PHL up 6 notches in global economic freedom index

The Philippines has shown progress in the global ranking of economies by the Washington-based think tank Heritage Foundation.

In the foundation's 2016 Economic Freedom Index, the Philippines rose six notches to 70 from 76 in 2015. The index reflects the grading of 178 economies based on 10 independent factors.

The latest Philippine score is the highest received by the country since the foundation started the index in 1995, Presidential Spokesperson Edwin Lacierda noted in a separate statement Tuesday.

 “These results once again affirm our belief that good governance is good economics. Apart from serving as a strong testament to the effectiveness of reforms, this positive news clearly shows how the Philippines has been progressing under the Aquino administration,” the Palace official said.

The economic freedom covers four categories – rule of law, limited government, regulatory efficiency, and open markets.

The Philippines achieved an Economic Freedom Score of 63.1 out of a possible 100, and is classified as "moderately free."

In the survey, countries with a score of 80 or higher are classified as "free." Those scoring 70 to 79.9 are "mostly free," while counties garnering a score of 60 to 69.9 are "moderately free."

The "mostly unfree" are countries with a score of 50 to 59.9, and the "repressed" are those with a score of below 50.

Read more about Philippines Economy. See more from the 2016 Index.

Trade, business, corruption

In the Asia-Pacific region, the Philippines ranked 14th out of 43.

The Philippines improved in terms of business freedom (+7.7), freedom from corruption (+2.0), and trade freedom (+1.0)

The Heritage Foundation cited the Philippine economy has been growing steadily at a yearly rate of above 6 percent in the past five years and that the government has pursued legislative reforms to generate a broader-based job growth.

It noted, however, that poor infrastructure development remains a "serious impediment" to the economic growth.

"The Philippines welcomes the release of the 2016 Index of Economic Freedom. Its improvement by another six notches in the global ranking this year captures the sense of endless possibilities and potential that imbue the Philippine economy today..." Philippine Ambassador to the US Jose L. Cuisia, Jr. said in an emailed statement on Tuesday.

Cuisia cited the leadership of President Benigno Aquino III, the management of the economic managers, as well as the leadership of the rest of the Cabinet, "who have restored our government agencies to professionalism and institutional integrity."

He said the Philippine government will continue to work closely with the foundation in ensuring that the annual survey reflects the key developments that are actually affecting economic freedom in the country. – with Kathrina Charmaine Alvarez/Jon Viktor Cabuenas/VS, GMA News