According to the International Institute for Management Development (IMD), Singapore has cemented its position as the only Southeast Asian country among the top 10 best countries for five years in a row. With an overall rating of 97.44 in 2023, Singapore strengthened its renowned competitiveness and ranked 4th globally.
The top three countries are Denmark, Ireland, and Switzerland. Singapore secured this position following the Netherlands, Taiwan, Hong Kong Special Administrative Region, Sweden, the United States of America, and the United Arab Emirates, which ranked from fourth to tenth places.
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In 2023, Singapore faced challenges that contributed to a decline of 1 place compared to the previous year. These include a worldwide economic downturn with tightening financial conditions and rising trade barriers, increased spending due to inflation, and calls for businesses and employees to expand their capabilities.
Despite the decline, Singapore performed well on all competitiveness aspects included in the study. The country maintained its outstanding rating by consistently placing in the top 10 on every measure, including economic performance, government effectiveness, business efficiency, and infrastructure.
Singapore’s fourth place sealed its position as the leading country within the region. Meanwhile, neighbouring countries ranked much lower. Malaysia moved up five levels to the twenty-seventh place globally. Thailand followed closely behind in the thirtieth position, also gaining three steps.
The rapid advancement of Indonesia from ten positions to thirty-fourth place is remarkable. The country even surpassed Japan by one position. In contrast to the 2022 data, the Philippines dropped 4 places to 52nd. No data is available for the remaining Southeast Asian countries.
The World Competitiveness Ranking measures the effectiveness of how 64 countries, chosen based on the availability of equivalent international statistics, use their competencies to create long-term value.
IMD has been conducting this extensive research since 1989, with the 2023 edition being its thirty-fifth. The methodology is based on 336 competitiveness criteria derived from economic statistics and research conducted among top leaders within the business community, government agencies, and academics.
Source: World Competitiveness Ranking
