As the official residence of the Grand Duke, the palace is used by him in the exercise of his official functions. He and the Grand Duchess, together with their staff, have their offices at the palace, and the state rooms on the first floor are used for a variety of meetings and audiences. On Christmas Eve, the Grand Duke's Christmas message is broadcast from the Yellow Room.
Foreign heads of state are accommodated at the palace, as guests of the Grand Duke and Grand Duchess, during official visits to Luxembourg, and the Ballroom is the setting for state banquets in their honour. Throughout the year, numerous other receptions take place at the palace, such as the New Year's reception given for members of the Government and the Chamber of Deputies.