Understanding the costs of drug-related actions is an important aspect of drug policy. Some of the funds allocated by governments to expenditure on tasks related to drugs are identified as such in the budget (‘labelled’). Often, however, the majority of drug-related expenditure is not identified (‘unlabelled’) and must be estimated using modelling approaches.
In 2009, the National Drug Coordinator set priorities for the 2010-14 National Action Plan on drugs, identifying concrete actions and planned budgets. Additionally, the government annually approves several drug-related budgets. In Luxembourg, estimates of total expenditures are also available; these are based on a well-defined methodology established in 2002.
In 2009, total public expenditure was estimated at 0.1 % of gross domestic product (GDP). Unlabelled expenditure represented 65 % of the total of more than EUR 38 million. Most expenditure related to public order and safety (almost EUR 22 million) and health (almost EUR 16 million)
Monitoring of the evolution of annual budget allocated for drug-related activities by the Ministry of Health indicates that the budget almost doubled from approximately EUR 6.6 million in 2006 to EUR 12.4 million in 2015.
Public expenditure related to illicit drugs in Luxembourg
NBBased on estimates of Luxembourg‘s labelled and unlabelled public expenditure in 2009.