The complexity of running a business and setting them up is an important consideration for wealth managers, banks and non-financial companies in weighing up the pros and cons of particular jurisdictions.

A measure of how complicated it is for firms to do business around the world finds that operating in Singapore became slightly more complex last year as regulators tightened compliance demands. Hong Kong’s complexity score was unchanged, according to the Global Business Complexity Index (GBCI) by TMF Group.

In its 12th edition, the GBCI analyses 292 indicators across 79 jurisdictions, accounting for 94 per cent of global GDP and 95 per cent of net Foreign Direct Investment (FDI) flows. The report explores the ease of establishing and operating businesses, identifying key trends shaping global trade corridors, supply chains and workforce mobility. 

The jurisdiction ranked first as the most complex this year is Greece, and the jurisdiction ranked 79th is the least complex – the Cayman Islands.

In Asia, Singapore’s 48th position in the index this year marks a slight shift from its 47th ranking in 2024, reflecting new compliance demands amid ongoing efforts to future-proof its regulatory and trade frameworks. Hong Kong is in 76th place for 2024, TMF Group, which provides administration services, said.

Other low-complexity jurisdictions are Denmark, New Zealand, Hong Kong, Jersey, the Netherlands, Jamaica, the British Virgin Islands and Curacao. 

The US gets a score of 64, while Switzerland stands at 52, the United Arab Emirates at 39, Germany at 34, and the UK at 68.

Such information can be useful to private banks, wealth managers, advisors to HNW clients and others about the relative merits of jurisdictions as places in which to do business, book clients, and develop strategy.