Finance
IMF Article IV
IMF: Luxembourg recovery is tepid, fiscal deficit set to persist near 2% of GDP
The International Monetary Fund's 2026 Article IV mission, concluded on 7 May, projects Luxembourg's real GDP to grow 1.2% in 2026 and 1.7% in 2027, with the general government deficit remaining around 2% of GDP. Staff call for moderate fiscal tightening, broader tax bases and further pension measures, while welcoming the 2026 pension reform.