The recent jump by India in the WEF index follows similar progress in the United Nations’ E-Government index and World Bank's Ease of Doing Business index.
Even as there are domestic troubles of widening current account deficit and high bad loans, India is continuing with its steady rise on global platforms, most recent being a “remarkable” jump of five ranks on the World Economic Forum Global Competitiveness Index — clocking largest gain among G-20 economies.
India, the world’s sixth largest economy, has jumped five ranks to secure 58th rank on 2018 edition of annual Global Competitiveness Index by the World Economic Forum (WEF) due to high-level of research and innovation. “India is a remarkable example of a country that has been able to accelerate on the pathway to innovation (where it now ranks 31st, with a score of 53.8), due, particularly, to the quality of its research institutions,” the WEF said in the report.
The recent jump in the WEF index follows similar progress in the United Nations’ E-Government index and World Bank’s Ease of Doing Business index. India jumped 22 ranks in last four years on the E-Government index, which measures the level of digitisation in governance. The biggest shot came last year when India leapfrogged 30 places to secure a place in the top 100 nations on the Ease of Doing Business index.
The WEF list of 140 nations has, once again, been topped the United States, followed by Singapore and Germany at second and third ranks respectively. India’s closest competitor, neighbour and G-20 member China has secured the 28th rank. The report noted that both India and China are “catching up with or even outperforming the average among high-income economies”.
The WEF, while calling India the main driving force for South Asia, also criticised “less-efficient bureaucracy” for business creation and insolvency. “In spite of a high degree of entrepreneurship, business dynamism is hampered by administrative hurdles,” the report said, advising India to open up its trade.
The Switzerland-based global platform also asked India to step up efforts to make the best use of its extremely young population. India is set to become the youngest nation by 2020 with an average age of just 29.
“More investments will be necessary to spur innovation beyond hubs of excellence and diffuse economic growth more broadly. This includes continuing to widen the adoption of ICT technologies and improving the quality and conditions of human capital across the country, taking advantage of an extremely young population,” the report said.