Chile Leads LatAm in Economic Freedom; Argentina Shows Progress

Chile leads Latin America in terms of economic freedom, according to a study by US thinktank Heritage Foundation.

Uruguay follows closely behind, while no Latin American country made it into the global top 10.

According to Heritage, greater economic freedom correlates with higher income levels, individual autonomy, and stronger human dignity.

A standout in this year’s report is Argentina, which climbed from 145th to 124th place globally. Though still facing capital controls and other restrictions, the country moved out of the “repressed” category following economic reforms under President Javier Milei. His administration’s fiscal and regulatory changes have been recognized for spurring meaningful improvements.

Other key Latin American economies saw mixed results. Brazil ranked 117th, Mexico 80th, Colombia 89th, and Peru 54th. Paraguay marked one of the most significant leaps, moving from 81st to 59th globally in just one year.

Heritage defines economic freedom as the ability of individuals to control their labor and property, emphasizing personal choice and limited government intervention. The think tank argues that such freedom is essential for prosperity and societal well-being.

At the bottom of the global ranking, Cuba and Venezuela remain among the world’s most economically repressed nations, with only North Korea scoring worse. Venezuela, under Nicolás Maduro’s leadership, was ranked third from last globally.

The Index evaluated 180 countries on 12 criteria grouped into four categories: rule of law, government size, regulatory efficiency, and market openness.