Philippines rates poorly in competitiveness survey

[explorer]

Philippines rates poorly in competitiveness survey
Posted: 2:19 AM | May 12, 2006

Michelle V. Remo
Inquirer

THE Philippines ranked 49th among the 61 countries rated in a survey on global competitiveness in 2005, maintaining the poor position it had in 2004.

The country rated weakly in the areas of education, good governance, investment climate, and health, according to the 2006 World Competitiveness Yearbook published by the Switzerland-based Institute for Management Development (IMD).

The results of the World Competitiveness Survey were presented Thursday at the Asian Institute of Management (AIM) in Makati City.

"Our assessment is that [the country's] problems have been recurring year in and year out," said Mia Denopol, project manager for the Global Competitiveness program.

Denopol noted that the areas in which the country rated poorly had not changed. She cited the problem of poor infrastructure that placed the country outside the radar screen of foreign investors.

In pupil-teacher ratio, the Philippines ranked lowest at 61, said Dennis Legaspi, associate director of the AIM Policy Center, IMD's partner in disseminating the World Competitiveness Survey.

Other areas in which the Philippines ranked low were expenditure on education (60th), expenditure on health (60th), expenditure on research and development (60th), country's credit rating (57th), country image abroad (57th), risk of political instability (60th), bribery and corruption (60th), brain drain (58th), and independence of public service from political interference (59th).

The report also cited the improved ranking of other countries in the Asia-Pacific region.

Legaspi said China moved up from 31st place in 2004 to 19th last year, while India rose from 39th place to 29th. Malaysia moved from 28th to 23rd.

Hong Kong and Singapore ranked second and third after the United States, which was number one.

There were areas in which the Philippines ranked strongly, Legaspi said, such in cost of living, in which it ranked the first.

The Philippines also got the highest rank in percentage of high-technology exports as a percentage of manufactured goods.

The country performed strongly in real short-term interest rate (ranking second), consumption tax rate (sixth), collected tax revenues as percentage of the gross domestic product (seventh), compensation levels (fourth), working hours (fifth).

[theveed]

Should this even be a surprise? hehe.

[uls]

to be competitive, u have to do something better than others.

Can u manufacture something faster and cheaper than others?

Do u have a service that u do better than others?

Its no surprise to see singapore and hongkong high up there. singapore and hongkong have a world class reputation for financial services. Many wealthy asians have their wealth managed by private bankers in hongkong and singapore. Thats their edge.

You have to have an edge to be competitive.

What is our edge?

China can manufacture anything we can at lower cost.

[oldblue]

the edge is we're all living on the "edge" right now. that alone proves we're competitive. I disagree with the article.

[uls]

the edge is we're all living on the "edge" right now. that alone proves we're competitive. I disagree with the article.

haha ok... living on the edge... magaling ang pinoy jan...

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the Philippines is good at something: providing manpower for the world.

Engineers, Nurses, caregivers, seamen, DH, laborers, etc.

The Phils. is one big labor export processing zone.

[Imau]

anong country yung 61st?

[theveed]

Bugaw ang Pilipinas.

[uls]

Bugaw ang Pilipinas.

that's another way to put it hehe.

[niky]

No surprise. You know what? I've just been reading the Wall Street Journal... and you know the touted "strength" of the peso against the US Dollar?

Almost every other currency in the region is performing better against the dollar than the peso is, right now. In fact, some countries are doing what I've opined we should do once the peso went above 55..., they're stabilizing their currency against the weak dollar to protect exports.

So now, who wants to take credit for the peso appreciation... hmmm...?