According to the European Commission’s 2018 Ageing Report (2016-2070), ageing costs, including pensions, health care, long-term care, unemployment benefits and education, are expected to differ substantially across EU countries, and this variance is expected to increase towards the end of the projection horizon.
By 2070, Luxembourg ageing costs are projected to be among the highest in in the EU, reaching levels above 30% of GDP, compared to around 15% of GDP in Latvia and Lithuania.
Luxembourg’s projected ageing costs show the most notable increase, followed by Malta, Slovenia and Belgium, while the most significant declines are projected for Greece and France.
According Luxembourg’s “Conseil national des finances publiques” (CNFP) Luxembourg’s public finances long term sustainability is facing a high risk. Hence, the CNPF recommends the competent authorities to take appropriate measures.
The 2018 Ageing Report: population ageing poses tough fiscal challenges – The European Central Bank
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