Corporate & Institutional Banking
Banking sector: a decade of growth and resilience
Published on 10 August 2025
The latest State of the Financial Sector report from Luxembourg for Finance highlights the continued strength and adaptability of Luxembourg’s banking sector, despite global challenges and a changing financial landscape.
Summary
Employment
Banking remains the largest employer within the financial centre, with over 26,000 employees, representing 35.9% of total financial sector employment in 2024. Notably, for every job created in the financial sector, another is generated elsewhere in the Luxembourg economy, underlining the sector’s role as a driver of national prosperity.
Assets
Over the past decade, banking assets have grown by nearly 30%, reaching EUR 957.8 billion by the end of 2024. This growth occurred despite a decline in the number of banking institutions, illustrating the sector’s resilience and capacity to adapt.
Gross value added (GVA)
In 2014, the banking sector contributed 43% (EUR 7.439 billion) of the total financial sector’s GVA to the Luxembourg economy. Financial sector productivity remains high: in 2024, each employee generated EUR 236,400 in GVA, 2.4 times the national average of EUR 97,000.
Tax revenues
The banking centre contributed EUR 1.793 billion in tax revenues in 2024, representing 30.3% of total financial sector tax contributions (excluding TABO), making it the second-largest contributor after financial holding companies (33.2%).
ABBL perspective
As a long-standing partner to Luxembourg’s financial centre, the ABBL supports initiatives to strengthen banks’ competitiveness while ensuring sustainable growth. These figures confirm the banking sector’s crucial role in employment, value creation, and fiscal contribution to the national economy.
Thomas Collin
Officer - Sustainability & CSR, ABBL
Published on 10 August 2025