The 2025 IMD World Competitiveness Ranking has positioned Luxembourg among the top 20 most competitive economies worldwide, reflecting a notable climb of three places compared to 2024. In today’s global economy, characterized by uncertainty and fragmentation, assessing national competitiveness requires a comprehensive approach. The IMD study evaluates countries across four main pillars: Economic Performance, Government Efficiency, Business Efficiency, and Infrastructure.

Luxembourg’s key strengths lie in its Government and Business Efficiency. The country received an overall score of 78.17, just slightly behind its neighbor Germany, which scored 78.24, and ahead of Belgium (74.57) and France (69.93). Its strongest performance is in Government Efficiency, where it ranks 14th globally, demonstrating a robust and effective public sector. In Business Efficiency, Luxembourg holds the 23rd position, while in Infrastructure, it is ranked 24th.

Although its Economic Performance ranks 35th, this represents a significant improvement over the previous year, highlighting Luxembourg’s ongoing efforts to enhance its economic resilience and competitiveness. This upward trajectory underscores the country’s commitment to maintaining its position in an increasingly complex global environment, leveraging its strengths to adapt and thrive amidst global economic shifts.

To read more: https://www.imd.org/centers/wcc/world-competitiveness-center/rankings/world-competitiveness-ranking/ 

Photo credit: Luxembourg Trade & Invest