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Significance

Bettel’s centre-left coalition failed to win enough support for another term due to a collapse in backing for the Green party.

Impacts

The ongoing weaknesses in the construction sector will make it even harder for Luxembourg to increase housing supply substantially.

Luxembourg’s tax system, which makes the country one of the world’s main tax havens, is unlikely to attract major international scrutiny.

Favourable regulation and access to capital and expertise will likely attract a growing number of space companies to Luxembourg.

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