Economic
Medium-term projections show weak growth and sectoral headwinds for Luxembourg
Luxembourg faces weak near-term GDP growth and labor market pressures, with headwinds in key services and financial sectors.
Latest projections indicate GDP growth of only 1.0% in 2025 and 1.7% in 2026, with a slow recovery toward about 2% by 2029. The labor market is expected to recover slowly, with modest employment growth and unemployment remaining elevated around 5.2% by 2029. Sectoral momentum is being driven by market services, while the financial sector shows only moderate growth. ICT and parts of trade, transport, and hospitality lost momentum in 2025, and ICT employment fell—the first such decline since 2003—highlighting technology: sector weakness and signaling a risk of prolonged slow growth and structural imbalances.
- Status
- active
- Location
- Luxembourg
- Date added
- 2026-04-02 06:18 UTC
- Added by
- nikieuropeapdrmis
- Last updated
- 2026-04-02 06:18 UTC
- Source
- https://www.luxtimes.lu/en
- Connected threats
-
- Not Available