Hong Kong is once again the world's freest economy, according to the report “Economic Freedom in the World 2026“ by the Canadian Fraser Institute. The Special Administrative Region of China received a score of 8.53 out of 10, ranking first among 165 countries and territories.
The ranking is based on the latest complete comparable data, which is for 2024. Hong Kong is followed by Switzerland with 8.45 points, Singapore with 8.43, New Zealand with 8.38 and the United States with 8.21 points.
Hong Kong leads in international trade
The index looks at five main areas: size of government, legal system and property protection, stable money, freedom of international trade and regulations.
Hong Kong retains first place in international trade freedom and is second in the world in regulations. Despite its top position, its overall score has declined in recent years, the report's authors note.
Among the leading economies, the UK is in tenth place, Japan is 13th, Germany is 19th, China is 110th, and Russia is 143rd.
What the ranking takes into account
According to the study's methodology, economic freedom is associated with the ability of people to make voluntary exchanges, own property, and make independent economic decisions. However, the ranking does not measure the overall state of political and civil liberties.
A Hong Kong government spokesman said the report “confirms Hong Kong’s strengths as a free market economy, as well as its open, efficient and fair business environment.”
The government cited its free port status, zero tariffs and a simplified tax system with low rates as part of the region’s economic model. These features are presented as the foundation for a business and investment environment that connects the Chinese market to the international economy.
Sources: thestandard.com.hk