Lorenzo Montanari
The 2025 International Property Rights Index (IPRI), now in its nineteenth edition, provides a unique perspective on the relationship between property rights and the economic and social performance of 126 countries, representing 98% of global GDP and 93% of the world’s population.
- What would the world look like without property rights?
- How can nations build and strengthen property rights and free-market economies without a fair and transparent legal and political environment?
- How could a company or start-up defend its trademarks and copyrights without a robust intellectual property system?
Over the years, the Index has consistently shown a direct and strong correlation between property rights and multiple dimensions of economic development. It includes correlations between IPRI scores and other measures of social and economic well-being, providing researchers and policymakers with valuable insights.
Notably, the IPRI demonstrates:
- Outstanding correlation (0.93) with the Al Preparedness Index, underscoring the importance of intellectual property rights and Artificial Intelligence.
- Outstanding correlation (0.92) with the Global Knowledge Index, emphasizing the appropriateness of a robust property rights system for the emerging society.
- Very strong correlation with the Global Social Progress Index (0.90) and with the Global Entrepreneurship Index (0.88), showing that property rights play a crucial role in driving free enterprise and its relevance for a virtuous ecosystem for human development.
These findings reaffirm what classical liberal thinkers have long argued: secure and enforceable property rights are indispensable to prosperity. They empower entrepreneurs, inventors, artists, and even those in the informal economy to unlock the value of their assets, act in their best interests, and contribute to economic growth. Where property rights are clear, accessible, and enforced, governance improves, innovation thrives, and even environmental stewardship benefits. Property rights are not merely an economic pillar but a human right, enshrined in Article 17 of the Universal Declaration of Human Rights.
This Index serves as a vital tool for policymakers and the business community to understand how the three pillars of the property rights ecosystem — Legal and Political Environment, Physical Property Rights, and Intellectual Property Rights — work together to attract investment and strengthen institutions. As Professor Thomas Sowell observed:
“Both free speech rights and property rights belong legally to individuals, but their real function is social, to benefit the vast numbers of people who do not themselves exercise these rights.”
On behalf of the Property Rights Alliance, I would like to express my deep gratitude to all those who contributed to the development of the 2025 IPRI.
Special appreciation to Dr. Sary Levy-Carciente (Ph.D.), the 2025 Hernando de Soto Fellow and principal author of this year’s Index.
Case Study Authors:
- The IP Compass: A Strategic Guide for EU Policymakers Navigating Innovation and Global Competition – Dr. Matthias Bauer & Dyuti Pandya, ECIPE (Belgium)
- Expropriation of Property without Compensation: The Case of South Africa and International Worst Practice – Martin van Staden, Free Market Foundation (South Africa)
- Digital Transformation of the Torrens System: Policy Insights from Australia’s Transition to an Electronic Conveyancing System – Dr. Anne C. Pickering, Australian Catholic University (Australia)
- Administrative Barriers as De Facto Expropriation: How Eviction Protocols Undermine Property Rights in Guatemala – María Andrea Cáceres & Jorge Gabriel Jimenez, Observatorio de Derechos de Propiedad (Guatemala)
- Private Property Is Necessary for Environmental Sustainability in the Galápagos Islands – Prof. Francisco Zalles & Luis E. Loria, Free Galapagos (Ecuador)
- From Rule of Law to Rule by Lobby: The Battle for Property Rights in Costa Rica – Luis E. Loria & Ester Mendez, IDEAS Labs (Costa Rica)
I am also grateful to my colleagues Christopher Butler (Executive Director, Tholos Foundation) and Philip Thompson (IP & Trade Specialist) for their invaluable support and annual contributions to improving the Index.
Special thanks go to Caden Hubbs, PRA Associate, for his exceptional work reviewing the Index and crafting its communications strategy.
I am profoundly indebted to Hernando de Soto, whose intellectual leadership and personal encouragement continue to inspire this project and whose fellowship bears his name.
Finally, I wish to recognize Grover Norquist, President of Americans for Tax Reform and the Tholos Foundation, for his unwavering support of innovation, property rights, and intellectual property protection — in the United States and worldwide.