IMD World Competitiveness Ranking 2023

IMD World Competitiveness Ranking 2023

News: India slipped three spots to secure the 40th position in the latest world competitiveness ranking published by the International Institute for Management Development (IMD)

What is IMD World Competitiveness Ranking 2023?
• The IMD World Competitiveness Ranking 2023 is a ranking of 64 economies based on their competitiveness, which is defined as the extent to which a country promotes the prosperity of its people by measuring economic well-being through hard data and survey responses from executives.
• The ranking is published by the IMD Business School, a Swiss-based institution that specializes in executive education and applied research.

Key Findings:
• Denmark, Ireland, and Switzerland are the top three most competitive economies in 2023.
• India slipped to the 40th spot from the 34th spot in 20222.
• Europe dominated the top spots, China rose to the 17th position, and the US remained stable at the 10th position.
• The ranking showed that economic performance, government efficiency, business efficiency, and infrastructure are the four key factors that determine competitiveness.
• The ranking also considered the impact of the COVID-19 pandemic on the economies and their resilience

India specific findings:
• The IMD report highlighted that India witnessed improvements in government efficiency but slightly underperformed in business efficiency, infrastructure, and economic performance when compared to other countries.
• Exchange rate stability, compensation levels, and advancements in pollution control were the top three contributing factors that positively impacted India's score.
• The report emphasized the challenges faced by India in 2023, which include sustaining high GDP growth, managing financial market volatility, controlling inflation and fiscal deficit, accelerating digital transformation, and mobilizing resources for infrastructure development.