Founded in 963, Luxembourg became a grand duchy in 1815 and an independent state under the Netherlands. It lost more than half of its territory to Belgium in 1839, but gained a larger measure of autonomy. Full independence was attained in 1867. Overrun by Germany in both World Wars, it ended its neutrality in 1948 when it entered into the Benelux Customs Union and when it joined NATO the following year. In 1957, Luxembourg became one of the six founding countries of the European Economic Community (later the European Union), and in 1999 it joined the euro currency area.
Country profile: Luxembourg
The Grand Duchy of Luxembourg is a small country, landlocked by Belgium, France and Germany, and its history has been inextricably linked with that of its far larger neighbours.Despite declaring its neutrality, Luxembourg was occupied by Germany during both World Wars.
Attempts to escape German influence initially led to an economic union with Belgium in 1921.
After renewed occupation in World War II, Luxembourg abandoned its neutrality and became a front-rank enthusiast for international co-operation.
Luxembourg became a founder member of a customs union with Belgium and the Netherlands in 1948, and of the European Economic Community, a fore-runner of the European Union, in 1957. Around one-third of Luxembourg's population are foreigners.
Luxembourg's prosperity was formerly based on steel manufacturing. With the decline of that industry, Luxembourg diversified and is now best known for its status as a tax haven and banking centre.
But Luxembourg's strict laws on banking secrecy mean the system can be exploited for the purposes of tax evasion and fraud.
Luxembourg's politics are characterised by stability and long-serving administrations.
- Full name: Grand Duchy of Luxembourg
- Population: 465,000 (UN, 2005)
- Capital: Luxembourg
- Area: 2,586 sq km (999 sq miles)
- Major languages: French, German, Luxembourgish
- Major religion: Christianity
- Life expectancy: 75 years (men), 81 years (women) (UN)
- Monetary unit: 1 Euro = 100 cents
- Main exports: Steel products, chemicals, rubber products
- GNI per capita: US $65,630 (World Bank, 2006)
- Internet domain: .lu
- International dialling code: +352
Head of state: Grand Duke Henri
Prime minister: Jean-Claude Juncker
Jean-Claude Juncker, of the conservative Christian Social Party, has been prime minister since 1995 when his predecessor, Jacques Santer, became president of the European Commission.
He carries on as premier in coalition with the Socialist Workers Party following general elections in June 2004. For the five years before that his party had formed a coalition government with the Democratic Party.
Mr Juncker was born in 1954 and is a lawyer by training.
Despite its size Luxembourg exerts immense media clout and has a long tradition of operating radio and TV services for pan-European audiences, including those in France, Germany and the UK.
The Luxembourg-based media group RTL is behind much of this activity. RTL's radio stations have been a part of the broadcasting landscape in France and Germany for decades.
Generations of British listeners grew up with Radio Luxembourg, which beamed pop music programmes into the UK on the legendary "208" wavelength. "The Great 208" is no more, but RTL's TV and radio stations remain key players in media markets across Europe.
Luxembourg's media empire extends to the skies. The country is home to Europe's largest satellite operator, Societe Europeenne des Satellites (SES), which operates the Astra satellite fleet.
RTL and other privately-owned radio and TV stations broadcast to domestic audiences. The constitution guarantees freedom of speech and of the press. Print media are privately owned and reflect diverse viewpoints.
The press
Television
Radio
This stable, high-income economy - benefitting from its proximity to France, Belgium, and Germany - features solid growth, low inflation, and low unemployment. The industrial sector, initially dominated by steel, has become increasingly diversified to include chemicals, rubber, and other products. Growth in the financial sector, which now accounts for about 28% of GDP, has more than compensated for the decline in steel. Most banks are foreign-owned and have extensive foreign dealings. Agriculture is based on small family-owned farms. The economy depends on foreign and cross-border workers for more than 30% of its labor force. Although Luxembourg, like all EU members, has suffered from the global economic slump, the country enjoys an extraordinarily high standard of living - GDP per capita ranks first in the world.
Luxembourg natural resources include iron ore (no longer exploited), arable land
landlocked; the only Grand Duchy in the world
Luxembourg religion is 87% Roman Catholic, 13% Protestants, Jews, and Muslims (2000).
Natural hazards in Luxembourg include NA.
Travel Advice on Luxembourg
SUMMARY
- Luxembourg shares with the rest of Europe a threat from international terrorism. Attacks could be indiscriminate and against civilian targets.
- Around 120,000 British nationals visit Luxembourg every year. Most visits to are trouble-free. The main type of incident for which British nationals require consular assistance in Luxembourg is for replacing lost or stolen passports. Luxembourg can only issue Emergency Passports in a genuine emergency. Otherwise, full passport services can be obtained from the British Consulate-General in Paris.
- We strongly recommend that you obtain comprehensive travel and medical insurance before travelling. You should check any exclusions, and that your policy covers you for the activities you want to undertake. Please see: Travel Insurance.
SAFETY AND SECURITY
You are advised to take the usual sensible precautions against crime.
Political Situation
Luxembourg Country Profile
Local Travel
Travel by car, train and bus throughout the country is relatively quick and easy. When you drive, remember that there are different speed restrictions to the UK. ‘On the spot fines’ are common. It is advisable to travel with vehicle registration documents to prove you are the legal owner of the vehicle you are driving. Failure to do so could lead to the police confiscating and impounding your vehicles as well as imposing fines.
ENTRY REQUIREMENTS
Single parents or other adults travelling alone with children should be aware that some countries require documentary evidence of parental responsibility before allowing lone parents to enter the country or, in some cases, before permitting the children to leave the country. For further information on exactly what will be required at immigration please contact the Luxembourg representation to the UK.
HEALTH
In an emergency, telephone 112 for medical treatment and 113 for the Police services.
You should seek medical advice before travelling and ensure that all appropriate vaccinations are up to date. For further information on health, check the Department of Health’s website at: www.dh.gov.uk.
GENERAL
EU Aviation Regulations
French, German and Luxembourgish are the administrative languages. English is spoken in Luxembourg City itself, but less so elsewhere.
When driving, be aware that it is easy to cross into neighbouring countries without realising it. You must have your passport with you for identification.
Contact the Luxembourg Tourist Office at 122 Regent Street, London, W1R 5FE; (tel: +020 7434 2800); website: http://www.luxembourg.co.uk, or the Luxembourg Tourist Office in Luxembourg; http://www.luxembourg-city.lu.
You are reminded that the currency of Luxembourg is the Euro.