Hong Kong ranks second in global competitiveness, best performance in seven years

Hong Kong has climbed to second place in the World Competitiveness Yearbook 2026, marking its strongest performance in seven years, according to a report released by the Switzerland-based International Institute for Management Development (IMD). The city advanced one position from the previous year, trailing only Singapore among 70 economies surveyed. This ranking matches Hong Kong's second-place position in 2019 and represents a significant rebound from 2023 when it ranked seventh. The city was ranked first globally in 2017.

The IMD's report attributes Hong Kong's rise to three consecutive years of improvement and sustained performance across four main competitiveness factors: government efficiency, infrastructure, economic performance, and business efficiency. Hong Kong achieved second-place globally in government efficiency and third in business efficiency. Among specific sub-factors, the city topped rankings in tax policy and business legislation, secured second place in finance, and ranked third in international trade, international investment, management practices, and education.

A spokesperson for the Hong Kong Special Administrative Region government emphasized that the ranking reinforces Hong Kong's position as a "value hub" offering both security and growth opportunities amid evolving geopolitical dynamics. The spokesperson pointed to solid credit rating results and recognition from the International Monetary Fund regarding Hong Kong's resilient economic growth and financial system. The IMD noted that Hong Kong's rise reinforced the dominance of Asian economies at the top of global competitiveness rankings. The government indicated that Hong Kong's first five-year plan will create new opportunities for global investors and enterprises.