Lithuania ranked ahead of its neighbors in 2015 World Competitiveness Ranking

Lithuania has gained six positions to become 28th from 34th in 2014 in this year‘s IMD World Competitiveness Ranking produced by the IMD World Competitiveness Center.

This is the highest rank ever held by Lithuania in this evaluation. Moreover, this year Lithuania has outperformed its neighbors – Estonia (31), Latvia (43) and Poland (33).
 
The world competitiveness rankings are assessed according to 4 main factors: economic performance, government efficiency, business efficiency and infrastructure. These factors are further subdivided into 329 criteria, two thirds of which are based on statistical, factual and financial data and business environment indicators, while the remaining criteria include results of executive opinion survey.
 
The IMD World Competitiveness Report 2015 has achieved major progress in assessing the performance in business efficiency. In terms of the business efficiency factor, Lithuania has moved up to 23rd place from 35th in 2014. Business efficiency is defined in the World Competitiveness Yearbook as innovative, profitable and responsible performance.
 
According to the Minister of Economy Evaldas Gustas, Lithuania‘s substantial improvement in business efficiency indicator was determined by several factors, among them the rising overall level of entrepreneurship, easier access to risk capital required for development and the changing attitudes towards business and business management standards. One notable finding in the ranking is that the best-ranking countries are also in the top positions according to business efficiency.
 
As can be seen from the criteria making up the business efficiency factor, Lithuania ranks 1st in entrepreneurship, overtaking Israel, the last year‘s leader in this category. Lithuania has also risen from 24th to 11th position in terms of access to risk capital.
 
Lithuania‘s higher ranking as compared to previous years was determiner by annual improvements in the government efficiency index. This year, Lithuania ranks 25th in government efficiency compared to 32nd in 2014.
 
 
‘This indicator clearly shows that the Government’s efforts in improving business conditions, intensifying inter-institutional co-operation, facilitating business creation and development yield fruitful results. Only a year ago Lithuania ranked 32nd regarding the simplicity of business conduct and this year, has risen by as many as 15 positions to 17th place’, says the Minister of Economy.

According to the World Competitiveness Yearbook 2015, Lithuania saw a gain in the infrastructure indicator, rising to 30th position from 34th in 2014. The improvement of the infrastructure level is attributable to the high assessment of technological and scientific environment. Moreover, Lithuania leads the ranking in terms of communication technology penetration and the use of IT in business.
 
The ranking reflects the high growth of Lithuania‘s local market-oriented economy, now shifting from 44th to 37th position. In terms of foreign investment, Lithuania’s has climbed to 41st place.
 
This year‘s top-ranking countries in the World Competitiveness Yearbook are the USA (1st), Hon Kong (2nd) and Singapore (3rd).
 
The IMD World Competitiveness Center has been conducting the world competitiveness ranking of nations since 1989. Lithuania has participated in the world competitiveness ranking for 9 years.