1. Introduction

A. History And Background

Luxembourg is a parliamentary representative democracy with a constitutional monarchy, governed by a multi-party coalition.

Luxembourg covers 2,586 square km in the heart of Western Europe, between France, Belgium and Germany.

The population amounts currently to approximately 503,000 of whom about 40 per cent are non-Luxembourg nationals.

Luxembourg is a trilingual country where French, German and Luxembourgish are the official languages.

Luxembourg is a founding member of the European Union (EU), North Atlantic Treaty Organisation, Organisation for Economic Cooperation and Development and United Nations. Luxembourg hosts the seat of several EU institutions and agencies.

Luxembourg is in the top ten financial centres worldwide and is the second largest investment funds centre after the US. Luxembourg is the leading private banking centre in the eurozone and the leading captive reinsurance market in the EU.

The currency is the euro (EUR).

B. Legal System

Luxembourg has its own legal system, based on Roman law.