▲ Up
 
16:52 19-01-2017
MAIN АКИpress CA-News
About us On-line subscription
KazakhstanKyrgyzstanMongoliaTajikistanTurkmenistanUzbekistanWorld
POLITICSBUSINESSINCIDENTSSOCIETYCULTURESPORTANALYSISSCIENCE
WEF: Global growth at risk from slow reform progress
09:03, 03 September 2014, 534

AKIPRESS.COM - WEFThe health of the global economy is at risk, despite years of bold monetary policy, as countries struggle to implement structural reforms necessary to help economies grow, according to the Global Competitiveness Report 2014-2015 released today by the World Economic Forum.

In its annual assessment of the factors driving countries’ productivity and prosperity, the report identifies uneven implementation of structural reforms across different regions and levels of development as the biggest challenge to sustaining global growth. It also highlights talent and innovation as two areas where leaders in the public and private sectors need to collaborate more effectively in order to achieve sustainable and inclusive economic development.

According to the report’s Global Competitiveness Index (GCI), the United States improves its competitiveness position for the second consecutive year, climbing two places to third on the back of gains to its institutional framework and innovation scores. Elsewhere in the top five, Switzerland tops the ranking for the sixth consecutive year, Singapore remains second and Finland (4th) and Germany (5th) both drop one place. They are followed by Japan (6th), which climbs three places and Hong Kong SAR (7th), which remains stable. Europe’s open, service-based economies follow, with the Netherlands (8th) also stable and the United Kingdom (9th) going up one place. Sweden (10th) rounds up the top-10 of the most competitive economies in the world.

In Europe, several countries that were severely hit by the economic crisis, such as Spain (35th), Portugal (36th) and Greece (81st), have made significant strides to improve the functioning of their markets and the allocation of productive resources. At the same time, some countries that continue to face major competitiveness challenges, such as France (23rd) and Italy (49th), appear yet to have fully engaged in this process. While the divide between a highly competitive North and a lagging South and East persists, a new outlook on the European competitiveness divide between countries implementing reforms and those that are not can now also be observed.

Some of the world’s largest emerging market economies continue to face difficulties in improving competitiveness. Saudi Arabia (24th), Turkey (45th), South Africa (56th), Brazil (57th), Mexico (61st), India (71st) and Nigeria (127th) all fall in the rankings. China (28th), on the contrary, goes up one position and remains the highest ranked BRICS economy.

In Asia, the competitiveness landscape remains starkly contrasted. The competitiveness dynamics in South-East Asia are remarkable. Behind Singapore (2nd), the region’s five largest countries (ASEAN-5) – Malaysia (20th), Thailand (31st), Indonesia (34th), the Philippines (54th) and Vietnam (68th) – all progress in the rankings. Indeed, the Philippines is the most improved country overall since 2010. By comparison, South Asian nations lag behind, with only India featuring in the top half of the rankings.

To boost its economic resilience and keep the economic momentum of past years, Latin America finds its major economies still in need of implementing reforms and engaging in productive investments to improve infrastructure, skills and innovation. Chile (33rd) continues to lead the regional rankings ahead of Panama (48th) and Costa Rica (51st).

Affected by geopolitical instability, the Middle East and North Africa depicts a mixed picture. The United Arab Emirates (12th) takes the lead and moves up seven places, ahead of Qatar (16th). Their strong performances contrast starkly with countries in North Africa, where the highest placed country is Morocco (72nd). Ensuring structural reforms, improving the business environment, and strengthening the innovative capacity so as to enable the private sector to grow and create jobs are of key importance to the region.

Sub-Saharan Africa continues to register impressive growth rates close to 5%. Maintaining the momentum will require the region to move towards more productive activities and address the persistent competitiveness challenges. Only three sub-Saharan economies, including Mauritius (39th), South Africa (56th) and Rwanda (62nd) score in the top half of the rankings. Overall, the biggest challenges facing the region is in addressing human and physical infrastructure issues that continue to hamper capacity and affect its ability to enter higher value added markets.

The Global Competitiveness Report’s competitiveness ranking is based on the Global Competitiveness Index (GCI), which was introduced by the World Economic Forum in 2004. Defining competitiveness as the set of institutions, policies and factors that determine the level of productivity of a country, GCI scores are calculated by drawing together country-level data covering 12 categories – the pillars of competitiveness – that collectively make up a comprehensive picture of a country’s competitiveness. The 12 pillars are: institutions, infrastructure, macroeconomic environment, health and primary education, higher education and training, goods market efficiency, labour market efficiency, financial market development, technological readiness, market size, business sophistication, and innovation.


Twitterfacebookprint
LATEST NEWS
16:35 Saudi Arabia to tighten security during 2017 Hajj16:22 Highest level subsistence minimum was in Osh, lowest in Issyk-Kul in 201616:21 Uzbekistan allocates $50,000 for support of Uzbek theater named after Babur in Osh16:15 15 victims of Turkish cargo plane crash remain in hospitals, one in critical condition15:54 Novak Djokovic: Australian Open champion knocked out by world 117 Denis Istomin from Uzbekistan15:40 Parliament approves introduction of fines for price tags in foreign currency15:36 Kyrgyzstan to host Asian snooker championship in 201715:28 Man from Kara-Balta captures on camera atmospheric phenomena - halo15:15 President thanked fellow citizens for their sympathy15:08 Around 7 million soms raised for construction of Bishkek Baatyr monument15:00 Dogs trained in canine center help in searching bodies of Boeing 747 victims14:53 Boeing 747 had no cargo meant for Kyrgyzstan: Manas airport14:35 West African force poised to ensure Gambian transfer of power14:34 China says can resolve trade disputes with new U.S. government14:33 Public buses purchased on EBRD loan in Osh already need minor repair14:30 Kazakh ex-Prime Minister gets his sentence reduced14:05 Two boys who lost their parents in Boeing 747 cargo plane crash taken to psychiatrists13:28 Bishkek and Chui region celebrating Epiphany with dips in icy water13:25 Rolls-Royce admitted to paying $5.4 mln to Kazakh firms to win contracts: U.S. Justice Department13:02 Boeing 747 black boxes sent to Moscow for decoding
© AKIpress News Agency - 2001-2017. All rights reserved
Republication of any material is prohibited without a written agreement with AKIpress News Agency. Any citation must be accompanied by a hyperlink to akipress.com.
Our address:
Moskovskaya str. 189, Bishkek, the Kyrgyz Republic
e-mail: english@akipress.org, akipressenglish@gmail.com;
Tel/Fax: +996(312)90-07-75