Context:
Recently, the International Institute for Management Development (IMD) published the World Competitiveness Index.
Relevance:
GS II: Inernational Relations
Dimensions of the Article:
- About World Competitiveness Index
- Key Points from the Index
About World Competitiveness Index
- History: The IMD World Competitiveness Yearbook (WCY) was first published in 1989.
- Purpose: It serves as a comprehensive annual report and global benchmark for assessing the competitiveness of countries.
- Criteria: The index analyzes and ranks countries based on 336 competitiveness criteria, focusing on four key factors: Economic performance, Government efficiency, Business efficiency, and Infrastructure.
Key Points from the Index:
- Top Performers: Denmark, Ireland, and Switzerland secured the top three positions among the 64 economies assessed for global competitiveness.
- India’s Ranking: India dropped three places to finish at the 40th position in the index. However, it still showed improvement compared to its consistent ranking of 43rd between 2019 and 2021.
- Areas of Improvement: India exhibited progress in government efficiency. However, it lagged behind in business efficiency, infrastructure, and economic performance compared to other countries.
- Positive Factors: India’s score benefited from factors such as exchange rate stability, compensation levels, and advancements in pollution control.
-Source: The Economic Times
