Nigeria Ranks 124 In Global Competitiveness Index
The 2015/16 results of the World Economic Forum (WEF)’s annual Global Competitiveness Index released on Wednesday sees Nigeria placing 124 out of the 140 countries evaluated. Nigeria ranked 127 last year.
This development took place in spite of the fact that some African countries including Mauritius coming in at an impressive 46, followed by South Africa in 49.
The Global Competitiveness Index analyses the factors driving productivity and prosperity in 140 countries, representing 98.3 percent of world’s GDP. For a country claiming to be the largest economy in Africa, it is certainly not the most efficient in benchmark indices as 23 African countries fared better than Nigeria with Rwanda placing 58, Botswana (71), Morocco (72), Algeria (47), Tunisia (92, Zambia (96), Seychelles (97) and Kenya (99).
Nigeria improves by three places to 124th. Last year’s revision of GDP is reflected in an increase in market size (up by eight places to 25th), lower government deficit and debt, and decreased national savings.
Improvements in property rights, the efficiency of the legal framework to settle and challenge disputes, and the accountability of the private sector lift the country’s institutions up by five places, albeit remaining low overall (124th).
The picture is mixed on efficiency of the goods market (100th), where a less competitive domestic environment outweighs improvements to encourage foreign competition; the financial market (79th), where banks are rated as relatively sound but access to finance remains problematic; and the labour market, which is one of the region’s most flexible (18th).
However, the country was dragged down by an inefficient use of talent (68th) and a comparatively low female participation rate (87th).
Priorities including investment in infrastructure (ranked 133rd and singled out as the most problematic factor for doing business) and human capital, where poor health in the workforce (134th) and inefficient higher education (128th) holds the country back from fulfilling its potential.
According to WEF, the top 20 economies in the world are: Switzerland, Singapore, United States, Germany, Netherlands, Japan, Hong Kong, Finland, Sweden, United Kingdom, Norway, Denmark, Canada, Qatar, Taiwan, New Zealand, United Arab Emirates, Malaysia, Belgium, and Luxembourg in that order.
The next 20 economies in the world are: Australia, France, Austria, Ireland, Saudi Arabia, Korea Republic, Israel, China, Iceland, Estonia, Czech Republic, Thailand, Spain, Kuwait, Chile, Lithuania, Indonesia, Portugal, Bahrain And Azerbaijan.