RP's improved competitiveness largely due to economic performance, government efficiency under PGMA administration
Manila (21 May) -- The Philippines' competitiveness ranking rose to 39th with a score of 56.525, from 43rd last year, from among the 58 economies included in the World Competitiveness Yearbook released by Switzerland-based Institute for Management Development World Competitiveness Center.
The 4 notches improvement in the rating is attributed to the government's unwavering effort to maintain the country's economic growth and to address inefficiencies in government.
Competitiveness is the "ability of a nation to create and maintain an environment that sustains more value creation for its enterprises and more prosperity for its people," according to the International Institute for Management Development (IMD), the Swiss-based business school that has been publishing the World Competitiveness study since 1989.
To rank the competitiveness of nations covered, the study takes into account 327 criteria divided into four factors ? economic performance, government efficiency, business efficiency and infrastructure.
The country's rank moved upwards because of its economic performance and government efficiency. Under economic performance, the country saw developments in international trade, domestic economy and employment.
As for government efficiency, the study revealed that the Philippines improved in the areas of public finance and fiscal policy.
The country still fared low in business efficiency, mitigating corruption and infrastructure, the study pointed out. Other local government units should follow the simplified registration and licensing procedures to attract more investors. Infrastructure projects must be designed for competitiveness.
The report said that for 2010, the Philippines has to hurdle challenges like applying the rule of law and restoring faith in public institutions, ensuring food and energy security, planning for natural disasters and climate change, providing entrepreneurial opportunities, jobs, skills training and education in the countryside, and addressing migration into cities and configuring urban areas appropriately.
The country's competitiveness rank may not be that which it is aiming for but it is definitely better than that of last year. The fact that is an improvement to that of last year must be enough assurance that the country is on the right track. With a little more cooperation among all stakeholders, not only the government, the country will achieve the ranking it is aspiring for in terms of competitiveness. (PIA 8) [top]