Officials and business expert have lauded Hong Kong’s entrenched status, impeccable strengths and bright future under the “one country, two systems” principle, after the city regained pride of place in the global economic freedom league table.

The financial hub reclaimed its title as the world’s freest economy, rising one spot from last year to edge out Singapore, according to the Canadian think tank Fraser Institute’s Economic Freedom of the World 2024 Annual Report released on Wednesday.

Since its reunification with the motherland, Hong Kong has maintained an entrenched status as an international financial, shipping and trade center, known for its world-class free and open business environment. The city has for years topped the league table as the world’s freest economy and one of the most competitive regions in many international organization-compiled rankings, Chinese Foreign Ministry Spokesperson Mao Ning told a news conference on Thursday.

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This comes as a living embodiment of the high recognition from the international community on the city’s unique position, impeccable strengths and development prospects under the “one country, two systems” principle, Mao noted.

With a rosier future ahead, Hong Kong opens its arms wider for business communities from all over the world, with the aspiration and foresight, to seize the opportunity and share the prosperity, Mao stressed.

The metropolis topped 165 economies in “freedom to trade internationally” and “regulation”, while its ranking in “sound money” climbed to third place globally.

Hong Kong Chief Executive John Lee Ka-chiu said in a radio show on Thursday morning that the latest ranking underscores the effectiveness of related policies, enabling the market to develop freely under sensible regulation.

“Despite a lot of negative media news, Hong Kong remains very much a free economy with a strong legal framework and financial system, and it was interesting to see that last year’s result was also revised to show Hong Kong had actually maintained the top spot in 2023 as well in retrospect,” said Lynn Song Lin, Hong Kong-based chief economist for Greater China at European bank ING.

“While we should not take Hong Kong’s key strengths in regulation, freedom to trade internationally and sound money for granted, there is no reason why these areas of strength should not continue into the foreseeable future,” he added.

Numbers speak volumes. More than 9,000 overseas and Chinese mainland firms are now based in Hong Kong, and the city is wooing more international businesses and professionals.

Since late 2022, more than 100 high-profile tech companies from around the globe have decided to establish or expand their businesses in Hong Kong, which will invest over HK$50 billion ($6.43 billion) in the city and create 15,000 jobs.

In the first nine months of this year, InvestHK — a government department responsible for attracting direct investment from outside of Hong Kong — has facilitated the establishment or expansion of 470 mainland and foreign companies in the city, a 57 percent increase year-on-year.

On the talent front, from the end of 2022 to September this year, over 380,000 applications were received under various talent schemes, with nearly 240,000 approvals. About 160,000 applicants have moved to Hong Kong.

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“Hong Kong’s free market and premier business environment are attributable to our distinctive institutional strengths of the ‘one country, two systems’ arrangement,” a spokesperson for the Hong Kong Special Administrative Region government said in a statement.

In the latest economic freedom report, Switzerland, New Zealand, and the United States secured the third, fourth, and fifth positions, respectively.

Though the “Hong Kong versus Singapore” storyline makes for a nice topic for debate, Song said he believes there is plenty of room for both to thrive in their respective areas of strength.

Contact the writers at sophialuo@chinadailyhk.com, irisli@chinadailyhk.com