CAPE TOWN: South Africa fell one place to 53rd out of 61 countries in global business school IMD’s 2015 world competitiveness rankings as government and business efficiency deteriorated.
Government efficiency, in particular, which has been on a steady decline since 2012 when it was 29, fell to 40 in this year’s rankings. Competitiveness rankings are one of the factors investors look at to determine whether a country is an attractive prospect or not.
IMD World Competitiveness Center director Professor Arturo Bris said South Africa’s challenges included deteriorating education and high youth unemployment, corruption, lack of capacity in electricity generation and distribution, and an insufficient supply of skilled engineers and technicians.
Business efficiency fell slightly to 52 this year, from 51 last year, mainly on a decline in productivity and efficiency, the labour market and management practices.
