Luxembourg
Luxembourg is a small, landlocked country in Western Europe, bordered by Belgium, Germany, and France. Known for its rich history and cultural diversity, Luxembourg is a constitutional monarchy with a parliamentary democracy. Its capital, also named Luxembourg City, is recognized for its fortified medieval old town, which is a UNESCO World Heritage site.
The country has a strong economy, primarily driven by finance, technology, and services, making it one of the wealthiest nations in the world by GDP per capita. Luxembourg is also notable for its multilingual population, with Luxembourgish, French, and German being the three official languages.
As a founding member of the European Union and NATO, Luxembourg plays an influential role in European and international affairs. The country emphasizes social welfare and has a high standard of living, characterized by a commitment to sustainability and environmental protection. Given its unique blend of cultures, historical significance, and economic prowess, Luxembourg offers intriguing insights into European history and contemporary issues.
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Subject Terms
Luxembourg
Full name of country: Grand Duchy of Luxembourg
Region: Europe
Official language: Luxembourgish, German, French
Population: 671,254 (2024 est.)
Nationality: Luxembourger(s) (noun), Luxembourg (adjective)
Land area: 2,586 sq km (998 sq miles)
Capital: Luxembourg
National anthem: "Ons Heemecht" (Our Motherland); "De Wilhelmus" (The William), by Michel Lentz/Jean-Antoine Zinnen; Nikolaus Welter/Unknown
National holiday: National Day (birthday of Grand Duchess Charlotte) June 23; note—the actual date of birth was January 23, 1896, but the festivities were shifted by five months to allow observance during a more favorable time of year
Population growth: 1.52% (2024 est.)
Time zone: UTC +1
Flag: The flag of Luxembourg features a tricolor design composed of three equal horizontal bands of red (top), white (middle), and light blue (bottom). The colors are derived from the Luxembourg coat of arms.
Motto: “Mir wëlle bleiwe wat mir sin” (We want to remain what we are)
Independence: 1839 (from the Netherlands)
Government type: constitutional monarchy
Suffrage: 18 years of age; universal and compulsory
Legal system: civil law system
First established as a political state in 963, the Grand Duchy of Luxembourg is a tiny nation nestled between Germany and Belgium, with France to the south. Since the break between Belgium and the Netherlands ended with the two nations splitting Luxembourg in 1830, it is only 82 kilometers (51 miles) long and 58 kilometers (36 miles) wide, slightly larger than metropolitan London.
In spite of its size, Luxembourg has a cosmopolitan mix of European residents and a standard of living to be envied by most nations of the world. In 1951, Luxembourg was one of the six founding states of the European Coal and Steel Community (ECSC), an organization that eventually grew to become the European Union. Today, Luxembourg continues to play an important role in the dynamic political and economic decisions of the EU.


Note: unless otherwise indicated, statistical data in this article is sourced from the CIA World Factbook, as cited in the bibliography.
People and Culture
Population: Befitting the country's central location in Western Europe, Luxembourgers are a thorough mix of European ethnicities. The region has a strong Celtic base that has become mixed with French and German influences. Significant populations of French, Portuguese, Italian, Belgian, German, Spanish, and British have made their home in the duchy. Other Europeans live in Luxembourg as guests or resident workers.
Luxembourg's population is largely Roman Catholic (over 70.6 percent according to 2020 estimates). The remainder of religiously active Luxembourgers are generally Muslim (2.3 percent) or Buddhist, Hindu, or Jewish (0.4 percent collectively).
The quality of life enjoyed by Luxembourgers is among the highest in Europe. Average life expectancy is 80.9 years for men and 85.9 years for women (2024 estimates). The birth rate is 11.6 births per 1,000 people, but the death rate is an equally modest 7.1 deaths per 1,000. Infant mortality averages 3.2 deaths per 1,000 (2024 estimates).
German and French are administrative languages and are also commonly spoken in addition to Luxembourgish, which is also an official language. Portuguese is spoken by about 15.4 percent of the population (2021 estimate).
Indigenous People: The area that is now Luxembourg was once inhabited by Magdalenian, Neolithic, and finally, Celtic tribes. During the first century, the area was swallowed up by the expanding Roman Empire, but not until local Treviri Celts had fought a number of successful battles of resistance. The hostility of the Celtic and later Frankish inhabitants prevented Rome from ever holding the region securely.
During the eighth century, the Frankish king Charlemagne settled the region with Saxons, who mixed with the Celtic and Frankish populations. Over the subsequent centuries, Luxembourg developed some of Europe's oldest and most influential aristocratic lines. From its location among French and German powerhouses, the House of Luxembourg became a European power base, producing four emperors of the Holy Roman Empire and intermarrying with aristocracy across Europe.
The lack of natural boundaries around Luxembourg encouraged a general mixture of ethnicities and cultures in the state, even among the peasant classes. This tendency toward cultural blending continues in modern Luxembourg.
Education: Education in Luxembourg is compulsory for twelve years beginning at age four; one year of pre-primary education is optional. The next eight years of mandatory schooling include primary school and are considered fundamental education. Secondary education lasts a total of seven years and is divided into two types: classic, which focuses on preparation for higher education, and general, which is meant to prepare students for professional life.
University level and postgraduate study is available at the University of Luxembourg. Luxembourg City is also home to the Conservatoire de la Ville de Luxembourg for musical education and Sacred Heart University for postgraduate studies in business.
Health Care: Luxembourg's health care system, which is overseen by the National Health Fund (CNS), begins with compulsory health insurance.
The statutory insurance plan pays for "essential" medical care, and is subsidized by taxes collected by the government. Some Luxembourgers buy an additional private health insurance policy to pay for medical services not covered under the public insurance plan. A small percentage of Luxembourg's residents are exempted from the public insurance plan. Most of these residents are civil servants or citizens of other European countries who receive health care under different plans.
A number of medical facilities are run by nongovernment, nonprofit organizations like churches. Luxembourg's Ministry of Health provides preventative and acute care through a network of public services, private health care providers, and nonprofit organizations. Patients are eligible for payment of medical fees regardless of provider or level of care. Although hospitals negotiate individually with the Ministry of Health for fee schedules, individual care providers are paid according to a comprehensive schedule of fees published by the Ministry. Luxembourg ranked 20 out of 193 countries and territories (based on data for 2021) on the 2022 United Nations Human Development Index.
Food: Luxembourg's cuisine shows the influence of the duchy's neighbors. Pork, fish, and game are drenched in cream sauces, or served as sausage with potatoes or black pudding. Liver dumplings and sauerkraut recall neighboring Germany, and locally produced beers live up to the region's reputation for high quality brews. However, it is Luxembourg's delicate pastries that lure tourists.
Luxembourg's temperate climate and fertile landscape inspire the best of its cuisine. The picturesque rivers of the Bon Pays produce trout, crayfish, and pike. The forested Ardennes range is home to wild hare, boar, and other game that appear in restaurants and in homes during hunting season. The grape vines from which Moselle Valley vineyards create their sweet dessert wines are descendants of vines planted by the Romans over 2,000 years ago.
Arts & Entertainment: Better known for banking, mining, and business than folk art, Luxembourg constructed a museum of modern art connected to one of its early medieval fortresses.
A few native Luxembourgers have made their names outside the duchy. Edward Steichen, born in Luxembourg, was one of the founding names in American photography. Painter Joseph Kutter became famous for his Expressionist style, and Roger Manderscheid became Luxembourg's best-known contemporary writer.
Like many other Europeans, Luxembourgers enjoy biking, hiking, and skiing when they are not at work or school. The favorite local spot for weekend getaways is Müllerthal (Miller's Valley) surrounding the town of Echternach northeast of Luxembourg City. The area is full of scenic woodland and gentle hiking trails.
Like their counterparts across the French border, Luxembourgers also have a passion for cooking. Restaurants are easy to find in the capital or in small villages, but most Luxembourgers have their own well-guarded recipes and food-centered traditions.
Every June, the town of Echternach kicks off an international music festival that lasts all summer. "Summer in the City" is Luxembourg City's equivalent, with a full schedule of music, performance, and cultural events. In July, a Medieval Festival in Vianden highlights the grand duchy's long and vibrant history.
Holidays: Public holidays include the Catholic standards like Christmas, Shrove Monday, Good Friday, Easter, Easter Monday, Ascension Day, Whit Monday, Assumption Day, All Saints Day, and St. Stephen's Day. In addition, Luxembourg recognizes New Year's Day on January 1, Labor Day on May 1, and National Day (Grand Duke's birthday) on June 23. Luxembourg Festival takes place in October.
Luxembourgers celebrate with zeal. Christmas begins with a children's parade in early December when St. Nicholas (Klees'chen) and Black Peter (Hoùseker) first appear in town. Every night afterward, children leave their shoes out on windowsills or in front of bedroom doors to collect the chocolates and other small treats that Klees'chen leaves while performing his pre-Christmas Day rounds. On Christmas Eve, the shoes are traded in for a plate to catch Christmas toys.
National Day Eve and National Day begin with the changing of the guard outside the grand duchy palace. A torch-lit parade through town ends with fireworks. In Luxembourg City, National Day morning is ushered in with a hundred-gun salute and a special mass at Notre Dame Cathedral for Luxembourg notables. Similar ceremonies take place in towns all over the country.
Echternach is known for its Whit Tuesday (also Pentecost Tuesday) dance procession through the historic town.
Environment and Geography
Topography: Luxembourg consists of two separate regions. In the northern two-thirds of the country, the land rises to a plateau where the Ardennes Forest begins (the forest flows into Belgium and France). The Ardennes uplands consist of rugged, but fertile woods that become mountainous farther north.
Luxembourg's lowlands make up only 32 percent of the country's landmass, but this region is the most heavily populated portion of the duchy. These fertile, hilly lowlands are known as the Bon Pays ("good country") and are carved with deep, broad river valleys and the Moselle flood plain to the east.
Most of Luxembourg's rivers drain into the Sauer that flows east toward the southeastern border with Germany, where it merges with the Moselle. The country's lowest point is in the Moselle floodplain, where elevation is 133 meters (463 feet). The highest point of elevation is Buurgplaatz in the Ardennes at 559 meters (1,834 feet).
Natural Resources: Historically, Luxembourg's most important natural resources are its iron ore deposits and its arable land. For most of its history as a modern nation, the duchy's primary source of revenue was iron ore and the industries that came with it. Today, the iron mines are closed and the metal is no longer being extracted.
The vast majority of Luxembourg's arable land is in the southern third of the country. Although only a small percentage of Luxembourgers are employed in agriculture, agricultural land still accounts for just over 50.7 percent of the country's land use, with pasture making up 26.1 percent (2018 estimates).
Plants & Animals: Freshwater fish like pike, trout, eel, carp, and pike perch swim in Luxembourg's plentiful rivers, lakes, and streams.
The Ardennes is a habitat for wild boar, deer, and hare, as well as a variety of bird life. The industrialized and heavily populated lands to the south are no longer home to as many native plant or animal species, although birds like warblers, osprey, heron, and egret live in the area around the Moselle River.
Climate: Luxembourg has a temperate climate with seasonal, and some regional, variation. In the capital, temperatures drop to –1 degrees Celsius (30 degrees Fahrenheit) in the winter and ranges from 13 to 23 degrees Celsius (55 to 73 degrees Fahrenheit) in the summer months. Temperatures are often significantly cooler in the Ardennes. At the same time, Luxembourg, like other countries, was experiencing increased temperatures in each season due to ongoing climate change.
Economy
Luxembourg boasts one of the world's highest per capita gross domestic product (GDP), estimated at US$132,400 in 2023. The duchy also enjoys a low unemployment rate (5.19 percent in 2023).
Industry: Iron and steel remain important industries in Luxembourg, though the country no longer extracts iron ore. In addition, Luxembourg manufactures rubber and steel materials, glass, chemicals, and mechanical and electrical equipment.
Banking and insurance have become modern-day mainstays of Luxembourg's national economy. Relaxed banking and tax regulations have lured investors from throughout Europe, although reforms from the European Union against secrecy in banking somewhat reduced the country’s appeal as a tax haven.
Agriculture: Luxembourg's chief agricultural products include grains such as barley, oats, and wheat; potatoes; fruits; and grapes. The country also produces livestock. Wine and wine grape crops are central to the economy of the Moselle region.
Tourism: Tourism is also an important industry for the scenic, centrally located duchy. Luxembourg has a thriving tourist industry based on its picturesque landscapes, easy accessibility, multilingual population, and medieval architectural treasures.
Known as the "Green Heart of Europe," the duchy boasts more than one hundred medieval castles throughout the countryside, and an extensive railway and highway network
Government
Luxembourg lost half of its territory to Belgium in 1830, when Belgium broke from the Netherlands, splitting Luxembourg in the process. In response, the grand duchy demanded its autonomy from the Netherlands, gaining official recognition in the 1867 Treaty of London.
The country was occupied by Nazi Germany during World War II but reemerged as an independent nation in 1948. Surrendering its prewar neutral nation status, Luxembourg became a central force in the creation of new political and economic alliances, including the North Atlantic Treaty Organization (NATO), Benelux (an economic union with Belgium and the Netherlands), and the United Nations.
Since helping to found the predecessor organization to the European Commonwealth (now the European Union), Luxembourg has served as a driving force in EU governing organizations and policy decisions.
Luxembourg is a constitutional monarchy. Divided into twelve cantons, the country recognizes the hereditary Grand Duke as its chief of state.
Legislative functions are performed by the Chambre des Deputes (Chamber of Deputies), which has sixty members chosen by popular election to five-year terms. The Grand Duke customarily appoints the leader of the majority political party in the Chamber of Deputies, or the coalition leader in certain instances, to the post of Prime Minister. In turn, the Prime Minister selects a cabinet of ministers, who are formally appointed by the Grand Duke.
The Chamber of Deputies is also served by a Council of State, whose twenty-one members are chosen by the Prime Minister and appointed by the Grand Duke.
Interesting Facts
- During Napoleon's reign, Luxembourg was officially listed as a French "forestry department."
- Local legend holds that a mermaid named Mélusina lives in the river Alzette. According to myth, Mélusina was the wife of Count Seigfried, the founder of Luxembourg.
- In 2005, Luxembourg hosted its first annual Night Marathon.
- In 2020, Luxembourg became the first country to make all of its public transportation free.
Bibliography
Human Development Report 2021/2022. United Nations Development Programme, 13th March 2024, hdr.undp.org/system/files/documents/global-report-document/hdr2021-22pdf‗1.pdf. Accessed 15 Jan. 2025.
"Luxembourg." The World Bank, 2024, data.worldbank.org/country/luxembourg. Accessed 15 Jan. 2025.
"Luxembourg." The World Factbook, Central Intelligence Agency, 2 Jan. 2025, www.cia.gov/the-world-factbook/countries/luxembourg/. Accessed 15 Jan. 2025.
"Luxembourg." World Health Organization, www.who.int/countries/lux/en/. Accessed 16 Oct. 2023.