Luxembourg's economy slackened in 2005 : the GDP growth rate was 4.2% in 2004 and 3.1% in 2005. The IMF forecasts a 3.2% growth in 2006. This activity upturn is mainly driven by exports of services. Unemployment rate remains one of the lowest in Europe, despite a recent increase: it affected 4.6% of the active population in 2005.
The agriculture sector is little developed : it contributes to 0.7% of the GDP and employs 1.8% of the active population. Breeding is the main agricultural activity. Wine, wood, cereals and potatoes are other important agricultural productions. Luxembourg holds important iron deposits, but only holds a few other mining natural resources. The country has to massively import its energy products. The steel industry (Luxembourg is one of the world's main steel producers), tourism and financial services above all ²are first plan activity sectors. Luxembourg is actually one of the world's largest money markets and the second largest investment funds manager in the world. Financial activities provide about one fourth of the GDP and employ 11% of the active population.
Luxembourg carries out almost 90% of its foreign trade with European Union's countries. The country's three largest export partners are Germany, France and Belgium. Belgium, Germany and France are respectively its three largest import countries. Luxembourg mainly imports machinery and capital goods, transport materials, manufactured items, chemicals and fuels.
