Egypt has advanced three moves to rank 116, up from 119 last year, in the World Economic Forum’s (WEF) Global Competitiveness Index (GCI) Report, the first progress since the January 25 Revolution 2011.
The report is an annual assessment of the factors driving productivity and prosperity in 140 countries. Published since 1979, it is today the world’s most comprehensive assessment of national competitiveness. The GCI is based on 12 pillars that provide a comprehensive picture of the competitiveness landscape in countries around the world at different stages of economic development. The Report contains detailed profiles highlighting competitive strengths and weaknesses for each of the 140 economies featured.
The Global Competitiveness Index (GCI) Report said the improvement was mainly driven by three main factors; “higher levels of physical security… a more efficient judiciary in settling business disputes (up by 23 places) and better protection of property rights (up by 7 places)”
Despite the higher security (up by 7 places) at 133rd, the report says it remains “an important hindrance to economic growth.”
It also noted “smaller improvements on the macroeconomic environment (up 4 places) and financial market development (up 6 places) citing recent reforms Egypt adopted, notably slashing energy subsidies, tax reforms, and a strengthened business environment, as well as greater political stability after years of turmoil.
“Continued reforms are needed to create favorable conditions for private-sector growth, which will be crucial for job creation and hence social cohesion,” the report read.
These reforms include more openness to trade and investment, including reduction in tariff duties, non-tariff barriers, and a more favorable environment for foreign direct investment.