Fraser Institute says global economic freedom has declined four years running, with Canada slipping from 9th to 18th

Global economic freedom has fallen four years in a row since the pandemic, according to the Fraser Institute's latest Economic Freedom of the World report. The 2025 annual report, which uses data through 2023, says the decline has erased nearly a decade of progress, though the institute notes that governments are beginning to reverse some COVID-era policies.

Canada dropped from 9th to 18th in the 2024 rankings. The institute attributes most of the fall to three of its five areas: a larger size of government, more regulation, and fewer freedoms to trade internationally. Canada's sound money score improved as inflation eased in 2024, which partly offset the losses.

The United States is also slipping. The institute's 2025 preliminary estimate shows a 0.12-point decline, which it ties to bigger government, weaker property rights and rule of law protections, and significant trade restrictions. Switzerland, Singapore and New Zealand rank ahead of the U.S. in the 2024 index, with Hong Kong still first, though the institute describes that position as declining.

The report also compares the freest countries with the least free. According to the institute, the freest quarter of countries have average incomes 6.9 times higher than the least free, and life expectancy is 14 years longer. Argentina is the report's standout gainer in 2024, rising 0.51 points, which the institute credits to Javier Milei's reforms.

The material includes no response from governments or independent researchers, and no critique of the index's methodology. The Fraser Institute is a think tank that advocates free-market policies, and the figures above are its own.