Latin Competitiveness Improves

by Dave

Latin Business Chronicle

Latin America’s overall competitiveness is improving, according to the 2008-09 Global Competitiveness Index from the World Economic Forum. Brazil is gaining ground, while Mexico is becoming less competitive, the index shows. Mexico’s decline, coupled with the growth of Panama, has led Panama to replace Mexico as Latin America’s second-most competitive economy.

The Global Competitiveness Index looks at competitiveness in 134 nations worldwide, including 18 in Latin America. It is based on twelve pillars of competitiveness, including institutions, infrastructure, macroeconomic stability, health and primary education, higher education and training, goods market efficiency, labor market efficiency, financial market sophistication, technological readiness, market size, business sophistication and innovation.

Chile remains the most competitive economy in the region, with an economy that is more competitive than those of countries like Spain, China and the United Arab Emirates.

Based on trade groups, CAFTA remains the most competitive, while ALBA is the least competitive, according to the Latin Business Chronicle
analysis of the the latest competitiveness index from the World
Economic Forum. CAFTA has an average score of 3.88 points, an
improvement of 0.04 points. Mercosur is the second-most competitive
trade group, with an average score of 3.86, up 0.08 points.