Iran ranked 170th among 177 countries in the Economic Freedom Index.

In its new report, the American Heritage Foundation reported a 4.8-point drop in Iran's economic freedom index in 2021 compared to the previous year.

According to the report, which was published on Tuesday, February 16, Iran ranks 170th among 177 countries in the world in terms of the Economic Freedom Index, with a score of 42.4.

This American institution ranks countries on an index of economic freedom between zero (worst) and 100 (best).

Iran has the worst economic freedom ranking among 177 countries surveyed by the Heritage Foundation, after North Korea, Venezuela, Cuba, Sudan, Zimbabwe, Burundi, and Eritrea. However, the status of several other countries, such as Afghanistan, Libya, Yemen, South Sudan, Iraq, and Yemen, is unclear.

This American institution has considered 12 criteria to measure the economic freedom of countries, including investment freedom, where Iran's score is only five, while the global average score is 57.

Iran's score in terms of financial freedom is also 10, while the global average for this index is 49.

Among the 12 criteria, Iran's situation is far below the global average in terms of property rights, judicial effectiveness, government commitments, and integrity.

The report adds that Iranians have the right to own property and start private businesses under the law, but powerful institutions such as the Revolutionary Guards restrict fair competition and entrepreneurial opportunities, and Iran's judiciary is not independent of the Supreme Leader: the quality and access to administrative services are also limited by "mismanagement, widespread corruption, and bribery," and opposition efforts to combat these phenomena are also met with repression.

Heritage's assessment shows that the best countries in terms of economic freedom are Singapore, Switzerland, Ireland and New Zealand.

However, the report says that the Economic Freedom of the World index has fallen the most in more than 25 years, with scores falling in half of the 12 measures of economic freedom worldwide. Among these countries, the United States has experienced a significant decline. While it was ranked fourth in the world in 1995, it has now fallen to 25th place.

In the case of Iran, Heritage's assessment shows that Iran has fallen about 8.1 places in terms of the Economic Freedom Index since 2017.

The report says that Iran's economy was one of the most advanced in the Middle East before the 2018 revolution, but has been weakened by "mismanagement, international sanctions, and government repression."

Heritage is not the only one that places Iran at the bottom of the table in terms of economic freedom.

In October of this year, the Canadian Fraser Institute, a think tank, classified Iran's economy among the world's closed economies in terms of economic freedom, announcing that Iran ranks 160th out of 165 countries in the world in this regard.

In that institute's study, only five countries—Zimbabwe, Algeria, Libya, Sudan, and Venezuela—rank lower than Iran.

Transparency International also says in its latest annual report, published on February 25, that Iran ranks 150th out of 180 countries in terms of the extent of financial corruption.

Source: Radio Farda