Description

According to the World Economic Forum, competitiveness is the set of institutions, policies, and factors that determine the country’s level of productivity. The level of productivity, in turn, determines how prosperous a given economy can be. It also determines the rates of returns that investments receive in this economy. These returns are essential drivers of the pace of growth in it. In other words, the higher competitive economy is likely to grow with time more quickly.

The Global Competitiveness Index 2019, which covers 141 countries, has been developed to measure progress in the competitiveness of countries based on a set of factors, each covering an aspect of competitiveness, and issued in an annual report called the Global Competitiveness Index (GCI).

The Rank of Bahrain improved to 45 in 2019 from 50 in 2018

Structure and Computation:

The Global Competitiveness Index comprises more than 140 indicators that related to the country’s productivity and prosperity in the long term. These indicators are classified under twelve pillars (institutions, infrastructure, ICT Adopter, Macroeconomic Stability, Health, Skills, Product Market, labor market, Financial System, Market Size, Business Dynamism, innovation Capability) .These pillars were also grouped under four categories: Enabling Environment, Human Capital, Markets, and Innovation Ecosystem.

The computation of the GCI is based on successive aggregations of scores, from the indicator level to the overall GCI score. At every aggregation level, each aggregated measure is computed by taking the average (i.e. arithmetic mean) of the scores of its components. The overall GCI score is the average of the scores of the 12 pillars. For individual indicators, prior to aggregation, raw values are transformed into a progress score ranging from 0 to 100, with 100 being the ideal state.

Overall Performance: Key Pillars