In this article, we will be taking a look at the 25 freest countries in the world. To skip our detailed analysis of the freest countries in the world, you can go directly to see the 5 Freest Countries In the World.
Economists, including those working at the United Nations Development Programme, have established that it is not just economic indicators such as GDP per capita or the Consumer Price Index that are needed to be taken into account when judging the development and progression of a country. The UNDP's Human Development Report Office releases indices such as the Human Development Index and the Gender Inequality Index each year, where all nations of the world are ranked in factors that affect the everyday lives of the population. Some prominent companies that are working towards inclusivity and diversity include Apple Inc. (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), and Microsoft Corporation (NASDAQ:MSFT).
One of the most significant factors that influence an individual's quality of life is freedom, which is considered to be an inherent right for each individual. This freedom consists of personal freedom as well as economic freedom as individuals need the liberty to make choices along with the means to make choices. These choices will include freedom of religion, freedom of speech, freedom of identity, freedom of movement, and many more.
One way of judging freedom is by looking at the freedom of the press. According to a UNESCO report, 455 journalists were killed between 2016 and 2021 during their job. Another Reuters report in 2021 pointed out that violations of religious freedom and persecution are actively happening in more than 25 countries. North Korea has been given a score of 3 out of 100 by the Freedom House based on the political rights and civil liberties provided to the citizens. Amnesty International has also called out Russia for restricting freedom of expression and assembly repeatedly. The country has passed a new law according to which using the term "war" for the Ukrainian invasion can lead to 15 years in jail.
On the other hand, some countries have taken progressively larger steps to increase the rights and freedoms granted to people living within their territories. The World Press Freedom Index is a ranking established by Reporters Without Borders and highly ranks countries such as Norway, Sweden, Switzerland, and Denmark for heavily protecting the right of free speech and allowing liberties to their journalists and press members.
Let's now take a look at the 25 freest countries in the world.
Our Methodology
The Cato Institute in the United States and the Fraser Institute in Canada worked together to create the Human Freedom Index Report which takes 165 countries and territories into account and uses 82 metrics to use as indicators to judge human freedom. The two major categories it creates are personal freedom and economic freedom.
In this article, we make use of the personal freedom scores given by this report which take into account 7 main criteria that consist of the rule of law, security and safety, movement, freedom of religion, freedom of expression, and metrics regarding civil society.
We combine the personal freedom score with just the Business Freedom Index scores developed by The Heritage Foundation and take an average of the two scores according to which we have ranked the freest countries. Due to our use of this method, countries that have balanced high scores in both indexes have been ranked higher than countries that might have really high Personal Freedom Index scores but lower Business Freedom Index scores and vise versa.
The reason for using business freedom scores and not the economic freedom scores that are a part of the Human Freedom Index report is that the economic freedom scores include metrics that are affected significantly by the macroeconomic conditions of the countries such as international relations and the size of the government. All these metrics are given equal weightage when this may not actually be the case in determining the freedom levels of a country.
Personal Freedom Index score 2022: 8.51
Business Freedom Index score 2022: 8
Average score: 8.26
Slovenia is a central European country that attracts tourists year-round because of its scenery and ski resorts. It is a parliamentary republic whose constitution guarantees the freedom of the press, religious freedom, and an independent judiciary. As a member nation of the European Union, it follows mandates set by the EU regarding human rights and liberties. As of 022, it has a Human Freedom Index score of 7.88.
Personal Freedom Index score 2022: 8.8
Business Freedom Index score 2022: 7.8
Average score: 8.3
Japan has established itself as one of the most technically advanced nations, along with having one of the highest literacy rates, with enrollment rates reaching close to 100%. It provides complete freedom of speech constitutionally, and the community has recently shown active opposition to China interfering in religious matters. Japan ranked 10th in the 2022 Global Peace Index and also had a Human Freedom Index score of 8.39.
Personal Freedom Index ranking score: 8.72
Business Freedom Index ranking score: 7.9
Average score: 8.31
The United Kingdom is an umbrella for England, Scotland, Wales, and Ireland. It has a significant proportion of ethnic minorities, which were up to 18% of the total population in 2021. Freedom of religion, expression, and mobility are strongly protected by the Human Rights Act of 1998. In 2019, it was ranked 8th in the world in the Ease of Doing Business report and has a Human Freedom Index score of 8.30 as of 2022.
Personal Freedom Index score 2022: 8.75
Business Freedom Index score 2022: 8.1
Average score: 8.43
The Czech Republic is a parliamentary democracy that lays emphasis on political and civil rights. It has a very low unemployment rate of 2.9% along with an economic freedom score of 74.4 which puts it as the 21st freest economy in the world. It has a Human Freedom Index score of 8.33.
Personal Freedom Index score 2022: 8.95
Business Freedom Index score 2022: 7.9
Average score: 8.43
Canada has been one of the most accepting countries in the world, with people from South Asian and Chinese ethnicities accounting for nearly 12% of the total population and a total minority population of around 30%. It is also host to over 800,000 international students. As of 2022, it has a Human Freedom Index score of 8.47.
Personal Freedom Index score 2022: 8.76
Business Freedom Index score 2022: 8.3
Average score: 8.53
As a member of the European Union, human rights are well-respected in Austria and plenty of efforts are made to increase the diversity of the population. The Global Peace Index ranked Austria as the fifth most peaceful country globally. It has a Human Freedom Index score of 8.26 as of 2022.
A number of companies like Apple Inc. (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), and Microsoft Corporation (NASDAQ:MSFT) operate freely in Austria.
Personal Freedom Index score 2022: 8.89
Business Freedom Index score 2022: 8.2
Average score: 8.55
The constitution of Latvia separates church from state and allows complete freedom of religion, thought, and conscience constitutionally. The country takes active measures to improve the education rates of children of ethnic minorities. In 2022, Latvia had a Human Freedom Index score of 8.42.
Personal Freedom Index score 2022: 8.6
Business Freedom Index score 2022: 8.5
Average score: 8.55
While it is neighboring North Korea, one of the most constraining nations of the world, South Korea has remained open to the rest of the world. The country ranks 16th in the 2021 World Economic Forum's Global Competitiveness Index, which measures a country's competitiveness based on various indicators such as infrastructure, institutions, and business dynamism.
Personal Freedom Index score 2022: 9.09
Business Freedom Index score 2022: 8.1
Average score: 8.60
In the Human Freedom Index report of 2020, New Zealand was ranked first for personal freedom, fourth for civil freedom, and eighth for economic freedom. The country also has a low corruption rate, with a score of 88 out of 100 in the 2021 Corruption Perceptions Index which incentivizes investors to pitch in money without worrying about political malpractice or instability. As of 2022, it had a Human Freedom Index score of 8.75.
Personal Freedom Index score 2022: 8.92
Business Freedom Index score 2022: 8.3
Average score: 8.61
The constitution of Belgium guarantees freedom of speech and freedom of the press. According to the 2021 Best Countries report by U.S. News, Belgians rank 11th in terms of caring about human rights. It has a Human Freedom Index score of 8.27 as of 2022.
Personal Freedom Index score 2022: 8.42
Business Freedom Index score 2022: 8.8
Average score: 8.61
The United States prides itself on being a free country and the people benefit from a vibrant political system as well as strong protections of freedom of expression and religious beliefs. Furthermore, the diversity in the United States is constantly increasing and it is estimated that by 2044 more than 50% of all Americans will belong to an ethnic minority. While there is room for improvement in gender parity, as of 2022, women make up 46.6% of the overall workforce and makeup 8% of the Fortune 500 CEO population. It is host to many movements against discrimination such as the 'Black Lives Matter' and 'Me Too' movements. It has a Human Freedom Index score of 8.23 as of 2022.
The United States' ease of business has allowed it to be the birthplace of large multinational companies including Apple Inc. (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), and Microsoft Corporation (NASDAQ:MSFT).
Personal Freedom Index score 2022: 8.85
Business Freedom Index score 2022: 8.5
Average score: 8.68
Australia ranks 5th globally in terms of the Human Development Index of 2022. The country ranks 12th in the 2021 Rule of Law Index, which measures the extent to which a country's laws are enforced and upheld. The freedom of religion and expression is protected for everyone in the country. It ranks 9th in GDP per Capita globally as well which enables it to rank consistently high in terms of economic freedom. The government also ensures the freedom of opinion without interference along with religious freedom and property rights. As of 2022, it has a Human Freedom Index score of 8.51.
Personal Freedom Index score 2022: 8.98
Business Freedom Index score 2022: 8.4
Average score: 8.69
Taiwan is a liberal democracy and the 21st largest economy in the world. It became the first country in Asia to legalize same-sex marriages in 2019. Aside from providing religious and expressive freedom, in the 2021 World Press Freedom Index report, Taiwan ranked 38th. It had a Human Freedom Index score of 8.44 in 2022.
Personal Freedom Index score 2022: 8.71
Business Freedom Index score 2022: 8.7
Average score: 8.71
Lithuania is a constitutional democracy and consistently ranks very highly in economic freedom across multiple reports. The Act of Independence of Lithuania establishes a democratic system along with the freedom of speech and religion. Efforts are being made to make the country more accepting of the LGBTQI+ community as well. The country has a Human Freedom Index score of 8.73, ranking 17th globally.
Personal Freedom Index score 2022: 8.81
Business Freedom Index score 2022: 8.7
Average score: 8.76
Germany's political system is influenced by its totalitarian past due to which the constitution is designed to prevent authoritarianism. Freedom of expression is a particular focus in the constitution and the media has been given large amounts of independence. Furthermore, any support of Nazism or denial of the Holocaust is completely illegal in Germany because the nation sees the event as an outright infringement of human rights. It has an economic freedom ranking of 16th in the world and a Human Freedom Index score of 8.33 as of 2022.
Personal Freedom Index score 2022: 9.29
Business Freedom Index score 2022: 8.3
Average score: 8.80
Iceland ranks 1st in the 2021 World Economic Forum's Global Gender Gap Report, which measures gender equality based on various indicators such as economic participation, educational attainment, and political empowerment. It is also ranked highly in other metrics including the Human Development Index where it is ranked 3rd. It is ranked 7th in terms of the Human Freedom Index with a score of 8.64.
Personal Freedom Index score 2022: 9.35
Business Freedom Index score 2022: 8.4
Average score: 8.88
Along with ranking the highest in the Human Freedom Index, Switzerland ranks first in the 2021 Global Innovation Index which measures innovation performance in areas such as research and development, human capital, and creative outputs. Switzerland also has a high GDP per capita, at over $81,000 in 2021, and a low unemployment rate of 2.6% in 2020.
Personal Freedom Index score 2022: 9.12
Business Freedom Index score 2022: 8.8
Average score: 8.96
The Netherlands has been one of the top-ranked countries according to all forms of rankings. It is in the top 10 countries in terms of the Human Development Index as well as the Human Freedom Index in which it has a score of 8.55. It is known for being one of the most progressive countries in the world when it comes to ethnic and sexual minorities, allowing same-sex marriage as well as adoption.
Personal Freedom Index score 2022: 9.45
Business Freedom Index score 2022: 8.5
Average score: 8.98
Sweden ranks first in the 2021 Good Country Index, which measures a country's contribution to the common good based on various indicators such as international peace and security, prosperity and equality, and health and well-being. It has remained neutral in historic wars and committed itself to human rights and public service to which a large percentage of spending goes historically. It is ranked 7th according to the Human Development Index and 6th by the Human Freedom Index with a score of 8.66.
Personal Freedom Index score 2022: 9.28
Business Freedom Index score 2022: 8.7
Average score: 8.99
Estonia has consistently ranked at the top of a number of indicators that point towards giving businesses, citizens, and investors a number of liberties. A large reason for this is having very strong democratic institutions and civil rights that extend to all ethnic, gender, and sexual minorities. The regulatory framework is conducive to entrepreneurship, as the country continues to lead all countries in Europe in terms of startups which includes 1,452 startups founded as of December 2022. In 2022, it had a Human Freedom Index score of 8.73.
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Disclosure: None. 25 Freest Countries In the World is originally published on Insider Monkey.
