PH ranks 67th in global ‘prosperity index’

The Philippines slid by a notch to 67th place in this year’s Prosperity Index of think-tank Legatum Institute, which measures not only a country’s wealth but also the well-being of its people. The country was in the lower half of the rankings—75th in entrepreneurship and opportunity (up from 79th last year), 76th in education (down from 73rd), 97th in health (up from 98th), and 111th in safety and security (up from 112th). INQUIRER PHOTO/LYN RILLON

MANILA, Philippines–The Philippines slid by a notch to 67th place in this year’s Prosperity Index of think-tank Legatum Institute, which measures not only a country’s wealth but also the well-being of its people.

The 2014 Legatum Prosperity Index released last week covered 142 economies and the Philippines’ ranking was similar to the country’s position in 2012.

This year’s rank, however, was a decline from 2013’s 66th place. The past six years saw the Philippines’ ranking slide from 61st in 2009, 64th in 2010 and 66th in 2011.

Among the 29 Asia-Pacific countries covered by the index, the Philippines was 16th, behind New Zealand (3rd overall), Australia (7th), Singapore (18th), Japan (19th), Hong Kong (20th), Taiwan (22nd), South Korea (25th), Malaysia (45th), Thailand (51st), Mongolia (52nd), China (54th), Kazakhstan (55th), Vietnam (56th), Uzbekistan (57th) and Sri Lanka (62nd).

Only Indonesia (71st), Kyrgyzstan (74th), Azerbaijan (79th), Georgia (80th), Laos (93rd), Tajikistan (94th), Armenia (95th), Nepal (96th), India (102nd), Bangladesh (104th), Cambodia (112th), Pakistan (127th) and Afghanistan (137th) had lower rankings than the Philippines.

In the index’s eight “core pillars of prosperity,” the Philippines ranked the highest—in 40th place—in the economy sub-index. This year’s ranking in economy, however, was a notch lower than last year’s 39th place.

It should be noted that last year, the country’s gross domestic product (GDP) grew by 7.2 percent, one of the fastest in the region. This year, GDP is projected to expand by 6.5-7.5 percent.

As far as the economy is concerned, Legatum Institute noted that Philippines was among the five biggest exporters of information and communications technology products in the world, alongside its Asian neighbors Hong Kong, Singapore, Malaysia and China. The country also had the biggest share of high-tech exports to total manufactured exports, at 49 percent, Legatum Institute said.

The Philippines landed in 50th spot in terms of personal freedom (down from 44th place in 2013), 55th in governance (up from 56th), and 59th in social capital (up from 61st).

In four other sub-indices, the country was in the lower half of the rankings—75th in entrepreneurship and opportunity (up from 79th last year), 76th in education (down from 73rd), 97th in health (up from 98th), and 111th in safety and security (up from 112th).

Overall, Norway topped the 2014 Prosperity Index, followed by Switzerland, New Zealand, Denmark, Canada, Sweden, Australia, Finland, Netherlands and the United States.

At the bottom 10 slots were cellar-dweller Central African Republic, Chad, Congo, Burundi, Yemen, Afghanistan, Togo, Haiti, Sierra Leone and Guinea.

According to Legatum Institute, its Prosperity Index “is the only global measurement of prosperity based on both income and well-being,” hence it claims to be “the most comprehensive tool of its kind and is the definitive measure of global progress.”

“Is a nation’s prosperity defined solely by its GDP? Prosperity is more than just the accumulation of material wealth; it is also the joy of everyday life and the prospect of an even better life in the future. This is true for individuals as well as nations,” Legatum Institute pointed out.

In the 2014 index, Legatum Institute said the global performance on each of the eight core pillars of prosperity “has improved” during the past six years mainly on the back of strides made toward achieving democracy by a number of countries as well as initiatives in making education and healthcare more accessible to the poor.

Legatum Institute is based in London and describes itself as “a charitable public policy think-tank whose mission is to help people lead more prosperous lives.”