Singapore has dethroned Hong Kong to become the world’s freest economy, according to a report by the Canadian Fraser Institute.
For the first time since the World Economic Freedom Index was launched in 1970, Hong Kong has slipped to the second spot from number one.Some principles used to determine the economic freedom index are based on the ease of international trade, market entry and competition freedom, as well as business regulations.
The findings in the report for 2023 are based on data from 2021, the latest year with available comparable statistics in 165 jurisdictions, measuring individuals’ economic freedom or their ability to make economic decisions independently.
“The recent shift in Hong Kong is an example of how economic freedom is closely linked with civil and political freedom,” stated Matthew Mitchell, a senior fellow at the Fraser Institute.