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Bilateral relations and regional cooperation
Bilateral relations
With the support of the diplomatic and consular network, the Directorate for European Affairs and International Economic Relations (D2) supports the development of bilateral relations with the countries of the European Union, EFTA, EU candidate countries, as well as Andorra, Monaco, the United Kingdom, San Marino and the Vatican, in close consultation with the relevant ministries and representatives of the public and private sector. It is responsible for the overall coordination of bilateral relations with the above-mentioned countries, in consultation with other ministerial departments.
The Directorate ensures the coordination of negotiations of international agreements with third countries, in support of the competent ministries, in the fields of aviation, social security, investment protection and promotion, and the avoidance of double taxation.
Cross-border cooperation at the bilateral and Greater Region levels
Both bilateral relations with the authorities of neighbouring countries and multilateral relations within the framework of the institutions of the Greater Region are coordinated by the Ministry of Foreign and European Affairs, Defence, Development Cooperation and Foreign Trade to ensure the overall coherence of neighbourhood diplomacy and cross-border cooperation via the Presidency of the Interministerial Coordination Committee for Cross-Border Cooperation (CICT).
As such, the Directorate of European Affairs and International Economic Relations chairs the Interministerial Coordination Committee for Cross-Border Cooperation (CICT), which organises consultation between ministries whose responsibilities and resources are particularly involved in major projects and events within the framework of neighbourhood diplomacy. The Committee serves as a forum for regular exchanges between ministerial departments and acts as the key reference governance instrument at interministerial level for developing a coherent cross-border cooperation policy.
Luxembourg holds bilateral consultations with the Länder of Saarland and Rhineland-Palatinate within the framework of joint Cabinet meetings (“gemeinsame Kabinettssitzungen”).
Regarding Belgium, the Convention establishing the Belgo-Luxembourg Economic Union (UEBL) was concluded on 25 July 1921. In 1963, the provisions of the UEBL were revised to take into account the entry into force of the E.E.C. and Benelux. The UEBL Convention was amended in 2002, allowing Luxembourg and Belgium to extend their cooperation beyond the economic and monetary fields. The renewed Convention thus provides the necessary framework for enhanced political and administrative cooperation, particularly in the fields of customs and excise, justice, public safety and health.
One of the main operational mechanisms of the UEBL is the Belgian-Luxembourg Administrative Commission (CABL), which ensures the monitoring of files and prepares ministerial level meetings. The CABL facilitates collaboration between the two administrations and is also involved in the organization of the so-called “Gäichel” bilateral meetings, during which the Belgian and Luxembourgish governments consult on bilateral and international cooperation.
Luxembourg and the federated entities of Belgium have also committed to creating new meeting formats at the civil servant level. Cooperation agreements between Luxembourg and Wallonia in 1999, with the Flemish community and the Flemish region in 2000, and with the German-speaking Community in 2002 were therefore concluded.
Regarding France, Luxembourg signed the Convention establishing the Intergovernmental Commission for the reinforcement of Franco-Luxembourg Intergovernmental cross-border cooperation Commission (IGC) on 26 January 2010. It is the only structure that Luxembourg has with one of its neighbouring countries at a bilateral intergovernmental level dedicated exclusively to consultations, concertations and joint action in the Franco-Luxembourgish cross-border regions. The IGC meetings are prepared by the steering committee meetings and thematic working groups.
Multilateral cooperation of the Greater Region is characterised by the maintenance and development of relations with partners within the institutional cooperation framework of the Summit of the Executives of the Greater Region.
Since 1995, the Greater Region Summit brings together all representatives of the executive powers in office of the partner regions. It is the main steering body for institutional cooperation in the Greater Region and defines its overall strategy. Its chairmanship rotates every two years among the partners.
The Executives of the Greater Region Summit meet at least once every two years, at the invitation of the Presidency-in-Office. At these meetings, known as Summits, a Joint Declaration is adopted by consensus to define the general framework for cooperation and to set the main orientations of the policies and initiatives to be implemented jointly.
The Greater Region Summit is supported by the College of Personal Representatives and by the Secretariat of the Greater Region Summit, which has its seat at the House of the Greater Region in Esch-sur-Alzette.
The House of the Greater Region, made available by the Government of Luxembourg, is intended as a gathering place for exchange and communication for all stakeholders and institutions active in cross-border cooperation.
Benelux
On 5 September 1944, Belgium, the Netherlands and Luxembourg signed the Customs Convention for the creation of a customs union, following the Monetary Convention of 21 October 1943 which fixed the exchange rate between the Belgian-Luxembourg franc and the Dutch guilder. The Benelux Customs Convention entered into force on 1 January 1948.
The Benelux Economic Union was established by the Treaty of 3 February 1958 for an initial period of fifty years. Its aim was to broaden and deepen economic cooperation between the three countries, in particular by enabling them to adopt a common financial and social policy. The treaty establishing the Benelux Economic Union came into force on 1 November 1960.
Thus, the Benelux played a pioneering role in strengthening European cooperation. Indeed, some areas of cooperation that were launched by the Treaty of 1958 were so successful that their application was extended to the European level. This applies in particular to the free movement of persons (Schengen), the internal market (economic union) and police cooperation.
In view of the expiration of the 1958 Treaty after 50 years and in order to give new momentum to the Benelux cooperation, the Treaty revising the Treaty establishing the Benelux Economic Union was signed in The Hague on 17 June 2008. Under this treaty, the Benelux cooperation now focuses on three main themes: the internal market and economic union, sustainable development, and justice and home affairs. It came into force on 1 January 2012. In addition to continuing the Benelux cooperation as a laboratory for Europe, the new Benelux Treaty also gives the Benelux the opportunity to extend cross-border cooperation by concluding agreements with other states or regional groupings of states or with neighbouring Benelux regions or entities.
In 2022, Luxembourg assumed the presidency of the Benelux Union Committee of Ministers for the fourth time. This year marked the 10th anniversary of the renewal and deepening of this exemplary cooperation in Europe, which continues to play its full role as a laboratory, model, and incubator of European integration.
The Luxembourg Presidency focused on the following three horizontal priorities:
- Emerging stronger from the pandemic
- Working for a green, safe, and competitive Benelux
- Promoting synergies with neighbouring regions
More information: https://www.benelux.int/fr/
Technical assistance
The Directorate 2 finances projects in the field of economic and technical assistance and international training activities in partner countries.
This assistance takes the form of the transfer of scientific or technical knowledge tailored to the needs of the beneficiary countries.
The projects are anchored in various sectors in which Luxembourg has specific expertise such as European law, higher education, research and innovation, legal aid, and support for the development of democracy in transitioning countries.
The selection criteria for these projects are directly linked to the missions of the Directorate for European Affairs and International Economic Relations, namely the strengthening of relations with third countries with which Luxembourg could develop economic ties, as well as the development of closer relations with European countries that are in a process of rapprochement with the EU. Thus, Luxembourg contributes to the rapprochement of EU candidate countries through bilateral technical assistance projects and training in the implementation of the acquis communautaire.
The projects are implemented through Luxembourgish and European partners.
The MFA study or research scholarships awarded to students who are following a Master's degree course at the University of Luxembourg are intended to foster the deepening of the latter's bilateral relations with institutions of excellence in third countries.
The training provided by the European Institute of Public Administration (EIPA), supporting the efforts of the candidate countries for European accession towards the adoption of the acquis communautaire, is a means of strengthening bilateral relations with these countries whose economies are destined to integrate progressively into the internal market. By sharing Luxembourg's experience in the field of European integration with third countries, the MFA is able to provide useful and targeted assistance while promoting a positive perception of Luxembourg as a country deeply attached to European values.
As a member of the Council of Europe, Luxembourg participates in several technical assistance projects. The mission of the Human Rights Trust Fund is to provide funding for efforts by states (mainly the Western Balkans, Caucasus countries...) to fulfil their obligations under the European Convention on Human Rights and other Council of Europe human rights standards.
Finally, the Directorate directly supports non-governmental organisations (NGOs) in their projects related to the principles of the rule of law, the fight against corruption, the approximation to the acquis communautaire, the promotion of gender equality and the fight against global warming.