; Embassy at 22 Boulevard
Emmanuel-Servais, 2535 Luxembourg City (mailing address is APO New York 09132);
telephone p352o 460123

Flag: three equal horizontal bands of red (top), white, and light blue;
similar to the flag of the Netherlands which uses a darker blue and is shorter;
design was based on the flag of France

- Economy
Overview: The stable economy features moderate growth, low
inflation, and negligible unemployment. Agriculture is based on small but
highly productive family-owned farms. The industrial sector, until
recently dominated by steel, has become increasingly more diversified,
particularly toward high-technology firms. During the past decade growth
in the financial sector has more than compensated for the decline in
steel. Services, especially banking, account for a growing proportion
of the economy. Luxembourg participates in an economic union with
Belgium on trade and most financial matters and is also closely connected
economically with the Netherlands.

GDP: $6.3 billion, per capita $17,200; real growth rate 4% (1989 est.)

Inflation rate (consumer prices): 3.0% (1989 est.)

Unemployment rate: 1.6% (1989 est.)

Budget: revenues $2.5 billion; expenditures $2.3 billion, including
capital expenditures of NA (1988)

Exports: $4.7 billion (f.o.b., 1988); commodities--finished
steel products, chemicals, rubber products, glass, aluminum, other industrial
products; partners--EC 75%, US 6%

Imports: $5.9 billion (c.i.f., 1988 est.); commodities--minerals,
metals, foodstuffs, quality consumer goods; partners--FRG 40%,
Belgium 35%, France 15%, US 3%

External debt: $131.6 million (1989 est.)

Industrial production: growth rate 5% (1989 est.)

Electricity: 1,500,000 kW capacity; 1,163 million kWh produced,
3,170 kWh per capita (1989)

Industries: banking, iron and steel, food processing, chemicals,
metal products, engineering, tires, glass, aluminum

Agriculture: accounts for less than 3% of GDP (including forestry);
principal products--barley, oats, potatoes, wheat, fruits, wine grapes;
cattle raising widespread

Aid: none

Currency: Luxembourg franc (plural--francs);
1 Luxembourg franc (LuxF) = 100 centimes

Exchange rates: Luxembourg francs (LuxF) per US$1--35.468 (January 1990),
39.404 (1989), 36.768 (1988), 37.334 (1987), 44.672 (1986), 59.378 (1985);
note--the Luxembourg franc is at par with the Belgian franc, which circulates
freely in Luxembourg

Fiscal year: calendar year

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