The country kept the top slot for a second straight year in the annual list of 63 economies, which analyses their ability to generate prosperity. The factors behind Singapore's success include its strong economic performance, which stems from robust international trade and investment, employment and labor market measures.

IMD noted the relative ease of setting up business, the availability of skilled labor and cutting-edge technological infrastructure in Singapore. Stable performances in both Singapore's education system and technological infrastructure - telecommunications, Internet bandwidth speed and high-tech exports - also played key roles, it said.

Making up the top five after Singapore were Denmark, Switzerland, the Netherlands and Hong Kong (China).