Cosmopolitan population and cultural diversity

With nearly half of its population born abroad, Luxembourg is now one of the most multicultural countries in Europe. This is due to sustained population growth, driven largely by immigration and the Grand Duchy’s economic appeal.

Rapid and continuous population growth

Despite its small size, Luxembourg has one of the most dynamic population growth rates in Europe.

As of January 1, 2025, the country had 681,973 inhabitants. Annual growth (+1.5%) remains positive, although it is the lowest rate observed over the past decade, amid a tighter economic and housing market.

By way of comparison, the population was only 314,900 in 1961. In just over 60 years, the country has thus more than doubled its population.

According to STATEC projections, Luxembourg could reach over one million residents by 2060, within a territory of just 2,586 km². This trend is already posing major challenges in terms of housing, mobility, and infrastructure.

A population largely driven by immigration

A cultural diversity unique in Europe

Today, nearly 47.3% of residents are foreign nationals, not counting dual nationals who have acquired Luxembourgish citizenship. This figure, exceptional in Europe, illustrates the central role of immigration in the country’s growth.

In fact, more than 80% of population growth is linked to migration flows.

Luxembourg primarily attracts a young, active, and international population seeking professional opportunities and a high quality of life.

A relatively young population

The foreign population is, on average, younger than the Luxembourgish population. The average age is around 39 for men and 40.4 for women.

This demographic structure helps support the labor marketand boost the country’s economy.

Why is Luxembourg so attractive?

A recognized quality of life

Luxembourg consistently ranks among the countries offering the best quality of life in the world. Safety, political stability, the environment, and public services make it a particularly attractive destination.

Moving to Luxembourg also means benefiting from an efficient and accessible healthcare system. Life expectancy today stands at 81 years for men and 85 years for women.

Social and family policies further enhance this appeal, with generous social benefits.

To learn more, discover how living and integrating in Luxembourg can transform your expat experience.

A dynamic job market

Luxembourg is one of Europe’s most dynamic job markets, particularly in the finance, European institutions, digital, and services sectors.

The capital alone accounts for a large portion of economic activity. The city of Luxembourg is home to about one-fifth of the population.

Salary levels there are attractive, as detailed on the page dedicated to salaries in Luxembourg.

At the same time, the main challenge remains housing: real estate prices are among the highest in Europe, which can make settling in difficult. Getting help with your housing search can make a real difference.

A Land of Historical Immigration

Successive waves of migration

Luxembourg has historically been a welcoming land.

As early as the 19th century, Italian workers settled in the south of the country, particularly in Esch-sur-Alzette, to work in the steel industry.

Portuguese immigrants then formed the main wave of migration, with several waves of arrivals between the 1960s and 2000s. They still represent the largest foreign community today.

Since the 2010s, immigration has diversified with an increased influx of French nationals, as well as international nationals drawn to European companies and institutions.

To better understand the steps required to settle in Luxembourg, visit the page Moving to Luxembourg.

Recent trends in migration flows

Recent years have seen a shift in migration dynamics:

• Inbound flows: a significant influx of Ukrainian refugees since 2022, as well as European and international nationals
• Outbound flows: an increase in the number of residents leaving the country, particularly due to the cost of living and housing

Housing pressure is thus driving some households to relocate to the Greater Region (France, Belgium, Germany).

Spouses of expatriates are particularly affected by these challenges of integration and work-life balance.

A multicultural and international society

Over 170 nationalities represented

Luxembourg is home to more than 170 different nationalities, making it a deeply international society.

The main foreign communities are:

• Portuguese: 13.5% of the Luxembourg population and 90,915 nationals
• French: 49,234 people, or 7.3% of the population, plus cross-border workers who commute to Luxembourg daily
• Italian: 3.7% of the population, or 25,116 people
• Belgian: 18,889 residents, plus cross-border workers
• German: 12,480 people
• Spanish: 9,450 people.

Other communities, from Asia, Africa, and the Americas, also contribute to this diversity.

The media in Luxembourg reflect this cultural richness.

A multilingual country in everyday life

Luxembourg stands out for its multilingualism, which may come as a surprise upon arrival but is a true asset.

Three official languages coexist:

• Luxembourgish: the national language and the language of daily life
• German: the language of literacy and the media
• French: the language of administration and widely used in the workplace

In practice, the vast majority of the population also speaks English, particularly in professional settings within large international companies.

To help you settle in, you can take language classes or start with the basics using this Luxembourgish phrasebook.

An economy driven by an international workforce

Residents and cross-border workers

The Luxembourg labor market is based on a balance between:

• approximately 250,000 resident workers
• more than 215,000 cross-border workers commuting daily from France (50% of cross-border workers), Belgium, and Germany

This cross-border structure is a key feature of Luxembourg.

A European and international hub

The country is home to numerous international companies (finance, tech, audit) as well as European institutions.

More than 13,000 European civil servants work in Luxembourg, further reinforcing its international character.

However, housing costs and mobility challenges can hinder some relocation plans.

For more information, visit our page dedicated to the job market in Luxembourg.

Key Takeaways

Luxembourg is a country in constant evolution, driven by dynamic population growth and exceptional cultural diversity.

For expats—and especially accompanying spouses—this richness presents both an opportunity and a challenge: that of finding one’s place in a demanding yet open international environment.

Understanding Luxembourg’s population is already a first step toward a smoother and better-prepared relocation.