Canada Ranks 16th on Index of Economic Freedom 2023

Canada Ranks 16th on Index of Economic Freedom 2023

Canada Ranks 16th on Index of Economic Freedom 2023 cover infographic

This blog has been edited due to Bill C-59

Canada has again received top marks among its international peers, this time on the Heritage Foundation’s Index of Economic Freedom 2023.

Placing 16th overall out of 184 countries, Canada’s high ranking on the 29th annual version of the index is yet another friendly reminder of why our country is one of the most reliable supply sources for natural resources worldwide.

Here are the top 20 countries on the Index of Economic Freedom 2023 along with their corresponding scores out of 100, plus more on why Canada’s performance on such indices matters. Also see:

Index of Economic Freedom 2023: Top 20 Countries

Visual Capitalist - Index of Economic Freedom 2023

1- Singapore – 83.9

2- Switzerland – 83.8

3- Ireland – 82.0

4- Taiwan – 80.7

5- New Zealand – 78.9

6- Estonia – 78.6

7- Luxembourg – 78.4

8- Netherlands – 78.0

9- Denmark – 77.6

10- Sweden – 77.5

11- Finland – 77.1

12- Norway – 76.9

13- Australia – 74.8

14- Germany – 73.7

15- South Korea – 73.7

16- Canada – 73.7

17- Latvia – 72.8

18- Cyprus – 72.3

19- Iceland – 72.2

20- Lithuania – 72.2

About the Index

The Index of Economic Freedom is an annual guide published by The Heritage Foundation, a Washington D.C.-based think tank that measures economic freedom and opportunity worldwide, using 12 "freedom" indicators in 184 countries to evaluate and promote economic freedom, opportunity and prosperity.

The index answers five important questions to explain economic freedom and its importance to countries. Those include, and are defined by the index below.

What is economic freedom?

Economic freedom represents the essential human privilege to manage your labour and possessions. Within a society characterized by economic freedom, people have the liberty to engage in work, production, consumption, and investment however they please. Also, the government encourages free mobility of work, wealth and commodities, and refrains from coercion or constraint of liberty beyond the required extent to maintain and sustain liberty itself.

What are the benefits of economic freedom?

Economic freedom promotes greater prosperity. The Index of Economic Freedom underlines the beneficial correlation between such freedom and numerous social and economic objectives. Principles of economic freedom are closely tied to human development... healthier societies, greater economic wealth, poverty elimination, and democracy.

How is economic freedom evaluated?

The Heritage Foundation evaluates economic freedom using 12 specific factors, both quantitative and qualitative, which are divided into four key categories or pillars:

  1. Rule of Law: property rights, government integrity, judicial effectiveness
  2. Government Size: government spending, tax burden, fiscal health
  3. Regulatory Efficiency: business freedom, labour freedom, monetary freedom
  4. Open Markets: trade freedom, investment freedom, financial freedom

Each of these economic freedoms is assigned a score between 0 and 100. A country's overall economic freedom score is calculated by averaging the scores of these 12 freedoms, assigning equal weight to each indicator.

Canada’s Ranking Details Canada index of economic freedom ranking 2023 1

 index of economic freedom 2023 canada 2

Canada and the World: Comparisons

How does Canada match up to other countries globally with similar natural resources? Thankfully, the index makes it easy to compare major global exporters of the following commodities via its comparison tool, which generates a nifty chart.

Please note, Canada is shown in RED in the following charts.

Crude Oil

Canada vs. World - Index of Economic Freedom 2023 - Oil

Natural Gas

Canada vs. World - Index of Economic Freedom 2023 - natural gas

Critical Minerals

Canada vs. World - Index of Economic Freedom 2023 - critical minerals


Canada vs. World - Index of Economic Freedom 2023 - wheat

Sawn Wood

Canada vs. World - Index of Economic Freedom 2023 - forestry

Support Canadian Natural Resources

The Index of Economic Freedom draws a close relationship between exceptional records on social progress and human rights with overall economic freedom and prosperity.

Canada’s exceptional ranking on the index – and also when compared to other top global exporters of various natural resources – makes it clear why our country should be a choice supplier for the minerals, metals, energy, food and lumber that the world needs.

If you value reliable natural resource production, you support Canadian resources, full stop!

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