Singapore now only fourth most competitive economy in the world

It was in third place in 2015.

Singapore has slipped in global competitiveness, as it ranks fourth worldwide in 2016. Last year, it held third place.

According to the IMD World Competitiveness Center, 2016 saw Hong Kong rise to the top of the rankings, followed by Switzerland. The US, hailed in 2015 as the most globally competitive economy, fell to third place.

Arturo Bris, Director of the IMD World Competitiveness Center, notes that Hong Kong’s climb is thanks to a consistent commitment to a favourable business environment. Bris also shares that Switzerland has its small size and its emphasis on commitment to quality to thank for its high ranking this year.

“The USA still boasts the best economic performance in the world, but there are many other factors that we take into account when assessing competitiveness,” Bris asserts.

“The common pattern among all of the countries in the top 20 is their focus on business-friendly regulation, physical and intangible infrastructure and inclusive institutions,” he adds.

The ranking is based on analysis of over 340 criteria, derived from four main factors: economic performance, government efficiency, business efficiency and infrastructure. Responses from an in-depth survey of over 54,000 business executives were also taken into consideration.