“The country’s financial and economic situation is very complicated,” said Luc Frieden after reviewing public finances on Thursday. Statec predicts the Luxembourgish economy will stagnate by the end of 2023, possibly leading to a larger deficit than initially forecast.
Frieden also highlighted that the number of pensioners is growing faster than new recruits entering the labor market.
“So far, we have prioritised listening over negotiating. The DP and the CSV have made a decision, which is to keep our triple A rating. It is important that when the State borrows money, it can do so at a reasonable rate. The government still in power will propose an interim budget to the Chamber of Deputies, which will be in force until the new coalition is formed”, explained Luc Frieden.
Frieden met with representatives of the Red Cross and Caritas on Friday afternoon in Château de Senningen. “It is important to listen to the people, including the most vulnerable,” he stressed.
Further meetings are scheduled for Monday morning with the OGBL, LCGB and CGFP trade unions, as well as with employers’ representatives from the UEL.
Climate policy will also be on the agenda on Monday with representatives of the climate movement and the Higher Council for Sustainable Development.
The first working groups are scheduled to convene this weekend, and their progress will be evaluated during the upcoming plenary session next Friday. Frieden also mentioned that he will provide a personal update to the Grand Duke on the current status of the negotiations.
Luc Frieden’s press briefing in Luxembourgish:
