Emil Stavrev, who led the mission, said risks were above all external, such as changes in global corporate taxation laws.
The IMF recommended the Grand Duchy's authorities maintained prudent fiscal policy and comfortable buffers in case of external influences.
Stavrev said that while they encouraged the ambitious planned tax reforms, there were other options on the table. The government could increase the low transport taxes, for example by introducing one-off car registration fees, remove the preferential VAT treatment of heating energy, while protecting the most vulnerable, and modernise the outdated property valuation method, which dates back to the 1940s.
