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Luxembourg: Government

Key Figures

Chief of State:
Grand Duke Henri
Head of Government:
Prime Minister Xavier Bettel

Overview

Government Name:
Grand Duchy of Luxembourg
Constitution:
Adopted: 1868; Articles include information on the state, its territory, the role of the Grand Duke, rights of citizens, sovereign power, chamber of deputies, public force, finances, and general provisions.
Government Type:
Constitutional Monarchy
Grand Duchy of Luxembourg Flag
Coat of Arms of Grand Duchy of Luxembourg

Index of Economic Freedom

Grades each country on a scale of 0 to 100, based on ten freedoms, with 100 representing the greatest amount of economic autonomy from government intervention. Source: Heritage Foundation (2023)

Country Risk Rating

A2
The political and economic situation is good. A basically stable and efficient business environment nonetheless leaves room for improvement. Corporate default probability is low on average. Source: Coface (2023)

Government Branches

Main Powers Election Process Election Cycle 1
Executive

The Grand Duke appoints prime minister (usually picking the most popular voted candidate) to aid in executory tasks, can dissolve and reinstate the legislative branch. The prime minister is in charge of executory tasks of the government and responsible to the Chamber of Deputies.

The monarchy is hereditary. Following popular elections to the Chamber of Deputies, the leader of the majority party or the leader of the majority coalition usually appointed prime minister by the monarch.

5 years
Judicial

Supreme Court has jurisdiction over all lower courts. The Constitutional Court is in charge of presiding over cases in regards to the constitution.

Judges of both courts appointed by the monarch.

Life appointment
Legislative

Drafts legislation and creates budgets for the government.

60 members elected by open list proportional representation in multi-member constituencies.

5 years

Regional Trade Blocs
European Union

International Organization Participation [2]

Environmental Agreements [3]

Tax Information [2]

Tax Authority:
Ministry of Finance
Tax Name:
VAT

Sources:

  1. ElectionGuide http://www.electionguide.org/
  2. EY, http://www.ey.com
  3. CIA World Factbook, https://www.cia.gov/the-world-factbook/
  4. U.S. Bilateral Relations Fact Sheets http://www.state.gov/r/pa/ei/bgn/