
Grand Duchy of Luxembourg
Capital
Luxembourg
Region
Europe
Population
681,973
Area (km²)
2,586
Luxembourg, a small landlocked nation in Western Europe with a population of about 682,000 and an area of just 2,586 km², boasts one of the world's highest GDP per capita, driven by its thriving financial sector and status as a global banking hub. Its capital, also named Luxembourg, is a UNESCO-listed fortress city blending medieval history with modern EU institutions. Despite its size, the multilingual Grand Duchy punches above its weight in international finance and as a founding member of the European Union.
Despite its high GDP per capita, Luxembourg experienced a relatively low GDP growth rate of 0.099% in 2023, while facing a significant inflation rate of 3.741%. This suggests potential challenges in maintaining real economic growth and purchasing power for its citizens.
Luxembourg boasts an exceptionally high GDP per capita, signaling a robust and highly productive economy. This figure is significantly higher than most developed nations, highlighting its status as a global financial hub and affluent society.
Despite its economic strength and high life expectancy, Luxembourg exhibits a very low fertility rate, well below the replacement level. This could pose long-term demographic challenges, potentially leading to an aging population and labor force issues if not mitigated by immigration.
Luxembourg demonstrates outstanding health indicators, with one of the lowest infant mortality rates globally and a very high life expectancy. This suggests a high quality of healthcare, excellent living conditions, and strong public health infrastructure.
GDP (Current US$)
$88.79B
Year: 2023
GDP Per Capita
$133,230.62
GDP Growth (%)
0.1%
Inflation (%)
3.74%
Unemployment (%)
5.18%
Debt to GDP (%)
N/A%
Source: World Bank • Last updated: 12/24/2025
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