Pluriannual Budget

Multi-annual financial programming forms are officially part of the budgetary legal framework since the law of 12 July 2014 related to the Coordination and Governance of Public Finance (cf. in particular art. 3).
Finance programming laws detail the multi-annual financial guidelines for the three public sub-sectors (namely Central, Local and Social Security sub-sectors) with a global target of reaching balanced public accounts.
The respective laws are designed to set the so-called medium-term objective (MTO) as well as the adjustment path to achieve the MTO. Each annual law covers a 5-year programme including all current and capital expenditures (for years N-to-N+4).
The financial programming aims at strengthening Luxembourg's financial commitments through stability programmes submitted to the European Commission prior to the preparation of the following annual budget.