Luxembourg ranked 5th out of 96 financial centres in the Global Green Finance Index in October 2023, the same slot it held in the previous edition released in April 2023.

Six western European financial centres featured in the global top 10, with 3 other positions taken by US cities. Singapore rounded out the top 10. London topped the table but scored fewer points than 6 months ago.

The GGFI is produced by Z/Yen Partners, a “commercial thinktank” backed by the City of London, and the China Development Institute, an official thinktank in Shenzhen. “The GGFI provides ratings of the green finance offerings of financial centres,” the outfit stated.

Z/Yen said the index was compiled using a combination of 130 “quantitative measures”--such as data from the Economist Intelligence Unit, OECD and World Bank--and a detailed online survey of 773 financial sector professionals globally over the trailing 24 months.

The grand duchy placed in the top 10 of several of the ranking’s subindices. Luxembourg was 3rd in the business competitiveness and policy sector, 5th in the human capital competitiveness, 7th in the investment sector, 9th in the infrastructure competitiveness and 10th in the sustainability competitiveness categories. It was 11th in the knowledge sector and professional services sector subindices.

, CEO of the economic development agency Luxembourg for Finance, which has an affiliation with Z/Yen, on the rankings: “Luxembourg was quick to recognise the essential role that international finance has to play in the long fight against climate change. Nonetheless, despite efforts already made, including the development of the Sustainable Finance Strategy and all initiatives that have stemmed from this, we still need to step up action. This includes refining the tools, optimising regulations and standardising the rules of green finance at international level to secure investor confidence and ensure that the transition is effective and has a clear purpose.”