Thanks to improvements in its business environment, Hong Kong has made its mark in being one of the most competitive economies in the world.
In an annual report by the International Institute for Management Development (IMD), Hong Kong beat Singapore and Malaysia to emerge as the second most competitive economy globally.
The report ranked the competitiveness of 61 economies around the world in various aspects. The four competitiveness factors assessed included economic performance, government efficiency, business efficiency and infrastructure.
Among the four competitiveness factors assessed, Hong Kong’s rankings in government efficiency and business efficiency both rose to first place, while that in infrastructure also climbed six places to the 15th.
“Hong Kong is highly competitive vis-à-vis most other economies in the world, especially in terms of government efficiency and business efficiency in which Hong Kong attains the top rank globally,” said Hong Kong’s financial secretary, John C Tsang, in a press release.
“This once again affirms the importance of our steadfast fiscal discipline, robust financial system, and favourable business environment.”
The USA remained at the top of the ranking as a result of its strong business efficiency and financial sector, its innovation drive and the effectiveness of its infrastructure, the report stated.
Singapore was in third place, right behind Hong Kong. Switzerland came in at fourth place, while Canada rounded up the top five.
Malaysia dropped two places from 2014, emerging at 14th place this year.
“A general analysis of the 2015 ranking shows that top countries are going back to the basics,” said Professor Arturo Bris, director of the IMD World Competitiveness Center.
“Productivity and efficiency are in the driver’s seat of the competitiveness wagon. Companies in those countries are increasing their efforts to minimize their environmental impact and provide a strong organisational structure for workforces to thrive.”
Here are the 15 most competitive countries in the world:
2) Hong Kong