2022 | StartupBlink View the Global Startup Map p. 172 40 | Luxembourg Luxembourg is another example of a small nation carving out its own place on the world's top 40 list. Overall, Luxembourg advanced by 3 spots this year to 40th globally, regaining its position from 2020. Luxembourg is ranked 23rd in Europe. Luxembourg City strengthened its position in the top 200 and now ranks 175th globally after advancing 11 spots. It is also ranked in the top 100 European cities (58th), and overperforming in Hardware & IoT, ranking 34th globally. Luxembourg’s second ranked startup ecosystem, Esch an der Alzette, dropped out of the top 500 this year, falling 84 spots to 573rd globally. Luxembourg jumped 3 spots to rank 40th globally. 2020 2021 2022 Regional Rank Startup Ecosystem Ranking Global Rank National Rank and Change City Global Rank and Change Total Score Overperforming Industry 1 Luxembourg City 175 4.617 Hardware & IoT 2 Esch an der Alzette 573 0.545 34 +11 −84 − − For more information about the rankings of cities, view the country dashboard on Startublink.com. Startup Ecosystem Overview Luxembourg is one of Europe’s most successful economies and is known as a strong traditional finance capital. However, a high cost of living and a small local market size are hurdles for the future trajectory of the national ecosystem. The public sector is taking an active approach in fostering positive change with projects like Digital Luxembourg, a collaborative government initiative that strengthens the country’s digital efforts while mentoring and guiding startups. Public and private sector players work alongside entrepreneurs in Luxembourg to help entrepreneurs during their startup journey.