Vietnam fell three places from the ranking of previous year.
This year, World Economic Forum (WEF) used a new methodology to fully capture the dynamics of the global economy in the Fourth Industrial Revolution; many of the factors that will have the greatest impact on driving future competition have never been the focus of major policy decisions in the past. These factors include idea generation, entrepreneurial culture, openness and agility. Under the new method, Vietnam received 58.1 points.
According to a report on VNS, Vietnam was ranked the sixth most competitive economy in Southeast Asia.
Within the region, Vietnam was behind neighbors Singapore (second), Malaysia (25th), Thailand (38th), Indonesia (45th) and the Philippines (56th), but ahead of Brunei Darussalam (62nd), Cambodia (110th) and Laos (112th).
The Global Competitiveness Index (GCI) is based on 12 pillars: institutions, infrastructure, information and communication technology adoption, macroeconomic stability, health, skills, product market, labour market, financial system, market size, business dynamism and innovation capacity.
Of these 12 areas, Vietnam’s health dimension was evaluated highest at 81 points, ranked 68th out of 140. Market size reached 71 points, ranked 29th, and macroeconomic stability reached 75 points, ranked 64th.
The country was ranked lowest in product market at 102nd, business dynamism at 101st and skills at 97th.
In the remaining categories, institutions ranked 94th and information and communication technology adoption ranked 95th. Creative capacity reached the lowest score with just 33 points but still ranked 82nd out of 140 countries.
The US topped this year’s WEF Global Competitiveness Report. Singapore was in second place, with Germany in the third spot.