IMD (International Institute for Management Development) released the World Competitiveness Ranking 2022 in June 2022.
The World Competitiveness Ranking is developed annually by the IMD World Competitiveness Center.
Its think-tank, IMD World Competitiveness Center, ranks 63 economies and assesses the extent to which a country promotes the prosperity of its people by measuring economic well-being via hard data and survey responses from executives.
It measures the prosperity and competitiveness of 63 countries by examining four factors:
- Economic performance
- Government efficiency
- Business efficiency
Key findings of the World Competitiveness Ranking 2022:
- The Nordic nation takes the lead for the first time in the IMD World Competitiveness Ranking, which also highlights how inflationary pressures are causing pressing socio-environmental concerns to take a backseat.
- Denmark has moved to the top of the 63-nation list from the third position last year.
- Switzerland slipped from the top ranking to the second position and Singapore regained the third spot from fifth.
- USA remains at the 10th place since 2020.
Key findings for India:
- India is ranked 37th in the World Competitiveness Ranking 2022.
India has witnessed the sharpest rise among the Asian economies, with a six-position jump from 43rd to 37th rank on the annual World Competitiveness Index, largely due to gains in economic performance.
Performance on four factors:
- Economic performance: It shows improvement. This year India is in 28th place in this factor while in 2021 it was 37th.
- Government efficiency: It shows little improvement. This year India is in 45th place in this factor while in 2021 it was 46th.
- Business efficiency: It saw huge improvement. This year India is in 23rd place in this factor while in 2021 it was 32nd.
- Infrastructure: No change, remained at 49.
» Its re-regulation of a number of sectors, including drones, space and geo-spatial mapping, also likely played a role in the India’s stellar performance in the World Competitiveness Ranking 2022.
» The challenges that India faces include managing trade disruptions and energy security, maintaining high GDP growth post the pandemic, skill development and employment generation, asset monetization and resource mobilization for infrastructure development.
Ranking of other countries in the World Competitiveness Ranking 2022
Top 5 Countries:
Denmark (1st), Switzerland (2nd), Singapore (3rd), Sweden (4th), Hong Kong SAR (5th)
Bottom 5 Countries:
Brazil (59th), South Africa (60th), Mongolia (61), Argentina (62nd), Venezuela (63rd)
Top-performing Asian Countries:
Singapore (3rd), Hong Kong (5th), Taiwan (7th), China (17th) and Australia (19th)
- The IMD World Competitiveness Yearbook (WCY) was first published in 1989. The WCY is a comprehensive annual report and worldwide reference point on the competitiveness of countries.
- It provides benchmarking and trends, as well as statistics and survey data based on extensive research.