Rankings & Indices > Global Competitiveness Index (GCI)

The Global Competitiveness Index (GCI) is an annual report published by the World Economic Forum (WEF) that assesses the competitiveness of countries based on a range of economic and social indicators.

The report analyzes various factors that contribute to a country's ability to attract investment, grow its economy, and create jobs, including infrastructure, education and training, labor market efficiency, business sophistication, innovation, and market size.

The importance of the GCI lies in its ability to provide a benchmark for countries to assess their competitiveness and identify areas for improvement.

It also provides investors with valuable information on the strengths and weaknesses of different economies, helping them to make informed decisions about where to invest their capital. Additionally, the GCI can affect a country's competitiveness rank by highlighting the areas where it needs to improve in order to remain competitive. This information can help policymakers and business leaders to develop strategies to enhance the country's competitiveness and attract investment.

Overall, the GCI is a widely recognized and respected tool for assessing the competitiveness of countries, and it has a significant impact on how countries are perceived by investors, policymakers, and other stakeholders.

The Global Competitiveness Index (GCI) is based on a range of economic and social indicators that are grouped into 12 pillars of competitiveness.

The 12 pillars are as follows:

Institutions: The quality of a country's legal and administrative framework, including property rights, corruption, and government efficiency.

Infrastructure: The quality and availability of a country's physical and digital infrastructure, such as roads, airports, and broadband.

Macroeconomic stability: The stability of a country's economy, including inflation, government debt, and exchange rates.

Health: The health of a country's population, including life expectancy, mortality rates, and access to healthcare.

Skills: The quality and quantity of a country's workforce, including education and training.

Product market: The efficiency of a country's product markets, including competition and trade openness.

Labor market: The efficiency and flexibility of a country's labor markets, including hiring and firing practices.

Financial system: The strength and stability of a country's financial system, including access to capital and the availability of credit.

Market size: The size of a country's market, measured by GDP and population.

Business dynamism: The agility and innovation of a country's business sector, including entrepreneurship and innovation.

Innovation capacity: The capacity of a country's business sector and research institutions to innovate, including R&D and patent applications.

Cultural values: The social and cultural factors that contribute to a country's competitiveness, such as trust, social capital, and openness to change.

These 12 pillars are further divided into 103 indicators that are used to measure a country's competitiveness in each area. The scores for each indicator are aggregated to produce an overall competitiveness score for each country.