Economy - overview The stable, prosperous economy features moderate growth, low inflation,and low unemployment. Agriculture is based on small family-owned farms. Theindustrial sector, until recently dominated by steel, has become increasinglymore diversified. During the past decades, growth in the financial sectorhas more than compensated for the decline in steel. Services, especially banking,account for a growing proportion of the economy. Luxembourg participates inan economic union with Belgium on trade and most financial matters, is alsoclosely connected economically to the Netherlands, and, as a member of theEU, enjoys the advantages of the open European market.

GDP purchasing power parity - $10 billion (1995 est.)

GDP - real growth rate 3.7% (1995 est.)

GDP - per capita purchasing power parity - $24,500 (1995 est.)

GDP - composition by sector
agriculture: 5%
industry: 21%
services: 74% (1995)

Inflation rate - consumer price index 2.3% (1995)

Labor force
total: 213,100 (one-third of labor force is foreign workers, mostly from Portugal,Italy, France, Belgium, and Germany)
by occupation : trade, restaurants, hotels 20%, mining, quarrying, manufacturing 16%,other market services 18%, community, social, personal services 14%, construction11%, finance, insurance, real estate, business services 9%, transport, storage,communications 8%, agriculture, hunting, forestry, fishing 1%, electricity,gas, water 1% (1995 est.)

Unemployment rate 3% (1995)

Budget
revenues: $5.46 billion
expenditures: $5.44 billion, including capital expenditures of $NA (1997 est.)

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

Industrial production growth rate 3.3% (1995 est.)

Electricity - capacity 1.2 million kW (1994)

Electricity - production 1.2 billion kWh (1995)

Electricity - consumption per capita 13,443 kWh (1995 est.)

Agriculture - products barley, oats, potatoes, wheat, fruits, wine grapes; livestock products

Exports
total value: $7.3 million (f.o.b., 1995 est.)
commodities: finished steel products, chemicals, rubber products, glass, aluminum,other industrial products
partners : Germany 28%, France 18%, Belgium 15%, UK 7%, Netherlands 5%

Imports
total value: $9.1 million (c.i.f., 1995 est.)
commodities: minerals, metals, foodstuffs, quality consumer goods
partners: Belgium 38%, Germany 25%, France 11%, Netherlands 4%

Debt - external $NA

Economic aid
donor: ODA, $50 million (1993)

Currency 1 Luxembourg franc (LuxF) = 100 centimes

Exchange rates Luxembourg francs (LuxF) per US$1 - 30.067 (January 1997), 30.962 (1996),29.480 (1995), 33.456 (1994), 34.597 (1993), 32.150 (1992); note - the Luxembourgfranc 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 1997 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Luxembourg Economy 1997 information contained here. All suggestions for corrections of any errors about Luxembourg Economy 1997 should be addressed to the CIA.