Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZ competitiveness improves; innovation, infrastructure lag

NZ competitiveness improves, but innovation and infrastructure lag

By Pattrick Smellie

Sept. 5 (BusinessDesk) - New Zealand has improved one place to be ranked 17th most competitive country in the world, as measured by the Global Competitiveness Index compiled this year for the 14th time by the Davos, Switzerland-based think tank, the World Economic Forum.

That's the best ranking for New Zealand since the index began, but the picture has changed little in terms of the country's strengths and weaknesses, with property rights, institutional arrangements, high integrity and sound legal and political systems pushing New Zealand's ranking five ahead of Australia, which fell to 22nd place in the overall index, and infrastructure and innovation measures pulling the country down.

The three "most problematic factors" for doing business in New Zealand are identified as inadequate supply of infrastructure, inefficient government bureaucracy, and insufficient capacity to innovate, based on interviews with 42 senior business leaders, coordinated by lobbyist Business New Zealand and the New Zealand Initiative, a business-funded think thank.

New Zealand was first or second-ranked on several key indicators of trustworthiness, including the sixth-highest score for trust in politicians, along with high scores for primary school education quality and health, at fourth in the world.

"In particular, New Zealand ranks third in the financial market development pillar," the forum's report says. "It boasts an excellent education system, while the efficiency of its goods and labour markets is amongst the highest in the world."

However, the adequacy of New Zealand's infrastructure ranked 29th in the global index, pulled down by relatively low penetration of the population by mobile technologies.

Scores for business sophistication and innovation sat at 24th and 23rd respectively, while technological readiness ranked 23rd in the world. While New Zealand ranked 15th in the world on "capacity for innovation", availability of scientists and engineers was ranked 40th and government procurement of high tech products was ranked 71st.

Switzerland retained its top spot as the world's most competitive economy, followed by Singapore and the United States, which were also second and third respectively in 2013.

Japan ranked seventh, the United Kingdom 10th and mainland China placed at 28th, the most competitive of the so-called BRICS economies: Brazil, Russia, India, China and South Africa.

China was weak on technological readiness measures, at 83rd in the index, there were during problems in Chinese financial market development that made access to loans "very difficult" for small businesses, and while "functioning of the market" improved, "various limiting measures and barriers to entry, along with investment rules, greatly limit competition," the WEF report says.

"China is becoming more innovative (32nd) but it is not yet an innovation powerhouse."

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Julian Wilcox Leaves Māori TV

Māori Television has confirmed the resignation of Head of News and Production Julian Wilcox. Mr Maxwell acknowledged Mr Wilcox’s significant contribution to Māori Television since joining the organisation in 2004. More>>

ALSO:

Genetics: New Heat Tolerant Cow Developed

Hamilton, New Zealand-based Dairy Solutionz Ltd has led an expert genetics team to develop a new dairy cow breed conditioned to thrive in lower elevation tropical climates and achieve high milk production under heat stress. More>>

Fractals: Thousands More Business Cards Needed To Build Giant Sponge

New Zealand is taking part in a global event this weekend to build a Menger Sponge using 15 million business cards but local organisers say they are thousands of business cards short. More>>

Scoop Business: NZ Net Migration Rises To Annual Record In September

New Zealand’s annual net migration rose to a record in September, beating government forecasts, as the inflow was spurred by student arrivals from India and Kiwis returning home from Australia. More>>

ALSO:

Scoop Business: Fletcher To Close Its Christchurch Insulation Plant, Cut 29 Jobs

Fletcher Building, New Zealand’s largest listed company, will close its Christchurch insulation factory, as it consolidates its Tasman Insulations operations in a “highly competitive market”. More>>

ALSO:

Scoop Business: Novartis Adds Nine New Treatments Under Pharmac Deal

Novartis New Zealand, the local unit of the global pharmaceuticals firm, has added nine new treatments in a far-ranging agreement with government drug buying agency, Pharmac. More>>

ALSO:

Crown Accounts: English Wary On Tax Take, Could Threaten Surplus

Finance Minister Bill English is warning the tax take may come in below forecast in the current financial year, as figures released today confirm it was short by nearly $1 billion in the year to June 30 and English warned of the potential impact of slumping receipts from agricultural exports. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news