Luxembourg has not lost its ability to attract international expertise, but new evidence shows that housing costs, labour-market churn and administrative friction threaten retention.
Ireland took over the rotating presidency of the Council of the EU on 1 July 2026 and set out its priorities at an event in Luxembourg, framing its six months around competitiveness, values and security while pushing negotiations on the 2028–2034 EU budget and enlargement.
Luxembourg rose to 14th of 70 economies in the 2026 IMD World Competitiveness Ranking, up from 20th, its first top-15 finish since before 2023. The rebound was driven by a sharp climb in the economic-performance pillar, though the Chamber of Commerce warned the gains rest on volatile international investment.