IMD World Competitiveness Center releases World Competitiveness Rankings, with Singapore replacing the US for the top spot, while Hong Kong remaining the second place.

According to the report, Singapore’s rise to the top was driven by its advanced technological infrastructure, the availability of skilled labor, favorable immigration laws, and efficient ways to set up new businesses. Hong Kong SAR held on to the second place, helped by a benign tax and business policy environment and access to business finance. The slipped ranking of the US slip from the top to the third place reveals that the simulation to economy by the tax policies were fading.

The competitiveness of Asia-Pacific region improves continuously, with 11 out of 14 economies either improving or holding their ground. Competitiveness across Europe has struggled to gain ground with most economies on the decline or standing still.

The report incorporates 235 indicators from each of the 63 ranked economies, and give scores according to four categorical criteria: economic performance, infrastructure, government efficiency and business efficiency.