Cyprus vs Luxembourg
A data-driven side-by-side: investment score, economy, business climate, political stability, and tax, to help you decide where to invest, incorporate, or relocate.
Overall: Luxembourg ranks higher
Luxembourg scores 86/100 on our composite investment index, ahead of Cyprus at 68/100. This blends economic strength, political stability, business climate, financial maturity, and growth outlook. Read the breakdown below to see where each country actually leads.
Category breakdown
66
Economic strength
Luxembourg leads
88
70
Political stability
Luxembourg leads
92
72
Business climate
Luxembourg leads
88
65
Financial maturity
Luxembourg leads
85
62
Growth outlook
Luxembourg leads
68
Macro snapshot
32
GDP (USD bn)
-53.3 bn
86
2.5%
GDP growth (%)
+1.0 pp
1.5%
$35,520
GDP per capita (USD)
-96850.0
$132,370
2.5%
Inflation (%)
0.0 pp
2.5%
12.5%
FDI (% of GDP)
-13.0 pp
25.5%
79%
Public debt (% of GDP)
+50.0 pp
29%
0.9
Population (M)
+0.2M
0.7
Cyprus: strong sectors
- Tourism14.5% of GDP72
- Financial Services11.2% of GDP70
- Shipping8.8% of GDP68
- Real Estate9.2% of GDP65
Luxembourg: strong sectors
- Financial Services26.5% of GDP90
- Fund Management18.2% of GDP88
- Space Technology1.8% of GDP78
- Steel & Manufacturing3.5% of GDP72
Frequently asked
Which is better for investment: Cyprus or Luxembourg?
Our composite investment index gives Cyprus a score of 68/100 and Luxembourg a score of 86/100. Luxembourg ranks higher overall, but the right answer depends on your sector and risk tolerance. See the category breakdown above.
Is Cyprus a safer market than Luxembourg?
Risk classification puts Cyprus as moderate (Growing economy with manageable risks - suitable for diversified portfolios) and Luxembourg as safe (Strong fundamentals, stable governance, favorable investment climate).
Which has higher GDP growth: Cyprus or Luxembourg?
Cyprus is currently growing at 2.5% per year, vs 1.5% for Luxembourg. Cyprus has the faster headline growth rate today.