Aid for R&D and innovation projects
Published on 10 October 2026 · Updated on 10 October 2026
In short
R&D innovation aid in Luxembourg is co-funding from the Ministry of the Economy, governed by the law of 6 June 2025, which replaces the 2017 law. It covers industrial research (up to 60% for a small company), experimental development (up to 40%), feasibility studies, process innovation and innovation advisory services. The application comes before the work starts.
Base rates by company size
| Project type | Small | Medium | Large |
|---|---|---|---|
| Industrial research | 60% | 50% | 40% |
| Experimental development | 40% | 30% | 20% |
| Technical feasibility study | 70% | 60% | 50% |
| Process or organisational innovation | 25% (50% in the circular economy) | 25% | 15%, in collaboration with SMEs |
| Innovation advice and support (SMEs) | Up to 100% | Up to 100% | No |
Increases are available for collaboration. Minimum aid amount: EUR 1,000 for an SME, EUR 100,000 for a large company.
Points of attention
- Submit the application before any firm commitment.
- A company less than 3 years old attaches a business plan with a 3-year cash-flow forecast.
- Aid above EUR 100,000 is published on the European transparency website.
- Luxinnovation can support the preparation of the file free of charge.
Next step
Frequently asked questions
Can you apply for R&D aid after starting the project?
No. The work must not have started, or be the subject of a firm commitment, before the application. The file must therefore be submitted before signing a contract or placing an order. A company less than 3 years old also attaches a business plan with a 3-year cash-flow forecast.
Who can help prepare an R&D and innovation aid application?
Luxinnovation supports companies free of charge in preparing their RDI aid applications. Its support covers the preparation of the file, which must be submitted before any firm commitment. The Ministry of the Economy remains the authority that co-funds projects under the law of 6 June 2025.