PHL jumps 5 notches in world competitiveness ranking

The Philippines has moved up five notches — from 43rd in 2012 to 38th this year — in the International Institute for Management Development’s (IMD) 2013 World Competitiveness Yearbook (WCY).

A total of 60 economies around the world were reviewed for the 2013 report. The country is ranked11th in Asia Pacific, up from 13th in 2011 and 2012, after overtaking Indonesia and India.

Ranked 4th out of five Association of Southeast Asian  Nations (ASEAN) economies, the Philippines registered the largest gain over the last year. The ranking is based on four major factors – economic efficiency, government efficiency, business efficiency, and infrastructure.The Philippines improved its ranking in three out of the four factors – economic performance (from 42nd to 31st), government efficiency (from 32nd to 31st), and business efficiency (from 26th to 19th).

The 2013 WCY now places the Philippines in the middle-third of the list and out of the bottom-third position previously. The goal is to move to the top-third of world rankings by 2016. The double-digit improvement in economic performance can be attributed to big gains in real gross domestic product (GDP) growth (2nd, up 23); growth in exports of goods (6th, up 53); and international trade (30th, up 25). The 6.6% GDP growth in 2012 was the 2nd highest not only in Asia, but also in the latest WCY. It also boosted overall productivity growth (4th, up 43)

measured as change of real GDP per person employed. The country is also ranked 5th (up two) in stock market performance, with the continued upswing in the local index. Overall, the Philippines is moving in the right direction and its improved rankings in growth rates are a reflection of this.