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EY has recently released its first ever Luxembourg Attractiveness Survey. Already published at the European level for more than 20 years, the survey studies the development of FDI in Europe and the perceived attractiveness of different countries.

Strong FDI per capita performance

EY Attractiveness Survey 2022 ranks Luxembourg 1st in Europe for FDI per capitaForeign direct investment in Luxembourg increased by 39% between 2020 and 2021, when no less than 25 FDI projects were announced. This number is actually higher than before the pandemic.

In absolute terms, this places Luxembourg in 26th place among the 43 European countries included in the study. However, the country ranks 1st for the number of investment projects per capita, surpassing other strong investment locations with similar characteristics such as Ireland, Lichtenstein, Finland and Malta. Cyprus, whose population size is similar to that of Luxembourg, has just above half the number of projects per capita, and Europe’s two top FDI destinations, France and the UK, have less than half.

In the context of the Attractiveness Study, EY defines FDI as “projects that have resulted in the creation of new facilities and jobs”. The study excludes portfolio investments and mergers and acquisitions.

Photo credit: Tristan Schmurr

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