Hong Kong has advanced to become the world's second most competitive economy, according to the 2026 World Competitiveness Ranking released today by the International Institute for Management Development (IMD). This marks Hong Kong's highest position since 2019 and continues a three-year upward trend.
The HKSAR Government spokesperson welcomed the report, stating that the World Competitiveness Yearbook (WCY) 2026 reaffirms Hong Kong's status as a leading global economy. The improvement sustains the strong trajectory from 2024 and 2025.
IMD noted that amid rising geopolitical tensions, competitive advantage hinges on credible institutions, predictable rules, enforceable commitments, and public trust. Hong Kong's rise reflects sustained performance across all four competitiveness factors measured. It ranks second in "Government efficiency" and third in "Business efficiency," while "Infrastructure" and "Economic performance" rank eighth and 11th respectively.
Among sub-factors, Hong Kong tops the rankings in "Tax policy" and "Business legislation," ranks second in "Finance," third in "International trade," "International investment," "Management practices," and "Education," and fourth in "Public finance" and "Basic infrastructure." The spokesperson highlighted that Hong Kong's second-place ranking in "Government efficiency" reflects the government's efforts to promote free, open, stable, and business-friendly policies, as well as international trust in its legal and regulatory environment.
Hong Kong's "Business efficiency" ranking of third globally demonstrates strong support from its robust financial ecosystem and alignment with international best standards. Amid geopolitical shifts, Hong Kong's connectivity to both Mainland China and the world under the "one country, two systems" principle, combined with sound institutions and sustained innovation investments, positions it as a "value hub" offering security and growth opportunities.
Hong Kong has also excelled in other international rankings for economy, finance, and talent. The International Monetary Fund has given positive recognition, and major credit rating agencies have reaffirmed Hong Kong's credit ratings with a 'stable' outlook. The spokesperson noted that these achievements align with the WCY 2026 results.
Currently, Hong Kong is formulating its first Five-Year Plan to align with the National 15th Five-Year Plan. The spokesperson emphasized that with the country's support, the HKSAR Government will strengthen its role as a "super connector" and "super value-adder" to integrate into national development, achieve high-quality growth, and create new opportunities for global investors and enterprises.
