Taiwan’s World Competitiveness Ranking Jumped to No. 8, Best of Taiwan’s WCY Ranking with Business Competitiveness Moved Up to No. 3.

According to the IMD World Competitiveness Yearbook 2010 (WCY2010), Taiwan’s world competitiveness ranking moved up to No. 8 from No. 23 last year, which is Taiwan’s best-ever WCY record and which also represents Taiwan the best performing among a total of 58 economies covered by the WCY. 

This 15-place jump is largely owed to the remarkable advance of Taiwanese business competitiveness (up from No. 22 last year to No. 2) as well as the improved government efficiency (up from No. 18 last year to No. 6), which each represent Taiwan being the best-performing in the category with enterprises performance efficiency scoring 77.63 points, only two points behind Singapore and H.K., the top two countries in the ranking. 

WCY2010 manifests the outstanding performance of the Asian economies with Singapore taking the lead followed by H.K.  The United States took two steps down to No. 3 after yielding the first place.  These top three economies each score between 99 and 100 points   

The IMD ranking proposes three perspectives:  (1) emerging economies in East Asia will remain on the rise; (2) government financial health will inevitably influence the world competitiveness of the country as is foreseen that financial factors will compromise the competitiveness of Japan, the USA and Europe as a whole; (3) improved cross-Strait relationship and low tariff will move up Taiwan’s world competitiveness ranking.

The WCY2010 shows substantial change in ranking in line with the recent radical change in the global economy, international currency exchange and financial assets.  The IMD world competitiveness ranking values the damage control tenacity of the country in face of drastic change over the strength in promoting competition efficiency.

In consideration of the impact on the global financial market from the credit crisis of Greece, the WCY for the first time inspected national liabilities of the economies covered to estimate the time they each need to bring down their liabilities to within the national sustainability range.  Among the economies covered by WCY2010, Japan has the worst problem in this aspect and Japan will not be able to cut it down to under 60% of its GDP until 2084.  

IMD identified five major challenges for Taiwan in 2010 which include, among others, foster high-quality talents, strengthen innovations, assure comparable living standards, maintain sound environment for sustained development, normalize the cross-Strait economic and trade ties, strengthen corporate governance and continue efforts in financial reform.  (2010.05)

Top 10 on WCY 2010
2010	2009	Country
1↑	3	Singapore
2	2	H.K.
3↓	1	USA
4	4	Swiss
5↑	7	Australia
6	6	Sweden
7↑	8	Canada
8↑	23	Taiwan
9↑	11	Norway
10↑	18	Malaysia

Taiwan’s Ranking on WCY 2006 - 2010
Year	Ranking
2010	8
2009	23
2008	13
2007	18
2006	17

Taiwan on WCY 2009 and 2010 - Factor Rankings
Year	Overall performance	Economic performance	Government efficiency	Business efficiency	Infrastructure
2010	8	16	6	3	7
2009	23	27	18	22	23
Source:  IMD World Competitiveness Yearbook 2010

/EMA