Grand Duke Henri of Luxembourg will step down from the throne after a 25-year reign on Friday, passing the leadership to his oldest son, Guillaume, who will become the head of state of the small duchy situated in the heart of Europe.

The current 70-year-old monarch will relinquish his position during a ceremony at the Grand Ducal Palace, constructed from yellow stone and featuring spires and ironwork. Guillaume, aged 43, will then be crowned and take an oath to Luxembourg’s constitution in front of the 60 elected members of the Chamber of Deputies, the nation’s parliament.

The new grand duke will address the public from a balcony overlooking a central square with his family, including his wife, Countess Stéphanie de Lannoy of Belgian origin, and his sons, Prince Charles, aged 5, and Prince François, aged 2.

Royalty from the Netherlands and Belgium are anticipated to attend the events. Later on the same day, the new grand duke will hold an evening gala for guests such as French President Emmanuel Macron and German President Frank-Walter Steinmeier.

During the weekend, Guillaume will embark on a customary tour of the country, concluding with a Sunday Mass officiated by Archbishop Jean-Claude Hollerich at the Catholic Notre-Dame de Luxembourg cathedral.

Formed from territories of what is now France, Belgium, and Germany during the 17th and 19th centuries, the small country is a parliamentary democracy with the grand duke serving as the head of state, similar to King Charles in the United Kingdom or King Philippe in Belgium. Approximately 700,000 citizens communicate using a blend of Luxembourgish—a Germanic language—and French and German in daily life. It is the world’s sole remaining grand duchy.

One of the European Union’s smallest nations and its richest per capita, Luxembourg is a financial powerhouse that hosts important EU institutions like the European Court of Justice and the European Investment Bank. The grand duchy is home to many of the banks in the eurozone, reinsurance companies and managers of hedge funds and money markets.

Guillaume will be Luxembourg’s seventh grand duke since 1890, when the modern monarchy was established. Across the duchy, his photo will replace that of his father’s. His monogram, symmetrical golden “G” letters below a crown, will also be added to the uniforms of the army, the police, emergency services, the prison service and customs.

Guillaume, like Henri, was educated in France, Switzerland and at the United Kingdom’s military academy Sandhurst. Guillaume then worked for Belgian, German and Spanish firms.

Christoph Brüll, a historian and professor at the University of Luxembourg, said Guillaume will be stepping into a very traditional role.

“His margin of maneuver or right to action is zero. So the only power he has is then the power of speech or words. For the rest, the grand duke will remain a political symbol,” he said.