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Economy of Luxembourg

Luxembourg is considered to be a developed nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developed nation, Luxembourg is able to provide its citizens with social services like public education, healthcare, and law enforcement. Citizens of developed nations enjoy a high standard of living and longer life expectancies than citizens of developing nations. Each year, Luxembourg exports around $15.8 billion and imports roughly $23.12 billion. 5.3% of population in the country are unemployed. The total number of unemployed people in Luxembourg is 31,287. In Luxembourg, 15.8% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Luxembourg is fairly high, but is not reason for complete concern with regard to investments. Potential financial backers should look at other economic markers, including GDP, urbanization rate, and strength of currency, before making any decisions regarding investments. Government expenditure on education is 2.6% of GDP. The Gini Index of the country is 30.8. Luxembourg is experiencing good equality. The majority of citizens in Luxembourg fall within a narrow range of income, although some cases may show significant differences. Luxembourg has a Human Development Index (HDI) of 0.881. Luxembourg has a very high HDI score. This indicates that nearly all citizens are able to attain a desirable life because of social and economic support; citizens with a low standard of living receive aid and support and have the opportunity to advance in society. The strength of legal rights index for Luxembourg is 3. Overall, it is considered to be rather inadequate - bancrupcy and collateral laws are able to protect the rights of borrowers and lenders to some degree; credit information may be sufficient, but hardly available, or, the oppoiste case, available but not sufficient.

Currency

The currency of Luxembourg is euro. There are several plural forms of the name 'euro'. These are euro, euros. The symbol used for this currency is €, and it is abbreviated as EUR. The euro is divided into Cent; there are 100 in one euro.

Credit rating

According to the S&P credit-rating agency, Luxembourg has a credit rating score of AAA, and the prospects of this rating are stable. According to the Fitch credit-rating agency, Luxembourg has a credit rating score of AAA, and the prospects of this rating are stable. According to the Moody's credit-rating agency, Luxembourg has a credit rating score of Aaa, and the prospects of this rating are watch negative.

Central bank

In Luxembourg, the institution that manages the state's currency, money supply, and interest rates is called Central Bank of Luxembourg. Locally, the central bank of Luxembourg is called Banque Centrale du Luxembourg. The average deposit interest rate offered by local banks in Luxembourg is 3%.

Public debt

Luxembourg has a government debt of 53.2% of the country's Gross Domestic Product (GDP), as assessed in 2012.

Tax information

The corporate tax in Luxembourg is set at 29.22%. Personal income tax ranges from 6% to 52.45%, depending on your specific situation and income level. VAT in Luxembourg is 17%.

Finances

The total Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) in Luxembourg is $53672 billion. The Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) per capita in Luxembourg was last recorded at $91 million. PPP in Luxembourg is considered to be below average when compared to other countries. Below average PPP indicates that citizens in this country find it difficult to purchase local goods. Local goods can include food, shelter, clothing, health care, personal care, essential furnishings, transportation and communication, laundry, and various types of insurance. Countries with below average PPP are dangerous locations for investments. The total Gross Domestic Product (GDP) in Luxembourg is 60,131 billion. Based on this statistic, Luxembourg is considered to have a medium economy. Countries with medium economies support an average number of industries and opportunities for investment. It should not be too difficult to find worthwhile investment opportunities in medium economies. The Gross Domestic Product (GDP) per capita in Luxembourg was last recorded at $102 million. The average citizen in Luxembourg has very low wealth. Countries with very low wealth per capita often have lower life expectancies and dramatically lower quality of living among citizens. It can be very difficult to find highly skilled workers in countries with very low wealth, as it is difficult for citizens to obtain the requisite education needed for specialized industries. However, labor can be found for very low rates when compared with countries with higher wealth per capita. GDP Annual Growth Rate in Luxembourg averaged 2.7% in 2014. According to this percentage, Luxembourg is currently experiencing modest growth. Countries that are experiencing modest growth offer safe opportunities for investment; their expanding economy indicates that businesses, jobs, and income will expand accordingly. To read more about financial information click on finances of Luxembourg.

Industry

Major industries in the country are banking and financial services, construction, real estate services, iron, metals, and steel, information technology, telecommunications, cargo transportation and logistics, chemicals, engineering, tires, glass, aluminum, tourism, biotechnology. The total labor force of Luxembourg is 284,790 people, wherein 5.3% of population in the country are unemployed. The total number of unemployed people in Luxembourg is 31,287. The Industrial Production growth rate of Luxembourg is 1.7%.To read more about industrial information within Luxembourg click on industry of Luxembourg.

Agriculture

There are 709 km2 of arable land in Luxembourg, and it comprises 27% of the country's total territory. There are 727 km2 of cultivated land in Luxembourg. The country's major agricultural crops and products are grapes, barley, oats, potatoes, wheat, fruits, dairy and livestock products.To read more about agriculture click on agriculture of Luxembourg.