory, central to the drive for a domestic semiconductor supply.
The National Development Index tracks the events that move a nation's capability — policy decisions, technological milestones, economic turns and external shocks — and places each one on the record with the date it happened and what followed from it. It is the narrative counterpart to the indices: where a rating says where Luxembourg stands, the index says how it arrived there.
Recent developments cover the current cycle, close enough that their consequences are still unfolding. Historical developments are the inflection points behind the present position — the decisions and events a reader needs in order to read the ratings above in context.
From the 6th century BC Celtic tribes occupied the territory of modern Luxembourg. The Romans later collectively named them the Treveri, and archaeological remains such as the Oppidum of Titelberg attest to their presence.
Roman conquest incorporated the area of present-day Luxembourg into the Empire for some 450 years of relative peace under the Pax Romana. The local Celts adopted Roman culture and language, producing a Gallo-Roman civilisation evidenced by Dalheim Ricciacum and the Vichten mosaic.
Germanic Franks infiltrated the region from the 4th century, and Rome withdrew in 406. The Salian Franks who settled brought the old Frankish tongue, forerunner of the Moselle Franconian dialect from which Luxembourgish later evolved.
The Northumbrian missionary and fellow monks established Echternach in 698, anchoring the Christianisation of Luxembourg dated to the late 7th century. The abbey became one of northern Europe's most influential, producing the Codex Aureus of Echternach and the Golden Gospels of Henry III, and is commemorated in the annual dancing procession.
After 843 Luxembourgish territory passed through Middle Francia, Lotharingia and finally the Duchy of Lorraine within the Holy Roman Empire. These partitions set the frame within which a distinct Luxembourgish polity would later emerge.
Siegfried, Count of the Ardennes, obtained the fortified rock of Lucilinburhuc on the Bock, a rocky outcrop above the Alzette river, from St Maximin's Abbey in Trier through an exchange act. A town grew around the fort, giving its name to the town and county that developed there, and the recorded history of Luxembourg begins from this date; the site's strategic position made Luxembourg a fortified stronghold for centuries.
Siegfried's descendant took the comital title, effectively creating the County of Luxembourg as a state within the Holy Roman Empire. The county's fortress and strategic position underpinned its subsequent expansion.
By the mid-13th century the counts had gained considerable wealth and power, incorporating Bitburg, La Roche-en-Ardenne, Durbuy, Arlon, Thionville, Marville, Longwy and in 1264 the competing County of Vianden. Expansion came largely through inheritance, marriage and fiefdoms rather than conquest.
The counts' attempt to add the Duchy of Limburg ended in defeat and the death of Henry VI and his brothers. Despite the setback, Worringen won the House of Luxembourg the military glory it had previously lacked.
After becoming King of the Romans and King of Italy, Henry VII attained the imperial crown in 1312. The House of Luxembourg thereby began to rule the Empire and to exert growing influence across Central Europe.
The Count of Luxembourg and King of Bohemia established the fair that remains a fixture of national life. John, who died heroically at Crécy in 1346, is regarded as a national hero and the epitome of mediaeval chivalry.
The Emperor raised the county to ducal status, with his half-brother Wenceslaus I becoming the first Duke of Luxembourg. Charles IV had also issued the Golden Bull of 1356, fixing key constitutional aspects of the Empire.
The first Duke of Luxembourg absorbed Chiny while his kin ruled the Empire. The new Duchy of Luxembourg thereby reached its maximum territorial extent.
With Sigismund and Elizabeth of Görlitz heirless, the dynasty's possessions were redistributed among the European aristocracy and the duchy passed to Philip the Good of Burgundy. Luxembourg's absorption into the Burgundian Netherlands began nearly 400 years of foreign rule.
Luxembourg passed to the House of Habsburg, remaining a Habsburg possession for nearly 320 years under Austrian rule (1506–1556), Spanish rule (1556–1714) and Austrian rule again (1714–1794). As a Habsburg holding it was drawn into the recurrent wars with France.
The French king struck at the duchy twice in 1542, but Habsburg forces under Charles V reconquered it each time. The episode opened a long era of Franco-Habsburg contest over Luxembourg's fortress.
War between France and Spain from 1635 ended in a treaty imposing the first partition of Luxembourg. The loss of these fortresses and surrounding territory reduced the duchy's size for the first time in centuries.
French forces held Luxembourg from 1684 until 1697, when it was returned to Spain to win Bourbon support ahead of the War of the Spanish Succession. Vauban and other engineers greatly strengthened the fortress during these occupations.
Administered by the pro-French governor Maximilian II Emanuel when war broke out in 1701, the duchy sided with the Bourbons but was occupied by pro-Austrian allied forces. Its transfer to Austria in 1714 opened the final phase of Habsburg rule.
French armies overran most of the duchy, committing atrocities including the massacres of Differdange and Dudelange and destroying the abbeys of Clairefontaine, Echternach and Orval. The fortress held out for nearly seven months, prompting Lazare Carnot to call it the best fortress in the world except Gibraltar and giving the city its nickname, the Gibraltar of the North.
The incorporation of the former duchy into France was formalised at the Treaty of Campo Formio. French became the sole official language, laicism was imposed and Luxembourgers were barred from civil service posts.
The introduction of military duty triggered riots that culminated in open rebellion. The French suppressed the revolt rapidly, but it left a profound mark on the country's historical memory.
The civil code was implemented during the French period and remains valid in Luxembourg today. It is the most durable of the republican-era legal legacies in the country.
After Napoleon's defeat the powers made Luxembourg a member of the German Confederation while joining it to the Netherlands under William I, with a Prussian garrison in the fortress. Territory around Bitburg and St Vith went to Prussia in the Second Partition, and the duchy was elevated to grand-ducal rank in compensation. From 1816 to 1830 William I ignored its sovereignty and taxed it heavily.
The Treaty of London settled Belgium's claim to the whole Grand Duchy after its 1830–31 revolution by transferring the predominantly francophone western half, plus the Arelerland, to the new Kingdom of Belgium in this Third Partition. The smaller, Germanic-speaking eastern remainder stayed a Grand Duchy under the Dutch crown, gaining full independence and the country's present frontiers.
Accession opened the German market to Luxembourgish producers. It underpinned the growth of the steel industry and the expansion of the railway network between 1855 and 1875.
The Second Treaty of London resolved the Luxembourg Crisis of 1866, sparked by France's attempt to buy the Grand Duchy from the Dutch king, which had nearly brought Prussia and France to war. The great powers reaffirmed Luxembourg's independence and perpetual neutrality, and Prussia withdrew its garrison on condition that the fortress was dismantled; the neutrality held when the Franco-Prussian War came in 1870.
The constitution adopted on 17 October 1868 remains the supreme law of Luxembourg. It has been amended repeatedly, most recently on 1 July 2023.
On the death of William III the personal union with the Netherlands ended: because Luxembourg's succession law barred women from the throne, the crown passed not to the new Dutch queen but to Adolphe of Nassau-Weilburg, who founded a separate national dynasty. This completed the country's progress to full independence amid a 19th-century national awakening expressed in the motto Mir wëlle bleiwe wat mir sinn.
Arrivals from Belgium, France, Italy, Germany and above all Portugal transformed the population; immigrants were 37% of the total by 2000. In 2025, 47% of the 681,973 permanent residents were foreign nationals, with over 10,000 new immigrants a year.
German forces invaded en route to attacking France, though Luxembourg retained much of its independence and political machinery under occupation. The government pursued strict neutrality, unaware of the Septemberprogramm's secret annexation plans, while about 1,000 Luxembourgers served in the French army.
The motion fell by 21 votes to 19 with three abstentions amid post-war republican agitation. Communists in Luxembourg City and Esch-sur-Alzette had briefly attempted to proclaim a soviet workers' republic after the German retreat.
A company of the Luxembourgish Army declared itself the army of a new republic before French troops suppressed it, and the grand duchess abdicated five days later. A referendum the same year saw 77.8% back retention of the monarchy, and Belgian annexation claims were dismissed at the Paris Peace Conference, securing independence.
BLEU created a regime of inter-exchangeable currency and a common customs area. It bound the small Grand Duchy's economy to a larger neighbour after the loss of the Zollverein link.
Wartime losses, largely from the Battle of the Bulge, were the highest in Western Europe in proportional terms. Between 1,000 and 2,500 of Luxembourg's Jews were murdered in the Holocaust, while the country's commitment to the Allied effort was never questioned.
Luxembourg's statistics institute revised its forecast on 5 August 2026 and projected that the next automatic wage and pension indexation would not be triggered until the third quarter of 2027.
The ministry disclosed the breach on 7 August 2026, saying it was working to establish its cause and scale. It did not immediately confirm whether personal data had been compromised.
The bill, cleared on 17 July 2026, establishes Luxembourg's first legal framework for domestic defence production. It comes amid a wider European push to expand domestic defence-industrial capacity.
The deployment, announced on 29 July 2026 by the Ministry of State, the Ministry for Home Affairs and the Grand Ducal Fire and Rescue Corps, sent personnel to help fight wildfires burning in France that summer.
STATEC confirmed the increase, effective from 1 June 2026, under Luxembourg's index-linked system that automatically adjusts pay and benefits to consumer prices.
Speaking to the Chamber of Deputies on 19 May 2026, Frieden highlighted social cohesion and economic growth as government priorities for the year ahead.
The announcement came during a ministerial visit to the Space Symposium in Colorado Springs in April 2026, adding to the roster of space companies based in Luxembourg alongside its established space-resources and satellite sectors.
The constitutional guarantee followed France's in 2024. It marked a further consolidation of rights within the country's fundamental law, updated most recently in July 2023.
Mischo stepped down on 11 December 2025 amid controversy over his relationship with trade unions. He was initially replaced by Marc Spautz and Martine Hansen.
Henri stepped down as head of state on 3 October 2025 after 25 years on the throne, and Guillaume V was enthroned the same day in a ceremony in Luxembourg City.
The government announced recognition on 22 September 2025, alongside other states, at a United Nations General Assembly session on the Israeli-Palestinian conflict.
The law was passed on 19 December 2023 and took effect on 1 January 2024. It formed part of efforts to keep the economy competitive in attracting investment.
From 29 February 2020 all buses, trains and trams were provided at no charge, funded almost entirely from taxation. Ridership has grown consistently since, though operating costs had nearly doubled by 2025.
The national climate law commits the country to halving greenhouse gas emissions within a decade and reaching zero emissions by 2050, with 49% of cars electric by 2030. Luxembourg ranked second of 180 countries on the 2020 Environmental Performance Index and second again in 2024, though its Forest Landscape Integrity Index score was among the world's lowest.
The capital restored tram services as part of a wider transport modernisation that included a TGV link to Paris and a new Luxembourg Airport terminal in 2008. Light-rail lines to Esch-sur-Alzette are planned by 2030.
The reform extended civil marriage rights regardless of sex. It placed the Grand Duchy among the earlier European states to legislate marriage equality.
Leaked documents revealed the scale of tax arrangements developed under Jean-Claude Juncker's premiership, days after he became head of the European Commission. The affair damaged the country's reputation and intensified pressure on its fiscal regime.
Luxembourg took up a non-permanent seat on the UN Security Council for the 2013–14 term, having been elected to it for the first time in the country's history — a marker of diplomatic standing disproportionate to its size.
The plan aimed at global leadership in broadband with full 1 Gbit/s coverage by 2020. NGA coverage reached 75% by 2011 and the country ranked among world leaders in ICT development and data-centre performance.
Concern about banking secrecy laws and the country's reputation as a tax haven prompted the listing. Luxembourg ranked third on the Tax Justice Network's 2011 Financial Secrecy Index and second safest tax haven in 2013.
Euro notes and coins entered circulation in January 2002, three years after Luxembourg adopted the currency for accounting purposes as a founding eurozone member, ending the franc's use after more than a century.
The Grand Duchy adopted the single currency at its launch, consistent with its role in monetary integration through Pierre Werner. Currency union reinforced its position as a financial centre.
The listing recognised the exceptional preservation of the city's vast fortifications and historic quarters. It anchored the capital's international cultural standing.
The ECSC and EEC frameworks in which Luxembourg had been a founding participant were folded into the EU. The country's disproportionate influence in European institutions continued through its leading politicians.
The 1988 law created a special fiscal regime for film investment. Film production and co-production have grown steadily since, and Luxembourg won an Oscar for the animated short Mr Hublot in 2014.
France, West Germany and the Benelux countries signed the agreement on a boat on the Moselle river near the village of Schengen, laying the basis for the passport-free travel area that later expanded across most of Europe.
The 1984 law designated Luxembourgish as the sole national language while obliging administrations to reply, so far as possible, in Luxembourgish, German or French according to the language of the enquiry. Trilingualism remains central to national identity, with French known by 98% of citizens in 2018.
Steel exploiting the Red Lands' iron-ore deposits had driven industrialisation from the early 20th century, but the sector declined in the 1970s. The country reinvented itself as a global banking hub and, from the 21st century, pursued a knowledge economy with the University of Luxembourg and a national space programme.
In 1957 Luxembourg became one of the six founding countries of the EEC, the forerunner of the European Union, under the Treaty of Rome.
The Grand Duchy was one of the six founding states of the European Communities, followed by the EEC and Euratom in 1958. Luxembourgish figures including Robert Schuman, Pierre Werner, Gaston Thorn, Jacques Santer and Jean-Claude Juncker shaped the European project.
The High Authority, the executive body of the newly formed community and forerunner of the European Commission, began work in the city under President Jean Monnet, starting Luxembourg's role as a seat of European institutions.
In April 1949 Luxembourg became a founding member of NATO alongside 11 other states, membership having been made possible by the 1948 constitutional amendment that ended its century-old neutrality. Accession aligned the Grand Duchy firmly with the Western Bloc for the duration of the Cold War; it later sent a small contingent to the Korean War and deployed troops to Afghanistan with ISAF.
The neutral status enshrined since the 19th century was removed from the constitution. This cleared the way for the country to enter Western collective defence arrangements.
Luxembourg joined the new world body at its creation. Membership marked the definitive abandonment of isolation in favour of multilateral engagement.
Luxembourg closed the Schuster Line on 9 May 1940 and the Wehrmacht invaded the next day despite the country's declared neutrality, with Germany treating it as German territory and informally annexing it into Gau Moselland rather than administering it as an occupied neutral. The government in exile in London backed the Allies, volunteers took part in the Normandy invasion and resistance groups formed at home; the occupation, marked by forced conscription and resistance, ended with Allied liberation in September 1944.
Founded in 963, Luxembourg became a grand duchy in 1815 and an independent state under the Netherlands. It lost more than half of its territory to Belgium in 1839 but gained a larger measure of autonomy. Full independence was attained in 1867. Overrun by Germany in both world wars, it ended its neutrality in 1948 when it entered into the Benelux Customs Union and when it joined NATO the following year. In 1957, Luxembourg became one of the six founding countries of the European Economic Community (later the European Union), and in 1999 it joined the euro currency area. In January 2013, Luxembourg assumed a nonpermanent seat on the UN Security Council for the 2013-14 term.
1839 (from the Netherlands)
National Day (birthday of Grand Duchess Charlotte) 23 June; note - the actual date of birth was 23 January 1896, but the festivities were shifted by five months to allow observance during a more favorable time of year
Western Europe, between France and Germany
49 45 N, 6 10 E
Europe
slightly smaller than Rhode Island
0 km (landlocked)
none (landlocked)
mostly gently rolling uplands with broad, shallow valleys; uplands to slightly mountainous in the north; steep slope down to Moselle flood plain in the southeast
iron ore (no longer exploited), arable land
NA
NA
landlocked; the only Grand Duchy in the world
3.1 cu km (2011)
air and water pollution in urban areas, soil pollution of farmland
modified continental with mild winters, cool summers
Capability-group ratings for Critical Technology are part of the GINC National Capability Framework rather than the country factbook. They are published in the National Capability index, and the per-capability detail lives on the capability pages.
Clinical research and life-science invention, drawn from the same series that drive the metric pages. Each card opens the full cross-country comparison.
2 (2013)
1 (2013)
761,300 (2012)
424,500 (2009)
.lu
2.07 billion kWh (2011 est.)
6.445 billion kWh (2010 est.)
2.623 billion kWh (2012 est.)
6.684 billion kWh (2012 est.)
1.723 million kW (2010 est.)
28.3% of total installed capacity (2010 est.)
0% of total installed capacity (2010 est.)
2% of total installed capacity (2010 est.)
5.9% of total installed capacity (2010 est.)
0 bbl/day (2012 est.)
0 bbl/day (2010 est.)
0 bbl/day (2010 est.)
0 bbl (1 January 2013 est.)
0 bbl/day (2010 est.)
61,380 bbl/day (2011 est.)
52 bbl/day (2010 est.)
56,780 bbl/day (2010 est.)
0 cu m (2011 est.)
1.364 billion cu m (2010 est.)
0 cu m (2011 est.)
1.206 billion cu m (2012 est.)
0 cu m (1 January 2013 est.)
11.87 million Mt (2011 est.)
266,700 (2012)
250,900 (2012)
gas 142 km; refined products 27 km (2013)
37 km (on Moselle River) (2010)
0.6% of GDP (2012)//0.61% of GDP (2011)//0.6% of GDP (2010)
18-24 years of age for male and female voluntary military service; no conscription; Luxembourg citizen or EU citizen with 3-year residence in Luxembourg (2012)
Active-duty strength on the Correlates of War series, which reaches back to 1816 and so carries a nation’s whole record of mobilisation rather than its present establishment. The card opens the full cross-country comparison.
Luxembourg Army (L'Armee Luxembourgeoises) (2013)
520,672 (July 2014 est.)
1.12% (2014 est.)
11.75 births/1,000 population (2014 est.)
8.53 deaths/1,000 population (2014 est.)
1.77 children born/woman (2014 est.)
30.2
7.97 migrant(s)/1,000 population (2014 est.)
LUXEMBOURG (capital) 94,000 (2011)
5.4 beds/1,000 population (2010)
26% (2008)
NA%
20 deaths/100,000 live births (2010)
7.7% of GDP (2011)
2.78 physicians/1,000 population (2011)
0.3% (2009 est.)
fewer than 1,000 (2009 est.)
fewer than 100 (2009 est.)
3.7% of GDP (2001)
none
constitutional monarchy
3 districts; Diekirch, Grevenmacher, Luxembourg
previous 1842 (heavily amended 1848, 1856); latest effective 17 October 1968; amended many times, last in 2008 (2008)
18 years of age; universal and compulsory
civil law system
accepts compulsory ICJ jurisdiction; accepts ICCt jurisdiction
unicameral Chamber of Deputies or Chambre des Deputes (60 seats; members elected by popular vote to serve five-year terms)
Alternative Democratic Reform Party or ADR [Jean SCHOOS]//Christian Social People's Party or CSV [Michel WOLTER]//The Left (dei Lenk/la Gauche) [Serge URBANY]//Democratic Party or DP [Xavier BETTEL]//Green Party [Sam TANSON and Christian KMIOTEK]//Luxembourg Socialist Workers' Party or LSAP [Alex BODRY]//other minor parties
ABBL (bankers' association) [Ernst Wilhelm CONTZEN]//ALEBA (financial sector trade union) [Marc GLESENER]//Centrale Paysanne (federation of agricultural producers) [Marc FISCH]//CEP (professional sector chamber) [Stephane LIA]//CGFP (trade union representing civil service) [Joseph DALEIDEN]//Chamber of Commerce (Chambre de Commerce) [Carlo THELEN]//Chamber of Artisans (Chambre des Metiers) [Roland KUHN]//FEDIL (federation of industrialists) [Nicolas SOISSON]//Greenpeace (environment protection) [Kumi NAIDOO]//LCGP (center-right trade union) [Patrick DURY]//Mouvement Ecologique (environment protection) [Blanche WEBER]//OGBL (center-left trade union) [Jean-Claude REDING]
three equal horizontal bands of red (top), white, and light blue; similar to the flag of the Netherlands, which uses a darker blue and is shorter; the coloring is derived from the Grand Duke's coat of arms (a red lion on a white and blue striped field)
Luxembourgish (official administrative language and national language (spoken vernacular)), French (official administrative language), German (official administrative language)
Roman Catholic 87%, other (includes Protestant, Jewish, and Muslim) 13% (2000)
Luxembourger 63.1%, Portuguese 13.3%, French 4.5%, Italian 4.3%, German 2.3%, other EU 7.3%, other 5.2% (2000 census)
lion
Luxembourg has a long tradition of operating radio and TV services to pan-European audiences and is home to Europe's largest privately owned broadcast media group, the RTL group, which operates 46 TV stations and 29 radio stations in Europe; also home to Europe's largest satellite operator, Societe Europeenne des Satellites (SES); domestically, the RTL group operates TV and radio networks; other domestic private radio and TV operators and French and German stations available; satellite and cable TV services available (2008)
ADB (nonregional member), Australia Group, Benelux, BIS, CD, CE, EAPC, EBRD, ECB, EIB, EMU, ESA, EU, FAO, FATF, IAEA, IBRD, ICAO, ICC (national committees), ICRM, IDA, IEA, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC (NGOs), MIGA, NATO, NEA, NSG, OAS (observer), OECD, OIF, OPCW, OSCE, PCA, Schengen Convention, UN, UN Security Council (temporary), UNCTAD, UNESCO, UNHCR, UNIDO, UNIFIL, UNRWA, UPU, WCO, WHO, WIPO, WMO, WTO, ZC
39.5% of GDP (2013 est.)
-1.7% of GDP (2013 est.)
22.9% of GDP (2013 est.)//20.8% of GDP (2012 est.)
1.8% (2013 est.)//2.9% (2012 est.)
$991 million (31 December 2012 est.)//$1.014 billion (31 December 2011 est.)
$2.935 trillion (31 December 2012 est.)//$2.084 trillion (31 December 2011)
euros (EUR) per US dollar -//0.7634 (2013 est.)//0.7752 (2012 est.)//0.755 (2010 est.)//0.7198 (2009 est.)//0.6827 (2008 est.)
$60.54 billion (2013 est.)
banking and financial services, iron and steel, information technology, telecommunications, cargo transportation, food processing, chemicals, metal products, engineering, tires, glass, aluminum, tourism, biotechnology, logistics
-1% (2013 est.)
208,800
4.9% (2013 est.)//6.1% (2012 est.)
This small, stable, high-income economy - benefiting from its proximity to France, Belgium, and Germany - has historically featured solid growth, low inflation, and low unemployment. The industrial sector, initially dominated by steel, has become increasingly diversified to include chemicals, rubber, automobile components, and other products. Growth in the financial sector, which now accounts for about 36% of GDP, has more than compensated for the decline in steel. Most banks are foreign-owned and have extensive foreign dealings, but Luxembourg has lost some of its advantages as a favorable tax location because of OECD and EU pressure. The economy depends on foreign and cross-border workers for about 40% of its labor force. Luxembourg, like all EU members, suffered from the global economic crisis that began in late 2008, but unemployment has trended below the EU average. Following strong expansion from 2004 to 2007, Luxembourg's economy contracted 3.6% in 2009, but rebounded in 2010-11 before slowing again in 2012. The country continues to enjoy an extraordinarily high standard of living - GDP per capita ranks among the highest in the world, and is the highest in the euro zone. Turmoil in the world financial markets and lower global demand during 2008-09 prompted the government to inject capital into the banking sector and implement stimulus measures to boost the economy. Government stimulus measures and support for the banking sector, however, led to a 5% government budget deficit in 2009. Nevertheless, the deficit was cut to 1.1% in 2011 and 0.9% in 2012. Even during the financial crisis and recovery, Luxembourg retained the highest current account surplus as a share of GDP in the euro zone, owing largely to their strength in financial services. Public debt remains among the lowest of the region although it has more than doubled since 2007 as percentage of GDP. Luxembourg's economy, while stabile, grew slowly in 2012 due to ongoing weak growth in the euro area. Authorities have strengthened supervision of domestic banks because of their exposure to the activities of foreign banks.
$42.67 billion (2013 est.)//$42.44 billion (2012 est.)//$42.3 billion (2011 est.)
0.5% (2013 est.)//0.3% (2012 est.)//1.7% (2011 est.)
$77,900 (2013 est.)//$79,000 (2012 est.)//$81,400 (2011 est.)
grapes, barley, oats, potatoes, wheat, fruits; dairy and livestock products
26 (2005)
calendar year
0.75% (31 December 2013)//1.5% (31 December 2010)
$84.91 billion (31 December 2013 est.)//$89.87 billion (31 December 2012 est.)
$235.8 billion (31 December 2013 est.)//$238.2 billion
$97.73 billion (31 December 2013 est.)//$97.39 billion (31 December 2012 est.)
$70.34 billion (31 December 2012 est.)//$67.63 billion (31 December 2011)//$101.1 billion (31 December 2010 est.)
$NA//$11.21 billion (31 December 2008 est.)
$NA
$2.7 billion (2013 est.)//$3.428 billion (2012 est.)
$15.8 billion (2013 est.)//$15.93 billion (2012 est.)
Germany 21.5%, France 15.5%, Belgium 14.5%, UK 5.8%, Italy 5.6%, Switzerland 4.7% (2012)
machinery and equipment, steel products, chemicals, rubber products, glass
$23.12 billion (2013 est.)//$23.78 billion (2012 est.)
Belgium 30.6%, Germany 23.6%, France 10.4%, US 8.3%, China 7.2%, Netherlands 5.1% (2012)
minerals, metals, foodstuffs, quality consumer goods