Macau: SARM has 21st freest economy in the world

14 January 2009

Macau, China, 14 Jan – Macau appeared for the first time in the Index of Economic Freedom for 2009 drawn up by the US Heritage Foundation and was ranked 21st out of a total of 179 countries and territories, in a list once again headed by Hong Kong, according to news agency MacauNews.

The study measures 10 specific factors, and Macau achieved its highest scores in the categories of government, freedom of trade, monetary freedom, investment and financial freedom, amongst others.

According to the foundation, Macau has a free market economic system that is open and dynamic, which has high levels of effectiveness in operational terms and is modern, for which reason both foreign investors and local traders can enjoy the same conditions whilst carrying out their business and, out of all the sectors, the financial sector is the most modern and competitive.

In the Asia-Pacific region, Macau followed Hong Kong, Singapore, Australia, New Zealand and Japan, classified as a region with “relative freedom,” with a score of 72 percent.

In terms of country’s with Portuguese as an official language, Portugal (53rd place with 64.9 percent) and Cape Verde (77th place with 61.3 percent), where the only ones to appear in the top 100, with Sao Tome and Principe seeing the worst classification in 170th with a score of 43.8 percent.

Brazil was ranked 105th in the survey with 56.7 percent, followed by Mozambique (113th place with 55.7 percent), East Timor (149th place with 50.5 percent), Angola (162nd with 47 percent) and Guinea Bissau in 165th place with 45.4 percent.

The Heritage Foundation considers economic freedom to be closely linked to economic performance, and thus “per capita” income are significantly higher in free economic systems.

In the 2009 report the “per capita” incomes of the systems classified as being “free” or “relatively free” are higher than the average level of all the other countries and territories. (macauhub)