Singapore dethrones Hong Kong as freest economy in the world

Citizens of free countries are said to enjoy incomes more than double the global average.

Singapore has dominated the world ranking of economic freedom as the government continues to improve the country’s regulatory environment, such as streamlining and modernising business frameworks, according to a report by research institution The Heritage Foundation.

Hong Kong came out as the second freest economy, followed by New Zealand and Australia in third and fourth place, respectively. Switzerland rounded out the top five.

The report said that citizens of free countries enjoy incomes that are more than double the global average and more than five times higher than in repressed economies.

People in economically free societies are also said to have a longer life span, have higher quality social goods such as education, and are better equipped with resources to practice an environmentally conscious lifestyle. 

The report noted that greater economic freedom correlates with a more effective democratic governance and stronger rule of law, as well as positive economic growth.

Expanded economic freedom has contributed to a doubling of world GDP in the years since the index debuted in 1995.