On Tuesday morning, officials from the National Institute of Statistics and Economic Studies (STATEC) provided updates to the Chamber’s finance commission, which is still reviewing the 2024 budget proposal.
Last year, Luxembourg’s economy decreased by 1.1% following a number of crises that left the Eurozone with a minimal growth of 0.5%. According to the STATEC, the construction and travel sector suffered the hardest economic blows.
Despite inflationary tendencies, STATEC officials forecast a growth potential of 2.5 to 2.75% for 2024. Thanks to the wage indexation, wages are projected to increase further while inflation is expected to settle at around 1.5%.
The financial sector, according to projections, will see less activity than is normally the case.
