Index of Economic Freedom is the measure of jurisdiction allowed to countries against each other in terms of various factors like the tax treatment, ease of setting up business and trading, effectiveness of the judicial process, etc. These parameters are then evaluated and given weightage according to their importance to arrive at a particular score or rank. This rank determines the favourability or preference towards a country and vice versa.
Who publishes the Index of Economic Freedom?
This index is annually published by the Heritage Foundation and Wall Street Journal. In 2021, India ranked 26th out of the 40 Asia-Pacific countries being contested in the index. In 2022, India ranked 27th among the 39 countries ranked in this category.