This information is given in the 2014 Global Competitiveness Report published by the World Economic Forum (WEF) on September 3. Accordingly, Vietnam ranks the sixth in the South East Asia region behind Singapore, Malaysia, Thailand, Indonesia, and the Philippines.
The situation in Vietnam is assessed as almost unchanged from last year. The improved criteria include macroeconomic (75th), public institution (85th), intellectual property rights (104th), market efficiency (91st), anti-corruption (109th), infrastructure – energy (81st), market scale (34th), labour market (49th) and technology level (99th).
However, these factors are still at low level. The financial and banking system is evaluated as vulnerable. The level of development in the businesses' activities is also poor (106th) when they mainly operate at the end of the value chain.
Compared with last year's ranking, the economies reviewed by WEF are reduced from 148 to 144. However, the four countries excluded from this year's list, including Ecuador, Bosnia and Herzegovina, Liberia and Benin had a lower ranking than Vietnam in the 2013 list. Therefore, compared to last year, Vietnam's position has improved by two spots, to 68th.
The most competitive economy this year is Switzerland, followed by Singapore. The United States, from the fifth position last year surpasses Finland and Germany to the third position. The emerging nations such as Saudi Arabia, Turkey, South Africa, Brazil and India are downgraded this year. China is the only country that rises by one spot to 28th.
The Global Competitiveness Report is conducted annually, evaluating nations following 12 criteria, including infrastructure, education and training, the efficiency of the labour market, the technological and breakthrough levels. WEF aims to draw a panorama of factors that drive the competitiveness, productivity and the prosperity in these countries.
As assessed by this organisation, leading nations have common elements that enhance the competitiveness. They are "the focus on the development, access and utilisation of available human resources as well as investments that can create breakthroughs. These smart and purposeful investments are effective thanks to the public-private based approach", said the report.
Even so, WEF warns that the global economy remains risky though the countries have reformed and performed the monetary easing for many years. The agency finds that "the unequal reform between different regions and development levels are the biggest challenges in maintaining the global growth".
The Asia Pacific region is evaluated as having divided competitiveness. This area has six representatives in the top 20 including Singapore (2nd), Japan (9th), Hong Kong (China, 7th), Taiwan (China, 12th), New Zealand (18th) and Malaysia (20th). However, Asia also contributes five names under the top 100, though these countries have been promoted this year, including Nepal (102nd), Bhutan (103rd), Bangladesh (109th), Myanmar (134th), and East Timor (136th).
The WEF said the common challenges for the majority of emerging economies in this region is to tackle the infrastructure deficiencies, the enhancement of regional connectivity, and the reduction of bureaucracy and improvement of the market efficiency.
Source: Vnexpress
