Yarn production at Logitex Co Ltd in Thai Binh Province. Viet Nam moved fastest in the EIU's Global Business Environment Rankings. — VNA/VNS Photo

The rankings, which measure the attractiveness of doing business in 82 countries and economies globally, showed Viet Nam witnessed the largest improvement in the business environment in the past year, followed by Thailand (10 places) and Belgium (six places).

The assessment is based on data collected throughout the year, considering factors such as global economic chains, inflation, cost of living, fiscal and monetary policy and economic growth.

Viet Nam’s rise was attributed to its favourable policies for foreign investment and its status as an appealing alternative market for firms pursuing a China+1 policy with supply chains in China and other Asian markets.

The country’s GDP exceeded US$400 billion for the first time in 2022, expanding by over 8 per cent and its foreign direct investment (FDI) capital increased by 13.7 per cent. The country’s constant inflow of FDI, robust industrial sector and revival of international tourism are expected to sustain Viet Nam’s GDP target of 6.5 per cent this year.

In the 2023 EIU rankings, Singapore retained its position as the world's best place to do business for the 15th consecutive year and will continue to be the best place to conduct business over the next five years.

Canada and Denmark shared second place.

Meanwhile, the countries that were most significantly downgraded include China, Bahrain, Chile, and Slovakia. China has the deepest drop globally, falling 11 places from a year earlier. — VNS