The grand duchy’s capital has placed 5th out of 95 in a ranking of European cities with the brightest economic growth outlook.

Lasalle Investment Management said its European Cities Growth Index 2023 serves as a “proxy for occupier demand.”

“London and Paris rank first and second; together they are expected to drive as much absolute growth as the next nine cities combined,” Lasalle . Stockholm and Copenhagen placed third and fourth.

Cities in southern Europe, especially those in Italy, were dragged down in the rankings by the increasing number of heat waves.

Lasalle Investment Management is one of the world’s largest real estate investment outfits. It is a subsidiary of the property giant JLL.

Lasalle said the study took account of factors such as economic and population growth, skilled labour force and population wealth, political stability and extreme weather conditions, plus the results of a separate global real estate transparency index.