World’s Freest Economy

Current Context : Recently, Hong Kong ranked as the world’s freest economy, surpassing Singapore, with a score of 8.58, according to the Fraser Institute’s Economic Freedom of the World report.

• Hong Kong scored 58, just ahead of Singapore’s score of 8.55. Following them, Switzerland ranked third, New Zealand fourth, and the United States fifth.
• On the other hand, Venezuela was ranked last, with a low score of 3.02.

Factors for High Ranking:

• Low taxes and simple tax system.
• Free flow of goods, capital, talent, and information.
• Efficient markets and adherence to international standards in regulatory regimes.
• Strong legal framework under the “one country, two systems” policy.

Future Outlook: The Hong Kong government aims to integrate more with China’s national strategies, maintain its status as a financial hub, and attract international enterprises​

What is the “Freest Economy”?

• A freest economy is characterized by a minimal level of government intervention, allowing free trade, low taxation, and economic liberalism. It promotes:
  • Free markets, where businesses operate with minimal restrictions.
  • Economic freedom, meaning individuals can freely engage in voluntary transactions without excessive regulation.
  • A conducive environment for international trade, capital mobility, and innovation​

ABOUT HONG KONG:

1. Location: Hong Kong is a special administrative region of China, known for its global financial hub
2. Unique Features:
   1. World’s longest escalator system(800 meters).
   2. Over 1,500 skyscrapers, more than any other city.
   3. A population of over 7 million, making it one of the most densely populated areas​