Overview: The stable, prosperous economy features moderate growth, low inflation, and negligible unemployment. Agriculture is based on small but highly productive family-owned farms. The industrial sector, until recently dominated by steel, has become increasingly more diversified, particularly toward high-technology firms. During the past decade, growth in the financial sector has more than compensated for the decline in steel. Services, especially banking, account for a growing proportion of the economy. Luxembourg participates in an economic union with Belgium on trade and most financial matters, is also closely connected economically to the Netherlands, and as a member of the 12-member European Union enjoys the advantages of the open European market.

National product: GDP - purchasing power equivalent - $8.7 billion (1993)

National product real growth rate: 1% (1993)

National product per capita: $22,600 (1993)

Inflation rate (consumer prices): 3.6% (1992)

Unemployment rate: 5.1% (March 1994)

Budget:
revenues: $3.5 billion
expenditures: $3.5 billion, including capital expenditures of $NA (1992 est.)

Exports: $6.4 billion (f.o.b., 1991 est.)
commodities: finished steel products, chemicals, rubber products, glass, aluminum, other industrial products
partners: EC 76%, US 5%

Imports: $8.3 billion (c.i.f., 1991 est.)
commodities: minerals, metals, foodstuffs, quality consumer goods
partners: Belgium 37%, FRG 31%, France 12%, US 2%

External debt: $131.6 million (1989 est.)

Industrial production: growth rate -0.5% (1990); accounts for 25% of GDP

Electricity:
capacity: 1,238,750 kW
production: 1.375 billion kWh
consumption per capita: 3,450 kWh (1990)

Industries: banking, iron and steel, food processing, chemicals, metal products, engineering, tires, glass, aluminum

Agriculture: accounts for less than 3% of GDP (including forestry); principal products - barley, oats, potatoes, wheat, fruits, wine grapes; cattle raising widespread

Economic aid: none

Currency: 1 Luxembourg franc (LuxF) = 100 centimes
Exchange rates: Luxembourg francs (LuxF) per US$1 - 36.242 (January 1994), 34.597 (1993), 32.150 (1992), 34.148 (1991), 33.418 (1990), 39.404 (1989); note - the Luxembourg franc is at par with the Belgian franc, which circulates freely in Luxembourg

Fiscal year: calendar year

NOTE: The information regarding Luxembourg on this page is re-published from the 1995 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Luxembourg Economy 1995 information contained here. All suggestions for corrections of any errors about Luxembourg Economy 1995 should be addressed to the CIA.