Top 10 Sustainable Economies in the World 2025: Check India’s Rank in Hinrich–IMD Sustainable Trade Index

Oct 18, 2025, 16:30 IST

The Sustainable Trade Index (STI) 2025, released by the Hinrich Foundation and IMD World Competitiveness Centre, ranks the United Kingdom as the most sustainable economy, followed by New Zealand and Australia. India stands at 23rd place, showing steady progress in renewable energy, digital trade, and sustainable development initiatives.

Top 10 Sustainable Economies in the World 2025: Check India’s Rank in Hinrich–IMD Sustainable Trade Index
Top 10 Sustainable Economies in the World 2025: Check India’s Rank in Hinrich–IMD Sustainable Trade Index

The Sustainable Trade Index (STI) 2025, jointly developed by the Hinrich Foundation and the IMD World Competitiveness Centre, assesses how nations integrate economic growth, social inclusion, and environmental sustainability into their trade and development policies.

The 2025 edition marks a significant shift in global trade thinking — from short-term profit maximisation to a model emphasising long-term resilience, inclusiveness, and sustainability.

Global Highlights

  • The United Kingdom has secured the top position in the Sustainable Economies countries for the first time which surpasses the New Zealand, which had dominating the consecutive three years the top positions.

  • South Korea and Hong Kong have made remarkable advances, signalling Asia’s growing commitment to sustainability-oriented economic policies.

What is the Methodology of the Sustainable Trade Index 2025?

The STI 2025 evaluates 30 major global economies based on three comprehensive pillars:

Pillar

Key Indicators

Economic Pillar

Trade diversity, foreign investment flows, and export sophistication.

Societal Pillar

Education quality, labour rights, gender and income equality.

Environmental Pillar

Carbon emission levels, renewable energy adoption, and ecological protection.

Each economy is assigned a composite score out of 100, reflecting its overall performance in integrating sustainability into global trade and competitiveness frameworks.

Top 10 Sustainable Economies in 2025

Rank

Countries (Economy)

STI Score

Economic Pillar

Societal Pillar

Environmental Pillar

1

United Kingdom

100

86.45

89.42

100

2

New Zealand

97.01

77.26

92.72

98.95

3

Australia

93.26

80.26

100

79.97

4

Singapore

90.01

99.51

86.63

66.56

5

South Korea

87.22

95.84

84.47

65.93

6

Hong Kong, SAR

83.79

100

65.49

72.78

7

Japan

83.48

67.81

78.54

91.21

8

Canada

80.45

74.4

96.75

59.38

9

United States

79.54

94.07

67.71

66.64

10

Taiwan

77.9

75.23

80.55

68.84

Source: Hinrich Foundation–IMD World Competitiveness Centre, Sustainable Trade Index 2025

Country-Wise Analysis

1. United Kingdom – Global Leader in Sustainable Trade

This year in 2025, United Kingdom has emerged as the most Sustainable Trading Nation, which has achieved a perfect environmental Score of 100. Its succes toward achieving the top position due to robust carbon neutrality target, progressive green finance mechanism and their strong focuses toward fair trade practises.

2. New Zealand – Model of Environmental Responsibility

Before 2025, New Zealand was consecutive three years at the top position of Sustainable Economies countries. Despite losing the top position, New Zealand has maintaind its environmental score of 98.95, which is reflecting its long-standing commitment to conservation, ethical exports, and renewable resource management.

3. Australia – Balancing Economy and Ecology

With the 93.26 score in Sustainable Trade Index 2025, Australia is at third position, which demonstrate a balance approach by integrating trade diversification with clean energy innovations and sustainable practices in the national economy.

4. Singapore – Economic Efficiency with a Green Vision

Singapore which is able to maintains a leading economic pillar score of 99.51 which make him as the Asia’s most open trading hub. Singapore generally make investments in digital trade, logistics modernisation, with green infrastructure that make the strengthen its sustainability credentials.

5. South Korea – Asia’s Rising Sustainability Star

South Korea that has shown the remarkable progress, by being the one of the most important Economic Pillar at global level by achieving 95.84 score with the driven by heavy investments in renewable technology, semiconductor sustainability, and education reforms that promote inclusive growth.

What is the India’s Performance in the Sustainable Trade Index 2025?

This year in 2025, India ranks 23rd out of 30 countries with a total score of 33.2, which reflects its gradual and steady growth with improvement in sustainable development.

Indias-standing-on-Sustainable-Trade-Index-2025

Source: Hinrich Foundation and IMD STI report 2025

Pillar

Score

Rank

Trend

Economic

60.0

18th

↓ Two spots

Societal

23.4

27th

↑ One spot

Environmental

37.4

28th

— Stable

  • India continues to perform strongly in the economic pillar, driven by expanding renewable energy capacity, manufacturing localisation, and the rise of digital trade ecosystems.

  • However, the report identifies social equity and environmental governance as key areas requiring policy acceleration to achieve a balanced, sustainable growth model.

Global Trends and Insights

  • The Sustainable Trade Index 2025 underscores a clear shift in global trade toward sustainability-centric competitiveness.

  • Nations investing in green technologies, education reforms, and inclusive economic models have performed consistently better.

  • The move from resilience to unilateralism signifies a broader reorientation of trade priorities toward self-sufficiency and long-term environmental responsibility.

Conclusion

The Sustainable Trade Index 2025 reflects a new era in global economic governance — one that values sustainability, inclusiveness, and resilience as core indicators of prosperity.
While the United Kingdom leads as a global sustainability benchmark, nations like India are steadily progressing toward integrating green growth and responsible trade into their development frameworks.

In the evolving landscape of international trade, sustainability is no longer optional but a defining pillar of future competitiveness and global leadership.

GK Facts at a Glance About sustainable economies Countries

  • Sustainable Trade Index (STI) is Released By: Hinrich Foundation & IMD World Competitiveness Centre

  • Top Ranking Country (2025): United Kingdom

  • What is the India’s Rank: 23rd (Score: 33.2)

  • Top 3 Global Economies Countries: United Kingdom, New Zealand, Australia

  • Key Assessment Pillars: Economic, Societal, Environmental

  • Purpose: To evaluate the balance between trade competitiveness and sustainable development

Prabhat Mishra
Prabhat Mishra

Content Writer

    Prabhat Mishra is an accomplished content creator with over 2 years of expertise in education, national and international news, and current affairs. A B.Tech graduate with extensive UPSC preparation, he has qualified for the UPPCS 2022 Mains and Bihar 68th Mains, showcasing his deep understanding of competitive exams.

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