PH targeting big jump in global competitiveness ranking

THE NATIONAL Competitiveness Council has set a more ambitious target of hitting the top 20 percent in global competitiveness ranking within the next five years, which may be achieved only if the next administration will be able to sustain the reforms that the Aquino administration has implemented.

The new target came about after the Philippines achieved recently its goal of hitting the top third of competitiveness indices, a year ahead of its target. This was based in the latest results of the World Economic Forum’s Global Competitiveness Index, which showed the country climbing five notches to rank 47th out of the 140 economies assessed.

“No one believed we could hit the top third to begin with, so I want to make sure we have a target that people actually believe they could hit. I think if we want to be moving up a good, respected neighborhood of investors, we have to be looking at top 20 percent and that top 20 percent means we should be ranked number 30 or higher. We are right now 47th and the question is can we move up another 17 or 18 slots in the next few years,” NCC co-chair for the private sector Guillermo Luz said on the sidelines of the Philippine Economic Briefing held recently.

“We did a 38-country jump in five years, but the next jump is tougher. It was hard to do 38, it will be harder to do the next 18 (jumps). The countries are better and tougher. We need to really concentrate and work hard. But I believe it can be done. As a country, we’ve already done it,” he added.

Luz however stressed that the country’s performance over the next several years would “absolutely” depend on the next administration.

“Leadership matters. Teamwork matters. This is not an accidental thing. We improved by 38 notches because we were led by a good government, a good team. In improving the pillars, it involves the whole government. If the next administration has poor leadership and no teamwork, then you’ll see the numbers begin to drop because obviously the other countries are also getting more organized,” he explained. “Competition never sleeps.”

Luz urged the government to continue improvements particularly in infrastructure development, higher education and training, technology readiness and anything that will have put importance on science, technology, innovation as well as research and development. The government should also continue to institute measures to reduce bureaucracy and streamline regulatory procedures, he said.

To sustain the country’s achievements in global competitiveness rankings, the Makati Business Club recommended the nationwide implementation of an NCC initiative to reduce the number of steps to establish a business in the country, more intensified efforts to implement critical infrastructure projects, and the enactment of the Department of Information and Technology Act, Freedom of Information Act and the Public-Private Partnership Act. Amy R. Remo