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Luxembourg Country Information

Travel Advice with Country Information from the CIA.

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Luxembourg Map

Introduction

Background

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. In 1867, Luxembourg attained full independence under the condition that it promise perpetual neutrality. 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 EEC (later the EU), and in 1999 it joined the euro currency zone.

Geography

Location

Western Europe, between France and Germany

Geographic coordinates

49 45 N, 6 10 E

Map references

Europe

Area

total: 2,586 sq km

land: 2,586 sq km

water: 0 sq km

country comparison to the world: 178

Area - comparative

slightly smaller than Rhode Island; about half the size of Delaware

 

Land boundaries

total: 327 km

border countries (3): Belgium 130 km, France 69 km, Germany 128 km

Coastline

0 km (landlocked)

Maritime claims

none (landlocked)

Climate

modified continental with mild winters, cool summers

Terrain

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

Elevation

highest point: Buurgplaatz 559 m

lowest point: Moselle River 133 m

mean elevation: 325 m

Natural resources

iron ore (no longer exploited), arable land

Land use

agricultural land: 50.7% (2018 est.)

arable land: 24% (2018 est.)

permanent crops: 0.6% (2018 est.)

permanent pasture: 26.1% (2018 est.)

forest: 33.5% (2018 est.)

other: 15.8% (2018 est.)

Irrigated land

0 sq km (2012)

Major watersheds (area sq km)

Atlantic Ocean drainage: Rhine-Maas (198,735 sq km)

Population distribution

most people live in the south, on or near the border with France

Natural hazards

occasional flooding

Geography - note

landlocked; the only grand duchy in the world

People and Society

Population

639,589 (July 2021 est.)

country comparison to the world: 168

Nationality

noun: Luxembourger(s)

adjective: Luxembourg

Ethnic groups

Luxembourger 51.1%, Portuguese 15.7%, French 7.5%, Italian 3.6%, Belgian 3.3%, German 2.1%, Spanish 1.1%, British 1%, other 14.6% (2019 est.)

note: data represent population by nationality

Languages

Luxembourgish (official administrative and judicial language and national language (spoken vernacular)) 55.8%, Portuguese 15.7%, French (official administrative, judicial, and legislative language) 12.1%, German (official administrative and judicial language) 3.1%, Italian 2.9%, English 2.1%, other 8.4% (2011 est.)

Religions

Christian (predominantly Roman Catholic) 70.6%, Muslim 2.3%, other (includes Buddhist, folk religions, Hindu, Jewish) 0.4%, unaffiliated 26.7%% (2020 est.)

Government

Country name

conventional long form: Grand Duchy of Luxembourg

conventional short form: Luxembourg

local long form: Grand Duche de Luxembourg

local short form: Luxembourg

etymology: the name derives from the Celtic "lucilem" (little) and the German "burg" (castle or fortress) to produce the meaning of the "little castle"; the name is actually ironic, since for centuries the Fortress of Luxembourg was one of Europe's most formidable fortifications; the name passed to the surrounding city and then to the country itself

Government type

constitutional monarchy

Capital

name: Luxembourg

geographic coordinates: 49 36 N, 6 07 E

time difference: UTC+1 (6 hours ahead of Washington, DC, during Standard Time)

daylight saving time: +1hr, begins last Sunday in March; ends last Sunday in October

etymology: the name derives from the Celtic "lucilem" (little) and the German "burg" (castle or fortress) to produce the meaning of the "little castle"; the name is actually ironic, since for centuries the Fortress of Luxembourg was one of Europe's most formidable fortifications; the name passed to the city that grew around the fortress

Administrative divisions

12 cantons (cantons, singular - canton); Capellen, Clervaux, Diekirch, Echternach, Esch-sur-Alzette, Grevenmacher, Luxembourg, Mersch, Redange, Remich, Vianden, Wiltz

Independence

1839 (from the Netherlands)

National holiday

National Day (birthday of Grand Duke HENRI), 23 June; note - this date of birth is not the true date of birth for any of the Royals, but the national festivities were shifted in 1962 to allow observance during a more favorable time of year

Constitution

history: previous 1842 (heavily amended 1848, 1856); latest effective 17 October 1868

amendments: proposed by the Chamber of Deputies or by the monarch to the Chamber; passage requires at least two-thirds majority vote by the Chamber in two successive readings three months apart; a referendum can be substituted for the second reading if approved by more than a quarter of the Chamber members or by 25,000 valid voters; adoption by referendum requires a majority of all valid voters; amended many times, last in 2020

Legal system

civil law system

International law organization participation

accepts compulsory ICJ jurisdiction; accepts ICCt jurisdiction

Citizenship

citizenship by birth: limited to situations where the parents are either unknown, stateless, or when the nationality law of the parents' state of origin does not permit acquisition of citizenship by descent when the birth occurs outside of national territory

citizenship by descent only: at least one parent must be a citizen of Luxembourg

dual citizenship recognized: yes

residency requirement for naturalization: 7 years

Suffrage

18 years of age; universal and compulsory

Executive branch

chief of state: Grand Duke HENRI (since 7 October 2000); Heir Apparent Prince GUILLAUME (son of the monarch, born 11 November 1981)

head of government: Prime Minister Xavier BETTEL (since 4 December 2013); Deputy Prime Minister Francois BAUSCH (since 11 October 2019); Deputy Prime Minister Daniel KERSCH (since 4 February 2020)

cabinet: Council of Ministers recommended by the prime minister, appointed by the monarch

elections/appointments: the monarchy is hereditary; following elections to the Chamber of Deputies, the leader of the majority party or majority coalition usually appointed prime minister by the monarch; deputy prime minister appointed by the monarch; prime minister and deputy prime minister are responsible to the Chamber of Deputies

Legislative branch

description: unicameral Chamber of Deputies or Chambre des Deputes (60 seats; members directly elected in multi-seat constituencies by party-list proportional representation vote; members serve 5-year terms); note - a 21-member Council of State appointed by the Grand Duke on the advice of the prime minister serves as an advisory body to the Chamber of Deputies

elections: last held on 14 October 2018 (next to be held by 31 October 2023)

election results: percent of vote by party - CSV 28.3%, LSAP 17.6%, DP 16.9%, Green Party 15.1%, ADR 8.3%, Pirate Party 6.4%, The Left 5.5%, other 1.9%; seats by party - CSV 21, DP 12, LSAP 10, Green Party 9, ADR 4, Pirate Party 2, The Left 2; composition (as of September 2021) - men 39, women 21, percent of women 35%

Judicial branch

highest courts: Supreme Court of Justice includes Court of Appeal and Court of Cassation (consists of 27 judges on 9 benches); Constitutional Court (consists of 9 members)

judge selection and term of office: judges of both courts appointed by the monarch for life

subordinate courts: Court of Accounts; district and local tribunals and courts

Political parties and leaders

Alternative Democratic Reform Party or ADR [Jean SCHOOS]
Christian Social People's Party or CSV [Felix EISCHEN]
Democratic Party or DP [Corinne CAHEN]
Green Party [Djuna BERNARD, Meris SEHOVIC]
Luxembourg Socialist Workers' Party or LSAP [Yves CRUCHTEN]
The Left (dei Lenk/la Gauche) [collective leadership, Central Committee]
other minor parties

International organization participation

ADB (nonregional member), Australia Group, Benelux, BIS, CD, CE, EAPC, EBRD, ECB, EIB, EMU, ESA, EU, FAO, FATF, IAEA, IBRD, ICAO, ICC (national committees), ICCt, 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, UNCTAD, UNESCO, UNHCR, UNIDO, UNRWA, UPU, Wassenaar Arrangement, WCO, WHO, WIPO, WMO, WTO, ZC

Diplomatic representation in the US

chief of mission: Ambassador Nicole BINTNER-BAKSHIAN (since 19 August 2021)

chancery: 2200 Massachusetts Avenue NW, Washington, DC 20008

telephone: [1] (202) 265-4171

FAX: [1] (202) 328-8270

email address and website: 
washington.amb@mae.etat.lu

https://washington.mae.lu/en.html

consulate(s) general: New York, San Francisco

Diplomatic representation from the US

chief of mission: Ambassador (vacant); Charge d'Affaires Casey MACE (since 20 January 2021)

embassy: 22 Boulevard Emmanuel Servais, L-2535 Luxembourg City

mailing address: 5380 Luxembourg Place, Washington DC  20521-5380

telephone: [352] 46-01-23-00

FAX: [352] 46-14-01

email address and website: 
Luxembourgconsular@state.gov

https://lu.usembassy.gov/

Flag description

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)

National symbol(s)

red, rampant lion; national colors: red, white, light blue

National anthem

name: "Ons Heemecht" (Our Motherland); "De Wilhelmus" (The William)

lyrics/music: Michel LENTZ/Jean-Antoine ZINNEN; Nikolaus WELTER/unknown

note: "Ons Heemecht," adopted 1864, is the national anthem, while "De Wilhelmus," adopted 1919, serves as a royal anthem for use when members of the grand ducal family enter or exit a ceremony in Luxembourg

Economy

Economic overview

This small, stable, high-income economy has historically featured solid growth, low inflation, and low unemployment. Luxembourg, the only Grand Duchy in the world, is a landlocked country in northwestern Europe surrounded by Belgium, France, and Germany. Despite its small landmass and small population, Luxembourg is the fifth-wealthiest country in the world when measured on a gross domestic product (PPP) per capita basis. Luxembourg has one of the highest current account surpluses as a share of GDP in the euro zone, and it maintains a healthy budgetary position, with a 2017 surplus of 0.5% of GDP, and the lowest public debt level in the region.

Since 2002, Luxembourg’s government has proactively implemented policies and programs to support economic diversification and to attract foreign direct investment. The government focused on key innovative industries that showed promise for supporting economic growth: logistics, information and communications technology (ICT); health technologies, including biotechnology and biomedical research; clean energy technologies, and more recently, space technology and financial services technologies. The economy has evolved and flourished, posting strong GDP growth of 3.4% in 2017, far outpacing the European average of 1.8%.

Luxembourg remains a financial powerhouse – the financial sector accounts for more than 35% of GDP - because of the exponential growth of the investment fund sector through the launch and development of cross-border funds (UCITS) in the 1990s. Luxembourg is the world’s second-largest investment fund asset domicile, after the US, with $4 trillion of assets in custody in financial institutions.

Luxembourg has lost some of its advantage as a favorable tax location because of OECD and EU pressure, as well as the "LuxLeaks" scandal, which revealed advantageous tax treatments offered to foreign corporations. In 2015, the government’s compliance with EU requirements to implement automatic exchange of tax information on savings accounts - thus ending banking secrecy - has constricted banking activity. Likewise, changes to the way EU members collect taxes from e-commerce has cut Luxembourg’s sales tax revenues, requiring the government to raise additional levies and to reduce some direct social benefits as part of the tax reform package of 2017. The tax reform package also included reductions in the corporate tax rate and increases in deductions for families, both intended to increase purchasing power and increase competitiveness.

Communications

Telephones - fixed lines

total subscriptions: 268,090 (2020)

subscriptions per 100 inhabitants: 42.83 (2020 est.)

country comparison to the world: 112

Telephones - mobile cellular

total subscriptions: 890,000 (2020)

subscriptions per 100 inhabitants: 142.2 (2020 est.)

country comparison to the world: 163

Telecommunication systems

general assessment: small but highly developed telecom system dominated by state-owned operator; gains in fixed-line and drop in mobile/roving sector during 2020 travel restrictions; government-state operator extended 1GB/s service with aims to make Luxembourg the first fully fiber country in Europe; regulator completed auction for 5G spectrum; importer of broadcast equipment from China (2020)

domestic: fixed-line teledensity about 43 per 100 persons; nationwide mobile-cellular telephone system with market for mobile-cellular phones virtually saturated with 136 per 100 mobile-cellular (2019)

international: country code - 352

note: the COVID-19 pandemic continues to have a significant impact on production and supply chains globally; since 2020, some aspects of the telecom sector have experienced downturn, particularly in mobile device production; many network operators delayed upgrades to infrastructure; progress towards 5G implementation was postponed or slowed in some countries; consumer spending on telecom services and devices was affected by large-scale job losses and the consequent restriction on disposable incomes; the crucial nature of telecom services as a tool for work and school from home became evident, and received some support from governments

Broadcast media

Luxembourg has a long tradition of operating radio and TV services for 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

Internet country code

.lu

Internet users

total: 612,100 (2021 est.)

percent of population: 98.82% (2020 est.)

country comparison to the world: 155

Broadband - fixed subscriptions

total: 235,155 (2020)

subscriptions per 100 inhabitants: 37.57 (2020 est.)

country comparison to the world: 112

Transportation

National air transport system

number of registered air carriers: 4 (2020)

inventory of registered aircraft operated by air carriers: 66

annual passenger traffic on registered air carriers: 2,099,102 (2018)

annual freight traffic on registered air carriers: 7,323,040,000 mt-km (2018)

Civil aircraft registration country code prefix

LX

Airports

total: 2 (2013)

country comparison to the world: 200

Airports - with paved runways

total: 1

over 3,047 m: 1 (2019)

Airports - with unpaved runways

total: 1

under 914 m: 1 (2013)

Heliports

1 (2013)

Pipelines

142 km gas, 27 km refined products (2013)

Railways

total: 275 km (2014)

standard gauge: 275 km 1.435-m gauge (275 km electrified) (2014)

country comparison to the world: 124

Roadways

total: 2,875 km (2019)

country comparison to the world: 165

Waterways

37 km (on Moselle River) (2010)

country comparison to the world: 104

Merchant marine

total: 153

by type: bulk carrier 4, container ship 1, general cargo 23, oil tanker 3, other 122 (2021)

country comparison to the world: 74

Ports and terminals

river port(s): Mertert (Moselle)

Military and Security

Military and security forces

Luxembourg Army (l'Armée Luxembourgeoise) (2021)

Military expenditures

0.57% of GDP (2020 est.)

0.54% of GDP (2019)

0.5% of GDP (2018)

0.51% of GDP (2017)

0.39% of GDP (2016)

country comparison to the world: 155

Military and security service personnel strengths

the Luxembourg Army has approximately 900 active personnel (2021)

Military equipment inventories and acquisitions

the inventory of Luxembourg's Army is a mix of European and US equipment; since 2010, it has received small quantities of equipment from Germany, Norway, and Sweden (2021)

Military service age and obligation

18-26 years of age for male and female voluntary military service; no conscription (abolished 1969); Luxembourg citizen or EU citizen with 3-year residence in Luxembourg (2021)

Military - note

Luxembourg is a member of NATO and was one of the original 12 countries to sign the North Atlantic Treaty (also known as the Washington Treaty) in 1949

Transnational Issues

Disputes - international

none

Refugees and internally displaced persons

stateless persons: 194 (2020)

 

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