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EXECUTIVE SUMMARY Luxembourg’s main challenge is to strengthen an economic model that has served it well. Growth was …, should fortify Luxembourg’s ‘AAA’ sovereign credit standing. Equally, Luxembourg also plans a series of actions to uphold its … union promises to be especially beneficial for Luxembourg, operationalizing a purposeful systemic risk committee, and being …
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This 2023 Article IV Consultation highlights that Luxembourg has shown resilience in the aftermath of the war in …
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KEY ISSUES Context. With a strong policy framework, Luxembourg has weathered the crisis well, and the economy is … from losses in e-VAT revenue and strong expenditure growth, and Luxembourg’s cost competitiveness is being eroded. A new …
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Real GDP surpassed its pre-pandemic trend in early 2021, and the labor market is tight. Inflation is increasing, mainly driven by energy prices, but core inflation is also edging up. The fiscal position strengthened and the financial sector has remained resilient. Rapidly growing housing prices...
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