Daily Management Review

London remains the largest financial center of the world


London remains on the first place in the list of the largest financial centers of the world, despite the decision of the UK to leave the EU. This is stated in a review by the financial consulting company Z/Yen Group Ltd, which is calculated every six months by the indicator Global Financial Centers Index (GFCI).

Jon Sullivan
Jon Sullivan
Meanwhile, New York retained the second place, but sharply reduced the gap from the British capital - now there’s only one point between them.

The third place in the list was taken by Hong Kong, which is increasing its lead over Singapore (4th place). Tokyo is on the 5th line. The top ten also included Shanghai, Toronto, San Francisco, Sydney and Boston. Zurich and Beijing dropped out of the top 10.

In general, Z/Yen experts say that confidence in leading international financial centers is climbing up as the ratings of the top 25 are growing. At the same time, the indicators of confidence in the centers on the last 50 positions are decreasing.

Financial centers in Europe

Z/Yen considers Zurich (16th in the world) next to London by importance among the financial centers of Western Europe. Frankfurt is on the third place in the region and on the 20th in the world. However, experts continue to expect that the role of these cities will grow against the backdrop of Brexit and the gradual loss of leadership by London.

North American cities improved significantly, except for Washington, which dropped 20 places at once, and Montreal, which moved one position down. San Francisco added 9 positions and hit the top ten, Chicago - 10 positions, raising to the 14th place, Calgary - 33, to 38th. 

Many financial centers in Eastern Europe and Central Asia have shown a negative trend. Tallinn and Riga lost 30 positions in the rating. At the same time, Moscow, Cyprus and Istanbul improved the position on the list, and Astana and Baku entered it as new participants. Warsaw is recognized as the leading financial center in Eastern Europe (45th in the world, minus 9 positions in the rating).

Dubai retains the first line in the list of the largest financial centers of the Middle East, followed by Abu Dhabi (19th and 25th places, respectively). In Africa, the leader is Casablanca (32nd in the world), in Latin America - Cayman (22nd) and Bermuda (36th) islands.

The index of the world financial centers was first published in 2007. It is updated every six months (the current issue became the 22nd in a row) based on a survey of more than 3 thousand professionals. The rating takes into account five groups of indicators (total 102 individual factors): business environment, finance, infrastructure, human capital and reputation. In total, Z/Yen considered when compiling a list of 96 cities.

source: thesun.co.uk