Luxembourg's grand duke will abdicate, passing the throne to his son
[October 03, 2025]
By SAM McNEIL
LUXEMBOURG (AP) — A monarchy at the heart of Europe is preparing for a
generational change. Grand Duke Henri of Luxembourg will abdicate the
throne Friday after 25 years as head of state in favor of his eldest
son, Guillaume. Henri has filled the largely ceremonial role of grand
duke alongside his Cuban-born wife, Grand Duchess Maria Teresa, as the
government steered the country through troubles like the 2008 financial
crisis, the greatest shock to Luxembourg’s economy since the 1970s.
The tall and reserved 70-year-old Henri was educated in France,
Switzerland and at the United Kingdom's military academy Sandhurst. His
43-year-old son followed a similar path — going to school in London,
Switzerland, France and Sandhurst before working in Belgian, German and
Spanish firms. He is married to Belgian-born Countess Stéphanie de
Lannoy; they have two sons, aged 5 and 2.
After his father abdicates in a ceremony at the Grand Ducal Palace,
built of yellow stone and decorated with spires and ironwork, Guillaume
will be crowned and then swear an oath to Luxembourg's constitution
before the 60 elected members of the Chamber of Deputies, the duchy's
parliament. After taking over from his father, Guillaume will tour the
small nation and end with a Sunday Mass with Archbishop Jean-Claude
Hollerich at the Catholic Notre-Dame de Luxembourg cathedral.
At the heart of Europe
One of the European Union's smallest nations and its richest per capita,
Luxembourg is a financial powerhouse that hosts important EU
institutions like the European Court of Justice and the European
Investment Bank. The grand duchy is home to many of the banks in the
eurozone, reinsurance companies, and managers of hedge funds and money
markets.

Its economy is strong, with virtually no unemployment. Cleaved from what
is now France, Belgium and Germany in the 17th and 19th centuries,
Luxembourg is a parliamentary democracy with the grand duke as head of
state, akin to King Charles in the United Kingdom or King Philippe in
Belgium. Roughly 700,000 citizens speak a mix of Luxembourgish, a
Germanic language, and French and German in public life. Also widely
spoken are English and Portuguese. Many people fled to Luxembourg from
Portugal during the dictatorship of António Salazar in the 1960s.
Guillaume will be Luxembourg’s seventh grand duke since 1890, when the
modern monarchy was established. Complex royal politics, as well as the
loss of significant territories over the centuries, has meant Luxembourg
is not a kingdom. It is the world's last remaining grand duchy.
Guillaume to inherit 21st-century problems
Henri laid out the challenges ahead for Guillaume and Luxembourg in his
last Christmas speech.
“Climate change is probably the greatest challenge of the future, but
geopolitical tensions, wars and economic upheaval also require a need
for reflection,” he said. Luxembourg is “a crossroads of cultures” with
strong traditions of democracy, freedom and human rights, he said while
defending multilateralism as it comes under increased threat across the
world.
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This photo combination shows Grand Duke Henri of Luxembourg, left,
Dec. 1, 2023, in Dubai, United Arab Emirates and Luxembourg's Crown
Prince Guillaume in Tokyo, June 10, 2024. (AP Photo/Rafiq Maqbool,
Franck Robichon/Pool Photo via AP)

The grand duke "stands above party politics," Henri said. He added,
”This does not mean, however, that he cannot take a stand on the
fundamental interests of the country and its citizens.”
Christoph Brüll, a historian and professor at the University of
Luxembourg, said the grand duke's position is central for protocol,
like accrediting ambassadors, "but it’s not the grand duke who gives
the big orientations in political life, that’s the government.”
Guillaume will have to help the government grapple with an aging
population, soaring housing costs, immigration, and sprawling
traffic jams resulting from day workers who commute from neighboring
countries.
“Without French, German and Belgian workers, the country wouldn’t
run," said Brüll. He said there are increasing tensions between
unions, corporations and the government.
Guillaume will symbolically head the 1,000-person army of
Luxembourg, which was a founding member of NATO in the wake of the
devastation of World War II. Luxembourg hosts an important logistics
hub for the military alliance.
It is a keen supporter of NATO today as the alliance grapples with
Russian airspace breaches on Europe's eastern flank and a shaky
relationship with the United States. Recently, Luxembourg Prime
Minister Luc Frieden proposed expanding the duchy’s satellite
capabilities within NATO.
Luxembourg also recently joined some other European nations in
saying it will recognize a Palestinian state.
Amidst all this upheaval at home and abroad, Brüll said Guillaume
will be stepping into a very traditional role.
“His margin of maneuver or right to action is zero. So the only
power he has is then the power of speech or words. For the rest, the
grand duke will remain a political symbol," he said.
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Associated Press journalist Mike Corder in The Hague, Netherlands
contributed to this report.
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