About Luxembourg
Luxembourg, renowned for having one of the highest GDP per capita globally and a AAA credit rating, is an exceptional choice for investors and entrepreneurs looking for a vibrant business environment and an appealing alternative for private residency. As a founding member of the EU, Luxembourg boasts a high quality of life and advanced infrastructure, making it an attractive destination for those seeking opportunities in a dynamic economic landscape.
Luxembourg Overview
One of the smallest countries in the world, Luxembourg is located in Northwestern Europe and is known for its remarkable standard of living. It shares borders with Belgium to the west and north, Germany to the northeast and east, and France to the south, making it a prime location for international trade and connectivity, as well as a vibrant cultural melting pot.
In the 2021 World Happiness Report, Luxembourg ranked 8th out of 149 countries, with its score reflecting factors such as GDP, social support, levels of corruption, and personal freedoms.
The country’s expatriate community, which makes up nearly half of its population, is attracted to its open society, cosmopolitan vibe, and high quality of life. This diverse population contributes to Luxembourg’s rich cultural scene, which includes numerous international festivals, art exhibitions, and culinary experiences.
Families residing in Luxembourg benefit from a safe, family-friendly environment, high-quality healthcare, which provides all citizens with basic state-funded medical coverage, and a multilingual education system that is largely state-funded. Foreign students are warmly welcomed at Luxembourg University, one of Europe’s most international academic institutions, which hosts students from 120 different countries. The university is particularly noted for its strong emphasis on research and innovation, collaborating with various industries and institutions across Europe.
Additionally, Luxembourg is home to the world’s first free public transport system, allowing residents to travel at no cost by bus, train, and tram. This initiative not only promotes environmental sustainability but also encourages the use of public transport, reducing traffic congestion and improving air quality in urban areas.
A Storied Business Hub
The Grand Duchy of Luxembourg has a long-standing tradition of managing private wealth.
With its AAA credit rating, Luxembourg is well-suited for various business activities. The strong financial industry has evolved into a hub for private banking and has diversified into a center for investment funds, banks, and insurance and reinsurance companies. Luxembourg is also recognized for its favourable regulatory environment, which attracts numerous international corporations seeking to establish their European headquarters.
The economy is characterized by strong ties to the rest of Europe and robust connections with EU institutions. Additionally, Luxembourg is increasingly focusing on innovation and technology sectors, becoming a key player in fintech, cybersecurity, and digital services.
Social Security, Stability and Quality of Life
As the world’s only remaining sovereign grand duchy, Luxembourg operates under a constitutional monarchy and a representative democracy.
Being one of the founding members of the EU, Luxembourg houses the highest number of EU institutions and bodies.
Luxembourg City, the capital, serves as one of the four official capitals of the European Union, alongside Brussels, Frankfurt, and Strasbourg, and is home to the Court of Justice of the European Union, the EU’s highest judicial authority. This central role in European governance adds to Luxembourg’s international prestige and influence.
The country features a comprehensive and effective social security system that includes family benefits such as birth allowances, maternity and paternity leave, as well as adoption and parental leave, among many others. Luxembourg also invests significantly in education and vocational training, ensuring a skilled workforce ready to meet the demands of a rapidly changing global economy.
