CNBC ranks Rhode Island among the worst states for business in the U.S.

PROVIDENCE, R.I. — Rhode Island’s business ranking is in and it has fallen. Rhode Island has fallen further in CNBC’s “Top States for Business” rankings, landing at #46 overall, tied with Louisiana, in the 2025 report released Thursday morning.

This drop from last year’s 44th place further cements Rhode Island as the lowest-ranked state in New England.

The annual CNBC rankings are based on more than 135 metrics across 10 categories. Unfortunately, Rhode Island saw its scores decline in six of those categories:

    •    Economy: Dropped from 42nd to 45th (Grade: D-)

    •    Infrastructure: Fell from 32nd to 39th (Grade: D+)

    •    Business Friendliness: Slipped from 45th to 46th (Grade: D)

    •    Technology & Innovation: Plunged from 23rd to 33rd (Grade: D)

    •    Access to Capital: Down from 39 to 37th (Grade: D-)

    •    Cost of Living: From 36th to 42nd (Grade: D+)

The only significant improvement came in education, where Rhode Island jumped from 43rd to 33rd (Grade: C). Workforce remained relatively stable going from 22nd to 21st (Grade: C), while quality of life continued to be a highlight, rising from 15th to 13th (Grade: B-).

Rhode Island and Louisiana are tied at #46, with only Montana (#48), Hawaii (#49), and Alaska (#50) ranking lower. At the top, North Carolina continues to dominate, followed by Texas, Florida, Virginia, and Ohio.

This comes on the heels of Hasbro considering moving from Pawtucket to Boston which would significantly impact both cities in vastly different ways. For Boston, attracting a major company like Hasbro would enhance its downtown area and contribute to economic recovery post-Covid. The influx of jobs and business activities could stimulate local growth and increase the demand for services and infrastructure.

Rhode Island would face challenges if Hasbro relocates, as the company has been a notable part of its business landscape. The loss of such a major employer could affect local businesses and the economy, leading to a ripple effect on employment and community support.

Will Rhode Island’s business ranking have an effect on the 2028 gubernatorial race?

Will Jim Bennett, the newly appointed Interim Secretary of Commerce, turn this around?