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HONG KONG: The special administrative region has been rated the freest economy in the world for the 13th year in a row by the Heritage Foundation and the Wall Street Journal.

Scoring 89.29 out of 100 points, Hong Kong stayed well clear of closest rival Singapore, which notched up 85.65 points. Although its tally is down 1.6 points from last year due to a new tabulation system, Hong Kong still commands a hefty lead globally.

The SAR scores the highest marks in five of the 10 factors of the freedom index and is on a dead heat with Singapore in two of the indicators.

Two of the world's fastest-growing economies, India and the Chinese mainland, ranked 104th and 119th, the study said.

The SAR government welcomed the news. "We will study the report carefully and will strive to preserve fervently those strong aspects of our economic freedom, whilst enhancing those other aspects where there is room for further improvement," said Financial Secretary Henry Tang.

According to the editors, this year's index, which involves 157 economies, provides an even more precise snapshot of economic freedom than its predecessors. It uses a new methodology that draws upon the best and latest information, including data only recently available from the World Bank.

"Hong Kong is clearly blazing a trail for others to follow," said Time Kane, director of the Center for International Trade and Economics at the Foundation and a co-author of the index. "Although Hong Kong's result falls short of last year due to a new scoring system, Hong Kong is in fact moving forward," he added.

But the SAR is not totally free from worries, Mary Kissel, editorial page editor of The Wall Street Journal Asia, said. "The government's attempt to legislate for minimum wage is a kind of market intervention and will create unemployment like what happened in other countries," she said.

Tang said the government "remains firmly committed to maintaining Hong Kong as a free economy, with maximum scope being accorded to the private sector".

(China Daily 01/17/2007 page1)