The annual Global Competitiveness Report was published for the current financial year 2006-2007 by the prestigious World Economic Forum on September 26. The Report ranks an unprecedented 125 national economies across the globe in terms of their competitiveness, based on a host of key financial indicators. Compiled by the World Economic forum in cooperation with a network of leading research institutes and business organizations, the Report determines its ranking scale using an impressive collection of public data as well as polls taken by more than 11,000 business leaders worldwide.
Noteworthy is the fact that in this year’s Report, Arab nations demonstrated their impressive financial strength and future potential once again, with four nations appearing on the world renowned report’s top 50 listing: the United Arab Emirates, Qatar, Kuwait and Bahrain, ranking 32nd, 38th, 44th, and 49th, respectively.
The impressive economic accomplishments of these Arab nations placed them in company with the world’s most competitive economies such as Switzerland, Finland and Sweden, which stood at the top of the list, as well as Denmark, Singapore, the United States, Japan, Germany, the Netherlands and the United Kingdom which followed.
"The top rankings of Switzerland and the Nordic countries show that good institutions and competent macroeconomic management, coupled with world-class educational attainment and a focus on technology and innovation, are a successful strategy for boosting competitiveness in an increasingly complex global economy," stated Augusto Lopez-Claros, Chief Economist; Director, Global Competitiveness Network.
In additional to overall competitiveness ranking, the report reviews and publishes key indicators within individual economies of each nations under review, including GDP data, macroeconomic performance, market efficiency, technological readiness and others. For much of the criteria, Arab nations demonstrated extremely impressive economic gains and performance, ranking far above the other Middle Eastern nations in terms of GDP, as well as superb macroeconomic and institutional performance in relation to the region. Furthermore, on a scale of 1 to 7, these nations scored a near perfect rating in terms of health and primary education for its citizens, a key factor indicating the performance potential of such nations.
The Report also ranks a host of other key factors which directly or indirectly influence the national economies of the 125 nations under review, including infrastructure, faith in public leaders, ethical behavior of firms, local competition, efficiency of legal framework and others.
The important comprehensive overview of such aspects of economies worldwide makes the Global Competitiveness Report a crucial tool for understanding world economies and planning future steps towards their fortification. “With the growing complexity of the global economy, the Report is a contribution to enhancing our understanding of the key factors which determine economic growth, and explain why some countries are much more successful than others in raising income levels and opportunities for their respective populations,” states the world-renowned business leader, Professor Charles Schwab.
“By providing detailed assessments of the economic conditions of nations worldwide, the Report offers policymakers and business leaders an important tool in the formulation of improved economic policies and institutional reforms,” Schwab adds.