Indian economy rises in World Economic Forum’s Global Competitiveness Index; here’s what experts have to say

By: | Updated: September 28, 2016 1:23 PM

In Global Competitiveness Index Report 2016-17 released by World Economic Forum, India has made the biggest leap among all countries of the world.

Global Competitiveness Index Report, Global Competitiveness Report‬, ‪World Economic Forum‬, ‪Economy‬‬, global competitive index, economy, world economic forum, world competitive index, WEF, wef, India's biggest leap, Indian economy, narendra Modi, Make in India, Modi vs Global Competitiveness Index report by World Economic Forum:Placed at 39th position in the world, India made the jump from 55th position the country had reached last year. ( Reuters)

In Global Competitiveness Report 2016-17 released by World Economic Forum, India has made the biggest leap among all countries of the world. Placed at 39th position in the world, India made the jump from 55th position the country had reached last year. Incidentally, India had jumped 16 places in the 2015-16 rankings after a five-year decline under the previous Congress-led UPA regime.

Much of the change in India’s competitive outlook has been possible because of Prime Minister Narendra Modi’s aggressive efforts towards making India a global destination for investment with his initiatives like ‘make in India’. While in India, many are still sceptical against the economic policies of the present government, the world seems to be noticing the change, as one Twitter user and marketer, Sandip Ghose, puts it succinctly, “We may chose to ignore – but the world is noticing the change.”

When Modi government took oath in 2014, India ranked 71st in the Global Competitive Index, seven ranks below India’s ranking in 2007. This reflected how policy paralysis and widespread corruption had crippled the UPA government over the years. As the news of India’s latest ranking in the latest Global Competitive Index spread, congratulatory messages started to poor in on social media.

ALSO READ: Boost for PM Modi: India jumps 16 spots to 39th in WEF’s Global Competitiveness Index

Amitabh Kant, CEO, Niti Aayog, tweeted, “Radically improving in all areas of growth: India improves in Global Competitiveness Index.” Union minister Krishan Pal Gurjar tweeted, “Riding high on success! India moves up 16 spots in the WEF’s Global Competitiveness Index.” Commerce and industry minister Nirmala Sitharaman shared on Twitter, #TransformingIndia @wef’s Global Competitiveness Rankings- India up by 32 spots in last 2 years. Rank 71 in 2014, 39 in 2016.”

Commenting on Sitharaman’s post, Mini Mathurr, co-founder and editor, Indy Network, said, “Congratulations! This is what we need …one of the fastest improvements any ctry has made!”

In a tweet, the Conference of India Industry (CII) said, “Crucial Policy Reforms by @narendramodi Govt is instrumental in ending five years of decline with 16-place jump to 55th position in @wef GCI

For the eighth straight time, Switzerland is on top of the list, followed by Singapore and the US.

India is also the second-most competitive among BRICS nations behind neighbouring China, which is ranked at the 28th position. On the index, India has a score of 4.52 while that of Switzerland is 5.81.

WEF’s Global Competitiveness Report 2016–17 says, India’s “competitiveness has improved across the board, in particular in goods market efficiency, business sophistication, and innovation”.
“Thanks to improved monetary and fiscal policies as well as lower oil prices, the Indian economy has stabilised and now boasts of the highest growth among G20 countries”, it further said.

The rankings are based on the Global Competitiveness Index (GCI), which is based on country-level data covering 12 categories. These include institutions, infrastructure, macroeconomic environment, health and primary education, financial market development, technological readiness, market size, business sophistication and innovation.

(With PTI inputs)

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