Luxembourg Government Spending
Government expenditure as % of GDP GC.XPN.TOTL.GD.ZS
Luxembourg's government spending was 42.31% in 2025, ranked 13th globally. This represents a 0.2% increase from 2024. Data from World Bank, covering 1972–2025.
Overview
Luxembourg's government spending stood at 42.31% in 2025, a rise of +0.07% from 2023. Based on recent trends, this figure is projected to reach 42.31% by 2025. Luxembourg ranked 13th globally.
Luxembourg’s government‑spending ratio has risen sharply from 23.01 % of GDP in 1972 to a 2025 level of 42.30 %, placing the Grand Duchy at rank 13 worldwide. The long‑term upward trajectory accelerated after the all‑time trough of 21.59 % recorded in 1974, reaching an all‑time peak of 42.90 % in 2020 before a modest decline to the current figure. Over the 53‑year series, Luxembourg’s fiscal outlays now closely match those of the United Kingdom, which posted 42.86 % in the same year, and exceed Romania’s 42.10 % while remaining slightly below Slovenia’s 44.03 %. The sustained increase reflects expanding public services and social‑security commitments in a high‑income economy. Future movements will hinge on demographic pressures and the balance between fiscal consolidation and investment in infrastructure, suggesting that the ratio could stabilise or modestly retreat if policy emphasis shifts toward fiscal prudence.
Data & projection
| Year | Government Spending | YoY change | Rank |
|---|---|---|---|
| 2026* trend | 42.66% | - | - |
| 2025* trend | 42.31% | - | - |
| 2025 | 42.31% | +0.07% | #13 |
| 2023 | 42.23% | +1.33% | #78 |
| 2022 | 40.90% | +1.89% | #100 |
| 2021 | 39.01% | −3.89% | #107 |
| 2020 | 42.90% | +3.42% | #115 |
| 2019 | 39.48% | +0.65% | #127 |
| 2018 | 38.83% | +1.07% | #123 |
| 2017 | 37.76% | +0.92% | #124 |
| 2016 | 36.83% | −0.38% | #119 |
| 2015 | 37.22% | −0.52% | #119 |
| 2014 | 37.74% | −0.81% | #114 |
| 2013 | 38.55% | −0.07% | #106 |
| 2012 | 38.62% | +0.86% | #108 |
| 2011 | 37.76% | +0.17% | #102 |
| 2010 | 37.59% | −1.08% | #99 |
Detected Pattern
Analysis
Luxembourg matched the Export Boom Cycle pattern in 2021. Historically, 71% of countries showing this pattern (546 out of 768) saw government spending improve within 24 months. View full analysis →
These headlines detail government financing and spending decisions in Hungary and Spain, specifically regarding an EU defence loan and a satellite project, respectively. They do not contain any direct information or data related to Luxembourg's government spending or its current value of 42.31%. Therefore, these developments do not directly relate to or impact Luxembourg's government spending figures.
Frequently Asked Questions
Luxembourg's government spending was 42.31% in 2025. Ranked 13th globally. This represents a 0.2% increase from the previous year.
Luxembourg's government spending peaked at 42.90% in 2020.
The lowest government spending in Luxembourg was 21.59% in 1974.
Luxembourg ranks 13th globally in government spending as of 2025.
The World Bank indicator code is GC.XPN.TOTL.GD.ZS. Data sourced from World Bank.
Luxembourg's government spending is projected to reach 42.31% by 2025 based on trend extrapolation.
The government spending of Luxembourg in 2025 was 42.31%. This ranks 13th in the world.
Cite this page
@misc{historysaid_luxembourg_government-spending,
title = {Luxembourg Government Spending},
url = {https://historysaid.com/luxembourg/government-spending/},
publisher = {HistorySaid},
year = {2026}
}