Hong Kong ranks as world’s freest economy 2024

Hong Kong SAR ranked as the world’s freest economy amongst 165 economies, up by one notch from 2023, according to the Fraser Institute’s Economic Freedom of the World 2024 annual report.

Amongst the five areas of assessment in the report, the city ranked top in ‘freedom to trade internationally” and “regulation,” whilst its ranking in ‘sound money’ rose to third.

In a statement, the Hong Kong Special Administrative Region Government (HKSAR) said that Hong Kong has leveraged the advantages of a free market and maintained a free, open, effective, and fair business environment, and the ranking fully reflects the international recognition of these advantages.

The statement also noted that Hong Kong’s free market and premier business environment are attributable to its distinctive institutional strengths under “one country, two systems.”

These include the use of the common law system, robust rule of law, an independent judiciary, free flow of goods, capital, talent, and information, a simple tax system and low tax rates, a conducive business environment, efficient and transparent markets, and a regulatory regime that adheres to international standards.

The government said that with the staunch support of the country, Hong Kong will proactively integrate into the overall national development, align with national development strategies, maintain and improve a free and open business environment, and continue to serve as a two-way springboard for attracting international enterprises to Hong Kong and supporting Mainland enterprises to “go global.”

It also focused on building itself into an international hub for talent, developing new quality productive forces tailored to local conditions, and fostering collaboration with the Greater Bay Area to further enhance the city’s development momentum and promote the high-quality development of its economy.