This 2019 Article IV Consultation discusses that Luxembourg's growth prospects remain favorable, but downside risks arise from a weaker-than-expected global growth, a disorderly Brexit, changes in international tax rules, and a sharp tightening of global financial conditions. Domestically,...

This Selected Issues paper studies the fiscal and macroeconomic impact of different reform options. It analyzes the impact of an increase in the contribution rate, a reduction of benefits, and an increase in the retirement age. Although all reform options can lead to the fiscal sustainability of...

This 2017 Article IV Consultation highlights Luxembourg's strong growth supported by the competitive advantages of fiscal stability, a qualified workforce, and business-friendly regulations and oversight. Economic growth reached 4.2 percent in 2016, well above the EU, and was driven by net...

This Selected Issues paper studies diversification in Luxembourg's economy and the role of the government. The economy of Luxembourg appears to be more concentrated than that of comparable countries. Sectoral output is more concentrated than in other countries; this relative lack of...

This paper evaluates the stability of the financial system of Luxembourg. Financial soundness indicators for Luxembourg's financial system, which plays a key role in the intermediation of financial capital, have remained relatively robust in recent years. Following rising asset prices and...

This report assesses the risk management practices of Clearstream Banking Luxembourg (CBL) based on the Committee on Payment and Settlement Systems-International Organization of Securities Commissions (CPSS-IOSCO) Principles for Financial Market Infrastructures. The findings reveal that a range...

This Technical Note discusses the findings and recommendations made in the 2017 Financial Sector Assessment Program (FSAP) Update for Luxembourg in the area of anti-money laundering and combating the financing of terrorism (AML/CFT). Since the last FSAP update, important steps have been taken to...

This Technical Note discusses the findings and recommendations made in the 2017 Financial Sector Assessment Program for Luxembourg in areas of regulation, supervision, and systemic risk monitoring of fund management. Certain structural elements of the Luxembourg fund management industry,...