The Government today welcomed the Fraser Institute’s ranking of Hong Kong as the world's freest economy, saying the decision recognises the city’s steadfast commitment to building a free economy with a level playing field.

Hong Kong has held the top rank since the inception of the Fraser Institute’s report. Among the latest report's five areas of assessment, Hong Kong ranked first in "Freedom to Trade Internationally" and "Regulation".

Noting that the Government and the community have been determined to uphold and defend the rule of law, the Government said it is with regret that the institute pre-empts lower future scores in this area with biased comments and unfair speculation based on selective ungrounded views.

The rights to freedom of expression and of peaceful assembly are well-protected in Hong Kong under the Basic Law but these rights and freedoms are subject to restrictions as prescribed by law and necessary in the interests of, for example, public order.

Over the past year, Hong Kong experienced social turmoil, with the stable law and order situation being severely challenged. Police have the duty to adopt lawful measures to maintain public safety and order, as well as safeguard people’s life and property.

On the enactment of the National Security Law and relevant enforcement actions mentioned in the report, the Government reiterated that safeguarding national security through legislation is in line with international practice.

The National Security Law is enacted to ensure the full and resolute implementation of “one country, two systems”, safeguard national security, and prevent, suppress and impose punishment for offences endangering national security.

Its enactment also maintains the prosperity and stability of the Hong Kong Special Administrative Region as well as protects the lawful rights and interests of its residents.

The Government noted that free market principles have long been essential considerations of its policies and the cornerstone of the Hong Kong economy, adding that it is fully committed to upholding the city's institutional strengths.

These strengths include the rule of law and independence of the judiciary, a free trade and investment regime, a simple and low tax system, a favourable business environment and an efficient government.

They have provided a consistent and conducive environment for businesses to thrive, and enabled our economy to prosper, the Government added.