India is way down in the World Economic Forum's Global Competitiveness Index, ranked at number 55 in a list of 104 nations.
If it is any consolation, India moved one place up from last year's rank of 56. (Check table below)
Finland remains the most competitive economy in the world and tops the rankings for the second consecutive year in The Global Competitiveness Report 2004-2005, released on Wednesday by the WEF in Geneva.
The United States is in second position, followed by Sweden, Taiwan, Denmark and Norway, consecutively.
"The Nordic countries are characterised by excellent macroeconomic management overall -- they are all running budget surpluses -- they have extremely low levels of corruption, with their firms operating in a legal environment in which there is widespread respect for contracts and the rule of law, and their private sectors are on the forefront of technological innovation," said Augusto Lopez-Claros, Chief Economist and Director of the World Economic Forum's Global Competitiveness Programme, explaining why the Nordic nations have been faring superbly on the Global Competitiveness Index.
"These countries prove the point that enhanced competitiveness and boosting the capacity of economies to operate effectively in the global economy is a multifaceted challenge requiring concerted actions on a number of fronts," said Lopez-Claros.
Country |
GCI 2004 rank |
GCI 2004 score |
GCI 2003 rank* |
Finland |
1 |
5.95 |
1 |
United States |
2 |
5.82 |
2 |
Sweden |
3 |
5.72 |
3 |
Taiwan |
4 |
5.69 |
5 |
Denmark |
5 |
5.66 |
4 |
Norway |
6 |
5.56 |
9 |
Singapore |
7 |
5.56 |
6 |
Switzerland |
8 |
5.49 |
7 |
Japan |
9 |
5.48 |
11 |
Iceland |
10 |
5.44 |
8 |
United Kingdom |
11 |
5.30 |
15 |
Netherlands |
12 |
5.30 |
12 |
Germany |
13 |
5.28 |
13 |
Australia |
14 |
5.25 |
10 |
Canada |
15 |
5.23 |
16 |
United Arab Emirates |
16 |
5.21 |
- |
Austria |
17 |
5.20 |
17 |
New Zealand |
18 |
5.18 |
14 |
Israel |
19 |
5.09 |
20 |
Estonia |
20 |
5.08 |
22 |
Hong Kong SAR |
21 |
5.06 |
24 |
Chile |
22 |
5.01 |
28 |
Spain |
23 |
5.00 |
23 |
Portugal |
24 |
4.96 |
25 |
Belgium |
25 |
4.95 |
27 |
Luxembourg |
26 |
4.95 |
21 |
France |
27 |
4.92 |
26 |
Bahrain |
28 |
4.91 |
- |
Korea |
29 |
4.90 |
18 |
Ireland |
30 |
4.90 |
30 |
Malaysia |
31 |
4.88 |
29 |
Malta |
32 |
4.79 |
19 |
Slovenia |
33 |
4.75 |
31 |
Thailand |
34 |
4.58 |
32 |
Jordan |
35 |
4.58 |
34 |
Lithuania |
36 |
4.57 |
40 |
Greece |
37 |
4.56 |
35 |
Cyprus |
38 |
4.56 |
- |
Hungary |
39 |
4.56 |
33 |
Czech Republic |
40 |
4.55 |
39 |
South Africa |
41 |
4.53 |
42 |
Tunisia |
42 |
4.51 |
38 |
Slovak Republic |
43 |
4.43 |
43 |
Latvia |
44 |
4.43 |
37 |
Botswana |
45 |
4.30 |
36 |
China |
46 |
4.29 |
44 |
Italy |
47 |
4.27 |
41 |
Mexico |
48 |
4.17 |
47 |
Mauritius |
49 |
4.14 |
46 |
Costa Rica |
50 |
4.12 |
51 |
Trinidad and Tobago |
51 |
4.12 |
49 |
Namibia |
52 |
4.11 |
52 |
El Salvador |
53 |
4.10 |
48 |
Uruguay |
54 |
4.08 |
50 |
India |
55 |
4.07 |
56 |
Morocco |
56 |
4.06 |
61 |
Brazil |
57 |
4.05 |
54 |
Panama |
58 |
4.01 |
59 |
Bulgaria |
59 |
3.98 |
64 |
Poland |
60 |
3.98 |
45 |
Croatia |
61 |
3.94 |
53 |
Egypt |
62 |
3.88 |
58 |
Romania |
63 |
3.86 |
75 |
Colombia |
64 |
3.84 |
63 |
Jamaica |
65 |
3.82 |
67 |
Turkey |
66 |
3.82 |
65 |
Peru |
67 |
3.78 |
57 |
Ghana |
68 |
3.78 |
71 |
Indonesia |
69 |
3.72 |
72 |
Russian Federation |
70 |
3.68 |
70 |
Algeria |
71 |
3.67 |
74 |
Dominican Republic |
72 |
3.63 |
62 |
Sri Lanka |
73 |
3.57 |
68 |
Argentina |
74 |
3.54 |
78 |
Gambia |
75 |
3.52 |
55 |
Philippines |
76 |
3.51 |
66 |
Vietnam |
77 |
3.47 |
60 |
Kenya |
78 |
3.45 |
83 |
Uganda |
79 |
3.41 |
80 |
Guatemala |
80 |
3.38 |
89 |
Bosnia and Hercegovina |
81 |
3.38 |
- |
Tanzania |
82 |
3.38 |
69 |
Zambia |
83 |
3.36 |
88 |
Macedonia, FYR |
84 |
3.34 |
81 |
Venezuela |
85 |
3.30 |
82 |
Ukraine |
86 |
3.27 |
84 |
Malawi |
87 |
3.24 |
76 |
Mali |
88 |
3.24 |
99 |
Serbia and Montenegro |
89 |
3.23 |
77 |
Ecuador |
90 |
3.18 |
86 |
Pakistan |
91 |
3.17 |
73 |
Mozambique |
92 |
3.17 |
93 |
Nigeria |
93 |
3.16 |
87 |
Georgia |
94 |
3.14 |
- |
Nicaragua |
95 |
3.12 |
90 |
Madagascar |
96 |
3.11 |
96 |
Honduras |
97 |
3.10 |
94 |
Bolivia |
98 |
3.09 |
85 |
Zimbabwe |
99 |
3.03 |
97 |
Paraguay |
100 |
2.99 |
95 |
Ethiopia |
101 |
2.93 |
92 |
Bangladesh |
102 |
2.84 |
98 |
Angola |
103 |
2.72 |
100 |
Chad |
104 |
2.50 |
101 |
Rising four places this year to eleventh place, just ahead of Germany (13th) and significantly ahead of France (27th), the report shows that Britain is doing particularly well in promoting a good business environment. Noteworthy are a sharply improved macroeconomic outlook, supported by continued gains in the quality of public sector institutions underpinning the drive for improved competitiveness.
The rankings are drawn from the results of the Executive Opinion Survey, a comprehensive survey conducted by the WEF, which this year polled over 8,700 business leaders in 104 economies worldwide.
The survey questionnaire is designed to capture a broad range of factors affecting an economy's business environment that are key determinants of sustained economic growth.
Particular attention is placed on elements of the macroeconomic environment, the quality of public institutions which underpin the development process, and the level of technological readiness and innovation.
The WEF's Growth Competitiveness Index has been a useful tool in thinking about key macroeconomic and institutional elements, critical to the growth process.
The present rankings continue to provide policy-makers, businesses and organizations of civil society with valuable insights into areas where further progress is called for, in order to improve the environment for private sector economic activity, and generate sustainable growth.
"The Global Competitiveness Report -- now in its 25th year of publication -- has become a primary source of information on the strengths and weaknesses of over 100 economies, accounting for the bulk of global GNP. It is an invaluable reference guide for business leaders and policy-makers, as they endeavour to cooperate to create an environment which is more supportive of private sector economic activity," said Klaus Schwab, Founder and Executive Chairman of the World Economic Forum.
Co-Directors of The Global Competitiveness Report are Klaus Schwab, Executive Chairman of the World Economic Forum, and Michael E. Porter, Bishop William Lawrence Professor at Harvard Business School, Harvard University.
Highlights
The World Economic Forum is the foremost global community of business, political, intellectual and other leaders of society committed to improving the state of the world.
Incorporated as a foundation, and based in Geneva, Switzerland, the World Economic Forum is impartial and not-for-profit; it is tied to no political, partisan or national interests. The Forum has NGO consultative status with the Economic and Social Council of the United Nations.