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Economy of Israel vs Luxembourg compared: GDP & Debt

Updated on by Georank

Israel has a GDP of $611B compared to $101B for Luxembourg, ranking 27/197 and 75/197 by economy size, respectively.

Israel has $418B in government debt (68.5% of GDP), compared to $27.3B (27% of GDP) in Luxembourg.

Israel vs Luxembourg GDP by year

Israel
Luxembourg
1x
Year GDP, current $
Israel Luxembourg
2025 $610,777,842,874 $101,157,829,491
2024 $542,284,494,491 $93,279,851,863
2023 $513,393,395,492 $88,788,881,539
2022 $525,157,951,213 $80,801,680,397
2021 $489,735,019,666 $86,386,759,695
2020 $410,908,899,711 $73,670,782,100
2019 $399,207,771,082 $69,872,035,114
2018 $375,470,422,244 $71,085,623,495
2017 $357,360,816,857 $65,712,180,343
2016 $321,083,954,798 $62,216,885,436
2015 $302,841,190,258 $60,071,584,216
2014 $314,376,760,832 $68,804,814,555
2013 $298,045,324,736 $65,203,276,467
2012 $263,172,104,091 $59,776,383,527
2011 $267,739,352,609 $61,696,281,326
2010 $239,372,857,534 $56,213,985,987
2009 $213,112,649,594 $54,467,289,898
2008 $220,952,472,408 $58,844,277,702
2007 $184,448,882,452 $51,587,401,416
2006 $158,706,516,002 $42,910,153,830
2005 $147,346,035,831 $37,672,311,223
2004 $139,925,423,025 $35,064,843,793
2003 $131,278,887,815 $29,667,268,248
2002 $125,215,963,105 $23,649,832,387
2001 $134,889,159,474 $21,387,550,720
2000 $136,409,902,632 $21,230,200,538
1999 $121,329,240,042 $21,899,317,599
1998 $120,468,659,246 $20,150,055,568
1997 $119,389,303,067 $19,563,836,265
1996 $115,051,957,577 $20,895,314,658
1995 $105,432,315,611 $20,853,093,870
1994 $90,684,108,118 $17,701,798,891
1993 $79,806,598,120 $15,925,521,222
1992 $79,408,652,426 $15,518,702,635
1991 $70,954,941,681 $13,834,219,728
1990 $61,978,459,022 $12,778,792,854
1989 $52,411,116,588 $10,037,674,038
1988 $52,618,458,014 $9,418,167,855
1987 $43,022,977,765 $8,320,902,215
1986 $35,812,041,620 $6,685,595,088
1985 $28,887,898,639 $4,577,211,767
1984 $30,626,695,891 $4,438,435,493
1983 $32,655,591,256 $4,524,217,751
1982 $29,237,231,967 $4,602,316,793
1981 $26,865,420,933 $5,053,665,797
1980 $25,379,585,067 $6,019,805,490
1979 $22,595,788,591 $5,516,982,664
1978 $17,690,363,444 $4,718,539,772
1977 $18,245,847,441 $3,789,321,328
1976 $15,946,502,888 $3,423,586,207
1975 $16,131,806,290 $3,123,333,333
1974 $17,162,009,924 $3,183,637,117
1973 $11,895,229,181 $2,609,875,802
1972 $9,216,866,299 $1,901,697,370
1971 $7,048,191,876 $1,518,773,421
1970 $7,402,142,195 $1,457,768,455
1969 $6,293,966,357 $1,245,432,991
1968 $5,455,059,532 $1,075,561,623
1967 $4,759,447,914 $983,052,315
1966 $4,700,397,692 $976,717,015
1965 $4,326,412,951 $929,477,285
1964 $4,021,861,430 $910,877,686
1963 $3,533,767,055 $797,902,154
1962 $2,964,323,618 $747,846,862
1961 $3,706,297,903 $710,163,719
1960 $3,068,690,949 $709,941,874

Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

GDP per capita in Israel vs Luxembourg by year

Israel
GDP per capita

GDP per capita, PPP
Luxembourg
GDP per capita

GDP per capita, PPP
1x
Year Current $
Israel Luxembourg
GDP per capita GDP per capita, PPP GDP per capita GDP per capita, PPP
2025 $60,337 - $147,252 -
2024 $54,217 $57,236 $137,782 $155,941
2023 $52,126 $55,171 $133,231 $150,508
2022 $54,947 $53,619 $123,720 $146,919
2021 $52,258 $46,162 $134,966 $136,772
2020 $44,591 $40,955 $116,860 $122,067
2019 $44,092 $41,325 $112,697 $121,372
2018 $42,269 $40,190 $116,927 $116,638
2017 $41,013 $39,471 $110,193 $114,986
2016 $37,571 $38,189 $106,899 $113,365
2015 $36,138 $35,871 $105,462 $107,860
2014 $38,265 $34,816 $123,679 $105,296
2013 $36,981 $34,827 $120,000 $100,925
2012 $33,269 $32,484 $112,585 $96,636
2011 $34,477 $31,314 $119,025 $94,475
2010 $31,399 $29,456 $110,886 $90,336
2009 $28,470 $28,087 $109,420 $86,919
2008 $30,231 $28,084 $120,422 $90,971
2007 $25,689 $28,307 $107,475 $85,126
2006 $22,500 $26,385 $90,789 $78,861
2005 $21,262 $25,701 $80,988 $68,788
2004 $20,550 $26,078 $76,545 $64,686
2003 $19,624 $24,702 $65,689 $60,192
2002 $19,059 $26,101 $53,006 $58,576
2001 $20,949 $25,806 $48,440 $56,136
2000 $21,690 $25,766 $48,660 $55,136
1999 $19,809 $23,415 $50,872 $49,845
1998 $20,176 $22,927 $47,445 $44,270
1997 $20,457 $22,279 $46,642 $42,488
1996 $20,213 $21,672 $50,444 $39,722
1995 $19,014 $20,642 $51,032 $38,345
1994 $16,796 $19,478 $43,933 $37,551
1993 $15,169 $18,218 $40,067 $35,899
1992 $15,500 $17,553 $39,571 $34,108
1991 $14,337 $16,486 $35,747 $33,191
1990 $13,300 $15,721 $33,465 $29,949
1989 $11,601 - $26,618 -
1988 $11,846 - $25,219 -
1987 $9,847 - $22,443 -
1986 $8,330 - $18,150 -
1985 $6,824 - $12,482 -
1984 $7,364 - $12,127 -
1983 $7,955 - $12,374 -
1982 $7,253 - $12,591 -
1981 $6,791 - $13,837 -
1980 $6,545 - $16,531 -
1979 $5,968 - $15,204 -
1978 $4,794 - $13,034 -
1977 $5,050 - $10,486 -
1976 $4,514 - $9,491 -
1975 $4,669 - $8,701 -
1974 $5,082 - $8,967 -
1973 $3,629 - $7,447 -
1972 $2,928 - $5,487 -
1971 $2,297 - $4,435 -
1970 $2,489 - $4,298 -
1969 $2,188 - $3,690 -
1968 $1,946 - $3,203 -
1967 $1,734 - $2,935 -
1966 $1,788 - $2,925 -
1965 $1,688 - $2,804 -
1964 $1,625 - $2,779 -
1963 $1,485 - $2,462 -
1962 $1,293 - $2,332 -
1961 $1,696 - $2,241 -
1960 $1,452 - $2,261 -

Data sources: World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

Israel's GDP per capita is $60,337, ranking 19/197, compared to $147,252 in Luxembourg, ranking 3/197. Adjusted for purchasing power (GDP per capita PPP), Israel ranks 36th at $57,236, while Luxembourg ranks 1st at $155,941.

Economic indicators

Israel Luxembourg
Gross domestic product
$611B
2025
$101B
2025
GDP rank
27/197
2025
75/197
2025
GDP growth
2.93%
2024-2025
0.64%
2024-2025
GDP per capita
$60,337
2025
$147,252
2025
GDP per capita rank
19/197
2025
3/197
2025
GDP per capita, PPP
$57,236
2024
$155,941
2024
GDP per capita PPP rank
36/197
2024
1/197
2024
Government debt
$418B
2025
$27.3B
2025
Debt-to-GDP ratio
68.5%
2025
27%
2025
Government debt per person
$41,338
2025
$39,717
2025
Government debt per person rank
16/185
2025
18/185
2025
Average annual personal income after taxes
$48,251
2026
$71,808
2026
Market capitalization of domestic companies
$331B
2024
$69.4B
2025
Number of millionaires
195,000
2026
85,000
2026
Number of billionaires
42
2026
1
2026
Income share by richest 10%
27%
2022
25%
2023
Income share by poorest 10%
1.8%
2022
2.8%
2023
Government expenditure, % of GDP
43.6%
2025
48.3%
2025
Consumer prices inflation
3.04%
2024-2025
2.26%
2024-2025
Central bank interest rate
3.75%
2026
n/a
Unemployment rate
3%
2025
6.5%
2025
Population
10334048
697802

Spending and national debt comparison by year

Israel
Spending

Debt
Luxembourg
Spending

Debt
1x
Year % of GDP
Israel Luxembourg
Government spending Government debt Government spending Government debt
2025 43.6% 68.5% 48.3% 27%
2024 43.7% 67.7% 46.8% 26.3%
2023 39.6% 61.3% 46.4% 24.7%
2022 36.9% 60.3% 44.3% 24.9%
2021 40.1% 67.7% 42.4% 24.2%
2020 44.8% 71.1% 47% 24.5%
2019 38.7% 59.3% 43.1% 22.3%
2018 39.2% 60.1% 42.3% 20.9%
2017 38.4% 59.8% 41.3% 21.8%
2016 37.9% 61.7% 40% 19.6%
2015 37.6% 62.8% 40.4% 21.1%
2014 38.3% 65.8% 40.6% 21.9%
2013 39.7% 66% 41.2% 22.4%
2012 39.6% 66.9% 41.8% 20.8%
2011 39.3% 67.2% 41.5% 18.5%
2010 39.7% 69% 42% 19.1%
2009 41.4% 72.6% 42.7% 15.3%
2008 41.2% 70.2% 37.9% 14.6%
2007 40.2% 70.8% 37.4% 8.09%
2006 41.6% 77.7% 39.4% 8.21%
2005 42.3% 85.2% 43.4% 7.95%
2004 43% 88.3% 43.7% 7.83%
2003 45.4% 89.7% 43.3% 7.43%
2002 50% 87.2% 41.8% 7.45%
2001 46.1% 81.1% 38.1% 7.62%
2000 43.4% 77.2% 38% 7.49%
1999 53.6% 94.8% 41.7% 8.39%
1998 55% 101% 43.9% 9.51%
1997 52.6% 99.3% 44.2% 10.1%
1996 53.2% 100.3% 42.5% 10.2%
1995 52.8% 102.3% 42% 10.3%
1994 41.7% 110.2% - -
1993 42.2% 118.3% - -
1992 44.1% 119.6% - -
1991 34.4% 123.7% - -
1990 46.8% 138.3% - -
1989 47.5% 147.4% - -
1988 46.5% 145.4% - -
1987 52.8% 143.2% - -
1986 55.7% 162.5% - -
1985 65.2% 199% - -
1984 - 284% - -
1983 - 260.5% - -
1982 69.7% - - -
1981 71.8% - - -
1980 69.4% 154.3% - -
1979 70.1% 155.5% - -
1978 62.2% 133.6% - -
1977 69.1% 142% - -
1976 66.3% 97.4% - -
1975 62% 85.1% - -
1974 - 79.8% - -
1973 - 62.1% - -
1972 - 63.9% - -
1971 - - - -
1970 41.6% - - -
1969 41.1% - - -
1968 39.4% - - -
1967 33.9% - - -
1966 29.6% - - -
1965 27.8% - - -
1964 28.2% - - -
1963 26.9% - - -
1962 27.7% - - -
1961 30.3% - - -
1960 30.4% - - -

Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1995–2025, retrieved 2026-07-08); International Monetary Fund (IMF) | Public Finances in Modern History (1960–1999, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

In 2025, Israel's government spending was $266B, accounting for 43.6% of its GDP, while Luxembourg spent $48.8B, or 48.3% of GDP.

Debt-to-GDP ratio is 68.5% in Israel and 27% in Luxembourg, ranking 60/185 and 165/185, respectively.

Government deficit by year

Deficit/surplus
Israel

Luxembourg
1x
Year Deficit/surplus, % of GDP
Israel Luxembourg
2025 -5.22% -0.96%
2024 -8.07% 0.89%
2023 -5.38% -0.65%
2022 0.3% 0.21%
2021 -3.37% 1.11%
2020 -10.6% -3.09%
2019 -3.79% 2.68%
2018 -3.58% 3.17%
2017 -1.17% 1.37%
2016 -1.78% 1.89%
2015 -1.2% 1.3%
2014 -2.28% 1.33%
2013 -4.07% 0.84%
2012 -4.46% 0.5%
2011 -3.43% 0.65%
2010 -3.72% -0.26%
2009 -6.53% -0.21%
2008 -3.49% 3.37%
2007 -0.43% 4.35%
2006 -0.94% 1.9%
2005 -2.74% -0.21%
2004 -3.4% -1.39%
2003 -5.03% 0.28%
2002 -8.21% 2.03%
2001 -4.06% 5.62%
2000 -0.8% 5.55%
1999 -6.26% 3.24%
1998 -7.99% 2.98%
1997 -4.84% 2.65%
1996 -5.97% 2.37%
1995 -4.28% 2.71%
1994 -5.62% -
1993 -5.62% -
1992 -8% -
1991 -7.04% -
1990 -9.67% -
1989 -9.03% -
1988 -7.57% -
1987 -7.47% -
1986 -7.51% -
1985 -14.2% -
1984 - -
1983 - -
1982 -13.8% -
1981 -23.5% -
1980 -19.6% -
1979 -16.7% -
1978 -14.7% -
1977 -20.3% -
1976 -19.4% -
1975 -19.6% -
1974 - -
1973 - -
1972 - -
1971 - -
1970 -16% -
1969 -15.3% -
1968 -11.7% -
1967 -7.68% -
1966 -4.35% -
1965 -2.72% -
1964 -3.65% -
1963 -4.41% -
1962 -4.09% -
1961 -5.86% -
1960 -6.62% -
1959 -7.23% -
1958 -8.31% -
1957 -7.17% -
1956 -9.3% -
1955 -4.3% -
1954 -7.84% -
1953 -8.32% -
1952 -7.19% -
1951 -8.13% -
1950 -10.7% -

Data sources: International Monetary Fund (IMF) | Fiscal Monitor (1995–2025, retrieved 2026-07-08); International Monetary Fund (IMF) | Public Finances in Modern History (1950–1999, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

In 2025, Israel's government deficit, the difference between spending and revenue, was $31.9B, equivalent to 5.22% of GDP. This compares to Luxembourg's deficit of $976M, or 0.96% of GDP.

Over the past 31 years, Israel recorded a fiscal deficit in 30 of those years, while Luxembourg ran a deficit in 7 years. On average, Israel posted an annual deficit equal to 4.09% of GDP, compared to surplus of 1.49% of GDP for Luxembourg.

Inflation comparison by year

Inflation
Israel

Luxembourg
1x
Year Consumer prices inflation
Israel Luxembourg
2025 3.04% 2.26%
2024 3.07% 2.05%
2023 4.23% 3.74%
2022 4.41% 6.34%
2021 1.48% 2.53%
2020 -0.58% 0.82%
2019 0.82% 1.74%
2018 0.81% 1.53%
2017 0.25% 1.73%
2016 -0.54% 0.29%
2015 -0.62% 0.47%
2014 0.47% 0.63%
2013 1.59% 1.73%
2012 1.68% 2.66%
2011 3.49% 3.41%
2010 2.7% 2.27%
2009 3.37% 0.37%
2008 4.53% 3.4%
2007 0.47% 2.31%
2006 2.05% 2.67%
2005 1.34% 2.49%
2004 -0.42% 2.23%
2003 0.71% 2.05%
2002 5.8% 2.07%
2001 1.12% 2.66%
2000 1.03% 3.15%
1999 5.19% 1.03%
1998 5.49% 0.96%
1997 8.95% 1.37%

Data sources: World Bank | Economy & Growth (1997–2025, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

Over the past 29 years, Israel has recorded an average annual inflation rate of 2.27%, compared with 2.1% in Luxembourg. In 2025, inflation was 3.04% in Israel and 2.26% in Luxembourg.

Top exports between countries

Israel
Export category Export value
Machinery & equipment $25.7M
Chemicals & pharma $3.7M
Textiles & consumer goods $241K
Processed food, beverages & tobacco $184K
Wood & paper products $182K
Metals $152K
Precious metals & jewellery $148K
Miscellaneous $33K
Raw materials & minerals $33K
Raw agricultural goods $5K
Luxembourg
Export category Export value
Machinery & equipment $9.04M
Metals $5.18M
Chemicals & pharma $2.94M
Textiles & consumer goods $2.63M
Processed food, beverages & tobacco $803K
Raw materials & minerals $128K
Wood & paper products $56K
Miscellaneous $29K
Precious metals & jewellery $22K

Balance of trade

Israel Luxembourg
Current account balance
$8.53B
2025
$5.29B
2025
Current account balance ranking
26/190
2025
31/190
2025
Current account balance, % of GDP
+1.4%
2025
+5.23%
2025
Goods imports
$102B
2025
$30.9B
2025
Goods exports
$76.2B
2025
$33B
2025
Service imports
$53.2B
2025
$133B
2025
Service exports
$92.4B
2025
$167B
2025
Imports of goods and services, % of GDP
25.4%
2025
159.4%
2025
Exports of goods and services, % of GDP
27.6%
2025
190.5%
2025

Economic freedom indices

The indices of economic freedom below are issued by the Heritage Foundation. Higher scores indicate stronger economic health.

Israel Luxembourg
Economic freedom 68.4 79.7
Economic freedom ranking 47/197 7/197
Property rights 73.1 96.6
Government integrity 66.2 88.7
Judicial effectiveness 68.1 99.1
Tax burden 60.2 62.3
Government spending 52 36.9
Fiscal health 60.8 98.6
Business freedom 72.4 89.5
Labor freedom 56.8 56.7
Monetary freedom 78.2 74.1
Trade freedom 82.8 79.4
Investment freedom 70 95
Financial freedom 80 80

Economic freedom comparison by year

Israel
Luxembourg
1x
Year Economic freedom index
Israel Luxembourg
2026 68.4 79.7
2025 69.9 79.5
2024 70.1 79.2
2023 68.9 78.4
2022 68 80.6
2021 73.8 76
2020 74 75.8
2019 72.8 75.9
2018 72.2 76.4
2017 69.7 75.9
2016 70.7 73.9
2015 70.5 73.2
2014 68.4 74.2
2013 66.9 74.2
2012 67.8 74.5
2011 68.5 76.2
2010 67.7 75.4
2009 67.6 75.2
2008 66.3 74.7
2007 64.8 74.6
2006 64.4 75.3
2005 62.6 76.3
2004 61.4 78.9
2003 62.7 79.9
2002 66.9 79.4
2001 66.1 80.1
2000 65.5 76.4
1999 68.3 72.4
1998 68 72.7
1997 62.7 72.8
1996 62 72.5
1995 61.5 -

Data sources: The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

The Economic Freedom Index for Israel is 68.4, ranking 47/197, compared to 79.7 for Luxembourg, ranking 7/197. The chart above displays a comparison of annual changes in economic freedom indexes.

Other economic metrics

Israel Luxembourg
Services, % of GDP
72.8%
2024
81.4%
2025
Industry, % of GDP
17.2%
2024
8.88%
2025
Agriculture, forestry, and fishing, % of GDP
1.29%
2024
0.23%
2025
GNI, Atlas method
$569B
2025
$65.8B
2025
GNI per capita, PPP
$58,870
2025
$106,640
2025
Total reserves including gold
$229B
2025
$3.06B
2025
Total reserves ranking
18/177
2025
120/177
2025
Net foreign direct investment
-$11.8B
2025
$196B
2025
Net inflows of foreign direct investment
$14.8B
2024
$106B
2024
Net outflows of foreign direct investment
$9.92B
2024
$109B
2024
Poverty at national poverty lines
22%
2020
17.3%
2021
Gross capital formation, % of GDP
24.3%
2025
15.5%
2025

GDP per capita map

1x

Data sources: World Bank | Economy & Growth (1985–2025, retrieved 2026-07-08); U.S. Census Bureau (1985–2025, retrieved 2026-07-08).

GeoRank.org/economy/israel/luxembourg | CC BY

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Data sources:

  1. World Bank | Economy & Growth (1960–2025, retrieved 2026-07-08)
  2. International Monetary Fund (IMF) | Fiscal Monitor (1995–2025, retrieved 2026-07-08)
  3. International Monetary Fund (IMF) | Public Finances in Modern History (1950–1999, retrieved 2026-07-08)
  4. The Heritage Foundation | Economic Freedom Index (1995–2026, retrieved 2026-07-08)
  5. U.S. Census Bureau (1985–2025, retrieved 2026-07-08)
  6. TradeMap (2024–2025, retrieved 2026-07-08)
  7. United Nations | World Population Prospects (2026, retrieved 2026-07-08)
  8. LivingCost (2026, retrieved 2026-07-08)
  9. Central Intelligence Agency (CIA) (2020, retrieved 2026-07-08)

Creative Commons Attribution (CC BY) — you’re free to copy, share, remix, adapt, and use even commercially as long as you give appropriate credit and clearly indicate if you made changes. Other sources may be subject to different license terms.

The current account balance is the sum of net trade in goods and services, net earnings from cross-border investments, and net transfer payments. It reflects a country's economic transactions with the rest of the world and is a fundamental component of the balance of payments. A surplus indicates that a country exports more than it imports, while a deficit shows the opposite.

Gross National Income (GNI) measures a country's total income. It encompasses income earned by residents, businesses, and foreign sources, defined as employee compensation and investment profits. GNI adds product taxes not included elsewhere and subtracts subsidies. It accounts for income from residents working abroad but excludes earnings from foreigners within the country.

A negative value for Net Foreign Direct Investment indicates a country is a net receiver of investments, as foreign inflows exceed outflows after Balance of Payments adjustments. A positive value indicates a net provider, with outflows exceeding inflows. Inflows are credits (increasing foreign claims on domestic assets), while outflows are debits (increasing domestic assets abroad).

Foreign direct investment (FDI, net inflows) shows how much capital foreign investors bring into a country after accounting for any funds that flow back in the opposite direction. It represents the net value of overseas companies establishing, expanding, or financing businesses in the reporting country. A positive number means more capital entered the country than was withdrawn, while a negative number means foreign investors pulled out more than they invested.

Foreign direct investment (FDI, net outflows) shows how much capital residents of a country invest abroad after accounting for any funds that flow back in the opposite direction. It represents the net value of domestic companies establishing, expanding, or financing businesses in other countries. A positive number means more capital was invested abroad than withdrawn, while a negative number means residents pulled back more than they invested.

Formerly gross domestic investment, gross capital formation measures the share of a country’s economic output invested in fixed assets, including buildings, machinery, and infrastructure. It indicates how much of the economy is devoted to building productive capacity.