The Heritage Foundation’s ‘2011 Index of Economic Freedom’, covering 193 countries, has ranked Hong Kong as the world’s freest economy for the 17th consecutive year since the index was first published in 1995.
Singapore and Australia remain second and third, matching last year’s index. Of the other Greater-China economies, it was pointed out that the Mainland ranked only 135th, up five places, while Taiwan ranked 25th, up two places.
Hong Kong scored a rating of 89.7 in the index, well above the world average of 59.7. Of the 10 economic freedom factors assessed, Hong Kong ranked first in financial and trade freedom, second in investment freedom and property rights, and third in business and monetary freedom.
The Heritage Foundation recognized Hong Kong’s sound fiscal management, which helped the city weather the global economic downturn. It further complimented Hong Kong for its effective legal and regulatory frameworks and openness to global commerce, while the city’s overall macroeconomic stability was said to minimize uncertainty.
It said Hong Kong has maintained its status as Asia’s second-largest destination for foreign direct investment, trailing only Mainland China. It also noted Hong Kong’s economic interaction with the Mainland has become more intense and sophisticated, chiefly through strengthened financial linkages.
Welcoming the Heritage Foundation’s high regard for Hong Kong, the government said that it is determined to uphold economic freedom in the city, which it considers to be the cornerstone of sustained economic stability, growth and prosperity. It added that it sees its role as that of a market facilitator to provide a business-friendly environment, with an appropriate regulatory regime to ensure the integrity and smooth functioning of a free market. Its strategy is to remove impediments to industries tapping into new markets, and will adhere to the 'big market, small government' principle.
Singapore and Australia remain second and third, matching last year’s index. Of the other Greater-China economies, it was pointed out that the Mainland ranked only 135th, up five places, while Taiwan ranked 25th, up two places.
Hong Kong scored a rating of 89.7 in the index, well above the world average of 59.7. Of the 10 economic freedom factors assessed, Hong Kong ranked first in financial and trade freedom, second in investment freedom and property rights, and third in business and monetary freedom.
The Heritage Foundation recognized Hong Kong’s sound fiscal management, which helped the city weather the global economic downturn. It further complimented Hong Kong for its effective legal and regulatory frameworks and openness to global commerce, while the city’s overall macroeconomic stability was said to minimize uncertainty.
It said Hong Kong has maintained its status as Asia’s second-largest destination for foreign direct investment, trailing only Mainland China. It also noted Hong Kong’s economic interaction with the Mainland has become more intense and sophisticated, chiefly through strengthened financial linkages.
Welcoming the Heritage Foundation’s high regard for Hong Kong, the government said that it is determined to uphold economic freedom in the city, which it considers to be the cornerstone of sustained economic stability, growth and prosperity. It added that it sees its role as that of a market facilitator to provide a business-friendly environment, with an appropriate regulatory regime to ensure the integrity and smooth functioning of a free market. Its strategy is to remove impediments to industries tapping into new markets, and will adhere to the 'big market, small government' principle.
