Changes in international business environment reflect the serious, intense and unprecedented challenges that the global economy faced last year, according to this year’s study by the Economist’s Intelligence Unit (EIU). There are, in fact, two main conclusions: on the one hand, China is a big “loser” due to uncertainty, tension with USA and weaker prospects, on the one hand, Eastern Europe has suffered greatly from the war in terms of the business opportunities that are provided to them. Contrary to the above, some countries Western Europe managed to balance, on the one hand, rising inflation and the crisis in the cost of living, and on the other hand, fiscal easing combined with tightening money-credit policy. The EIU now predicts that over the next five years, the countries with the best business environment will be Singapore (with an overall score of 8.7), Canada (8.45), Denmark (8.45), the United States (8.37) and Switzerland. (8.34 points).

The biggest “winners” compared to last year are Belgium and Sweden, two countries that have moved up seven and six places respectively in the year.

Ten of the top 20 countries with the best business environment are in Western Europe, where, while the short-term outlook is slim, the Recovery Fund is expected to support investments in digitalisation, green economy and energy transitions, and energy independence from Russia. . The biggest “winners” compared to last year are Belgium and Sweden, two countries that have moved up seven and six places respectively in the year. At the beginning of the year, Belgium set a clearer framework for foreign direct investment, which, combined with other policies and its location, is helping to attract domestic and foreign capital. Sweden, on the other hand, is showing higher levels of political and economic stability, according to the EIU. It is also one of the most technologically advanced economies and has made significant progress in moving away from polluting fossil fuels. And this means that he has the opportunity to respond to the transition to a green economy based on digitalization and environmental protection. By contrast, Europe’s biggest “loser” was Slovakia, which was saddled with monetary tightening as well as energy costs that burdened supply chains. Also among the “losers” are the EIU and Serbia, which has the lowest digital skills and the lowest participation in the labor market in the context of the Old Continent.

Singapore is predicted to cultivate for another year and have a better business environment over the next five years, while overall the attitude of the entire Asian continent towards trade is improving. Notable is the change in conditions in Vietnam, which jumped 12 positions in a year. Vietnam, like Singapore, has been favored by China’s trade policy, which is looking for alternatives to diversify its supply chain. However, China itself is the biggest loser internationally, dropping a total of 11 places since 2022. While the end of health care policies due to the pandemic is having a positive impact on companies with a presence in China, changes driven by static economic policy as well as rising costs are complicating the business environment, according to the Economist Intelligence Unit. and limit opportunities for international investors. Now, in conclusion, and for the next five years, the business environment of Malaysia, Thailand, Vietnam and India is seen as clearly improved compared to China.