Simultaneously, the government has consistently carried an economic diversification policy, investing heavily in key areas where the country is on the forefront: logistics, clean technologies, bio and health technologies, automotive components and information and communications technologies in general.
Luxembourg, a European capital, has earned a justified reputation as a reliable hub for cross border businesses. Global players of all sizes use the country as a base from which to serve markets around the world. Investment and innovation are encouraged through a legal and regulatory framework designed to support business creation and economic development.
Companies receive substantial funding for R&D projects and support from the Government that allow them to come up with new innovative products, services and processes. Depending of the type and quality of the RDI effort and the size of the enterprise, state aids between 15 and 80% of the eligible cost of a project or program are available.
A number of international industrial groups, such as ArcelorMittal, Delphi, Goodyear and SES, have chosen to locate R&D operations in the Grand Duchy, thereby taking advantage of the proximity of Luxembourg's public research sector, which has developed considerably over the past few years. Today, the University of Luxembourg and several other research centres with various specialisations make up the public research environment in Luxembourg.