2019 – Posted in: Daily News – Tags: IMD competitiveness ranking

IMD WORLD COMPETITIVENESS RANKINGS 2019

For: Preliminary & Mains; Economics – GS III

Topic covers: Outcomes of the study, about the Index and rankings, India’s dimensions

News Flash

India has moved up one place to rank 43rd most competitive economy in the world on the back of its robust economic growth, a large labour force and its huge market size.

Highlights

Singapore has moved up to the top, from the third position last year, while the US has slipped to the third place.
Hong Kong remains 2nd, UAE enters top five for the first time.
Venezuela remained anchored to the bottom of the ranking, hit by inflation, poor access to credit and a weak economy.
Asia-Pacific region has emerged as a global beacon with 11 out of 14 economies either improving or holding their ground.

About India’s Progress

India’s ranking has improved by robust rate of growth in real GDP, improvements in business legislation and an increase in public expenditure on education.
India has scored well on several economic parameters and tax policies but has lagged in terms of public finance, societal framework, education infrastructure, health and environment.

Significance

Economists regard competitiveness as vital for the long-term health of a country’s economy as it empowers businesses to achieve sustainable growth, generates jobs and, ultimately, enhance the welfare of citizens.

Challenges to India

Maintaining high growth with employment generation.
Digital literacy and internet bandwidth in rural areas.
Managing fiscal discipline.
Issues related to the implementation of Goods and Services Tax.
Resource mobilisation for infrastructure development.

IMD World Competitiveness Rankings

The IMD World Competitiveness Rankings, established in 1989, incorporate 235 indicators from each of the 63 ranked economies to evaluate their ability to foster an environment where enterprises can achieve sustainable growth, generate jobs and increase welfare for its citizens.

The IMD Business School takes into account a wide range of statistics such as unemployment, GDP and government spending on health and education, as well as data from an executive opinion survey covering topics such as social cohesion, globalisation and corruption.

IMD World Competitiveness Centre

The IMD World Competitiveness Center has been a pioneer in the field of the Competitiveness of Nations and World Economy Ranking.

It was established in 1989.
It is dedicated to the advancement of knowledge on world competitiveness by offering benchmarking services for countries and companies using the latest and most relevant data on the subject.

The Center cooperates with a network of 56 partner institutes worldwide to provide governments and the business and academic communities with the following services:

Competitiveness assessment and education
Workshops/Mega Dives on competitiveness
Special country/regional competitiveness reports
World Competitiveness Yearbook and Online

Source: Economic Times

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