Taiwan Ranks Second in Innovation in Asia.

The European Business School released The Innovation for Development Report 2009~2010, which features the globally initial research by “Innovative Capacity Index” (ICI) on 131 economies around the world.  This is the most significant research of the chief economist of World Economic Forum, Dr. Augusto Lopez-Claros as an honorary professor of the European Business School.  The Report provides a new look at the role of innovation, more comprehensive and more compatible to the era of knowledge-based economy as opposed to traditional rating system for global competitiveness.

Sweden is the most innovative economy in the world and tops the rankings in The Report, followed by Finland.  Taiwan is in the 13th position globally and ranks 2nd among Asian countries, after Singapore only.

Dr. Augusto Lopez-Claros evaluated the factors, policies, and institutions that drive country innovation, including institutional environment, human capital endowment, the presence of social inclusion, regulatory and legal framework, infrastructure for research and development, and the adoption and use of information and communication technologies.  As Dr. Augusto Lopez-Claros makes it clear, “innovation is now emerging as a leading factor among various drivers of economic growth and prosperity while the traditional sources of power and influence—the chief determinants of a country’s prosperity for centuries—are far less important today.”

According to The Report, Taiwan’s (ICI rank 13) success is attributable to two factors:  first, its success in performing correct and key measures of taking full advantage of the benefits of international trade and investment and acquiring new technologies, and second, in avoiding errors that have inhibited development in many other countries.  Taiwan has successfully transformed from a simple agrarian society into a technology powerhouse and a global leader in the production of ICT equipment to have all kinds of infrastructure, such as, science parks, government-owned and private-operated research institutes.

INNOVATION CAPACITY INDEX RANKINGS
Ranking in Asia	Country	ICI Rank	ICI Score
1	Singapore	6	76.5
2	Taiwan	13	72.9
3	Japan	15	72.1
4	Hong Kong	16	7.13
5	Malaysia	34	57.3
6	Thailand	43	54.6
7	China	65	49.5
8	Philippines	75	47
9	Vietnam	78	46.4
10	India	85	45.6
Source:  European Business School

(2009.11)
/CCS