Monday, May 26, 2014
Reasons of superiority: government efficiency, solid infrastructure, diverse national economy, attractive investment environment, and a lack of taxes
News Agencies- Emirati Newspapers on May 22, 2014
The United Arab Emirates has been ranked number 1 on the government efficiency index. Furthermore, it was ranked number 1 globally for its excellent management of public funds by the World Competitiveness Yearbook (WCY) 2014, which represents one of the most important global reports that measures the competitiveness of countries. The WCY is issued by the International Institute for Management Development in Switzerland. The UAE is ranked as one of the top five countries in 35 sub-indicators.
The UAE ranked number 1 regionally and number 8 globally on the general competitiveness index, having maintained its previous ranking. It recorded 84 out of 100 points, surpassing Denmark, Norway, Luxemburg, Malaysia, the UK, Qatar, New Zealand, and France. At the same time, the UAE ranked number 4 on the index of European, Middle Eastern, and African cities, following Switzerland, Sweden, and Germany.
His Highness Sheikh Mohammed bin Rashid Al Maktoum (Vice President and Prime Minister of the United Arab Emirates and Governor of Dubai) congratulated his brother, His Highness Sheikh Khalifa bin Zayed Al Nahyan (President of the UAE), on the occasion of receiving such high rankings. He said that the distinctive leadership of His Highness Sheikh Khalifa bin Zayed Al Nahyan, the confidence he shows in his people, and the continuous support he offers to all sectors and categories have contributed to such distinguished achievements.
He added that "the superior peoples are those who balance economic advancement while maintaining their values and attitudes. We thank God all the time and congratulate the UAE’s President. We also thank thousands of work teams and promise our people that they will see more achievements. We say to everybody that our objectives are clear, our energies are united, and the world always makes way for those who know what they want."
Satisfaction and Relief
His Highness said he is happy that the nation reached the number one position for efficient government, the second position for values and attitudes, and the third position for economic performance. These achievements indicate the success of the balanced Emirati development approach, where no aspect is dominated by another.
“The UAE works as one team, from Sila to Fujairah. The happiness of people is a core pillar in its plans, work, and all initiatives. Our achievements required more efforts and the direction of all energies to achieve the UAE Vision 2021 to become the global number one in all areas”, he indicated.
The Real Goals
“The global reports do not dazzle us, deter our attention away from our real goals, or drive us to take pride and neglect our work. However, indices like these teach and inform us of our real position in the race of competition between nations and help us achieve the best for our people”, added His Highness, the Vice President of the UAE. He indicated that this is only the beginning, as the confidence of the UAE’s citizens is at its peak. He noted that the biggest lesson to learn when achievements are made clear is to be more modest and persistent, so as to create further successes in the future.
A Remarkable Progress
The UAE has been ranked at the third position globally in economic performance, moving up from the fourth position it recorded in 2013 and surpassing Luxemburg (4), Germany (8), and Switzerland (10). In the ranking, the index was based on the overall economic performance of the local economy.
The UAE ranked number 4 for the country’s image abroad (or brand index), following Singapore, Germany, and Ireland while surpassing Canada, Switzerland, Sweden, and the UK. The UAE recorded 8.58 points out of a maximum of 10, and it was listed in the ‘most positive’ category.
According to the Global Competitiveness Report, seven of the top ten countries listed in the overall index for 2014 were listed in the top ten as a result of having an image abroad that reflects their economic climate. This assertion is based on the results of a questionnaire about each country, with the report noting that there is a close correlation between the overall competitiveness ranking of the country and its image abroad as a business-friendly place.
The UAE ranked number 38 on the infrastructure index, i.e., having the technological, scientific, and human resources to meet business needs.
Furthermore, the UAE ranked number 8 for its share in GDP per capita, with a rate of 84.892%. In raw figure, the share was estimated at $44,205 in 2013.
The UAE’s total GDP was estimated at $390 billion in 2013, ranking number 17 globally. The UAE ranked number 8 for its total real GDP, with a rate of 4.8%.
In the sub-indicators, the UAE’s local economy ranked number 9. In the world trade index, the UAE ranked number 3, moving up from the seventh position. Furthermore, the UAE ranked number 3 for employment, number 5 for prices, and number 1 for government finance.
The UAE ranked number 3 for its financial policy, number 14 for its commercial regulations, and number 8 for its labor market (moving up from its previous number 10 ranking). Furthermore, it ranked number 4 for its management practices, number 2 for its attitudes and values, and number 12 for its infrastructure.
Five key reasons behind superiority
Experts identified five key reasons for the UAE’s massive success over recent years in all global competitiveness parameters. These include its efficient government, solid infrastructure, diverse national economy, attractive investment environment, and lack of taxes.
The WCY is one of the most important global annual reports that measures the competitiveness of countries. It is regarded as one of the key references used by senior government officials, investors, and international decision makers.
The report ranks the competiveness of countries over 330 standard parameters. The parameters are based on statistical data and the results of questionnaires which are distributed to executive officers. The questionnaires investigate their opinions on the business environment, services, economic growth opportunities, environmental sustainability, and quality of life in a given country.