Tanzania has improved in Global Competitiveness Ranking

Tanzania has slightly improved its competitiveness score and ranking in the World Economic Forum’s (WEF’s) latest Global Competitiveness Index (GCI), moving up nine places to 116th position from 125th in the past four years.

According to this year’s Global Competitive Report released in Dar es Salaam yesterday, Tanzania ranks 116 out of 138 countries.

According to the report, Tanzania has been performing well in government stability, attracting more investors “as they are assured of their safety, improved public health, good labour regulations, policy stability and market cycle’’.

Meanwhile, sub-Saharan Africa’s competitiveness has slightly weakened year-on-year, mainly as a consequence of deteriorating macroeconomic environments, including a slowdown in the economies of trading partners and persistently low commodity prices, across the region, the WEF noted in its report on Wednesday.

The 2016/17 GCI shows the African powerhouse moving up two rankings to 47 out of 138 countries this year, with its score increasing marginally from 4.39 last year to 4.47 in 2016.
“South Africa maintains its regional leadership in terms of financial markets, competition, infrastructure and education, despite recent challenges from exchange rate volatility, governance concerns and policy uncertainty, as reflected in the institutions pillar,” WEF said.
Within the 12 index pillars ranked by the WEF, South Africa performed well in the financial market development index with a ranking of 11, followed by a ranking of 28 in the goods market efficiency index and 30 for business sophistication.

It ranked thirty-fifth out of 138 countries in terms of innovation, while technological readiness secured a ranking of 49 and market size ranked at 30.

Mauritius, ranking at 45, was the region’s most competitive economy.
“The region’s biggest losers this year are Zambia at 118, down an exceptional 22 positions, and Côte d’Ivoire at 99, down eight places —although its score fell by less than 2%,” the WEF said.
During the year under review, exacerbating the deteriorating economic conditions of the region were droughts that had affected several countries along the Horn of Africa and Southern Africa and political uncertainty as Cape Verde, the Democratic Republic of Congo, Ghana and Uganda entered election years.
“Health and security situations also impacted some competitiveness rankings, especially with continuing Ebola cases in Liberia and Sierra Leone and terrorist attacks in parts of West Africa, namely Côte d’Ivoire, Cameroon and Nigeria.”