Stock-Taking

Parliament is heading into its summer recess. For the Christian Social People's Party (CSV), the assessment is clearly positive. Parliamentary group leader Laurent Zeimet spoke on Tuesday of a "joint assessment" with the Democratic Party (DP) and highlighted the good cooperation within the coalition. Despite turbulent months around the turn of the year, the party is now in a strong position and optimistic about the autumn.[1]

The list of achievements is long. Pension reform. The asylum and migration pact. A series of tax cuts. A new media law. The planned shift towards more outpatient care in the healthcare system. The adjustment of tax brackets in line with inflation. The exemption of the social minimum wage from income tax. Purchasing power strengthened. Social dialogue back on track under new Labour Minister Marc Spautz.[1]

The tripartite timing

Zeimet once again rejected claims that the DP had pressured PM Luc Frieden into convening tripartite talks. The decision had already been discussed within the CSV several days earlier. To underline the point, he referred to a dinner with Frieden on 14 April, which had taken place before the DP's public call for tripartite.[1]

The tripartite, as yesterday's story about the €400 million inheritance made clear, was funded partly by a one-time windfall. The opposition says the state cannot rely on exceptional revenue. Zeimet says the timing was not pressured. Both things can be true. The tripartite was prepared. The tripartite was also lucky.[1]

Autumn: tax reform

Looking ahead to the autumn, Zeimet set his sights on tax reform. The details remain to be seen. What is clear is that the CSV intends to enter the next political season with the same confidence it is projecting now. The coalition is stable. The achievements are listed. The press conference was positive.[1]

The IMF, it should be noted, has warned of an unhealthy trajectory for Luxembourg's public finances. The Greens have calculated that once the €400 million inheritance is stripped out, the budget deficit will come in €200 million above what was voted. The director of Immigration has been questioned as a suspect. The CGDIS says vegetation fire risk is extremely high. The farmer in Ell says half his corn may be lost. Parliament is heading into its summer recess.[1]

The assessment is clearly positive.[1]