Jean-Claude Juncker defends Luxembourg finance centre

March, 28. Luxembourg’s Prime Minister Jean-Claude Juncker added to the wave of voices speaking out against a comparison between the Grand Duchy and Cyprus on Wednesday.

On German television show “heute journal” Juncker said that there were no parallels between Luxembourg and Cyprus and their respective financial centres.

According to Juncker, Luxembourg is an international financial centre, with a diverse product range. The stability of a financial sector should not be judged by the size of a country, he added. Unlike Cyprus, Luxembourg does not try to attract investors with high interest rates, he said.

Juncker said that Cyprus was a special case with huge challenges and problems. Europe should not create the impression that deposits were not safe, as this would be detrimental to the banking sector, he said.