Finland drops further in global competitiveness ranking (original) (raw)

Compared to two years ago, the new ranking reflects a seven-place decline.

Aerial photo of downtown Helsinki.

Finland saw improvement in the international trade category, but in all other 18 other areas of the comparison, its performance in the ranking was weaker than last year. File aerial photo of Helsinki. Image: Silja Viitala / Yle

3.7.2024 12:34Updated 3.7.2024 12:49

Finland has placed fifteenth in an international global competitiveness ranking assessment of 67 countries, according to the World Competitiveness Ranking by the Swiss-based International Institute for Management Development, IMD.

Finland's ranking reflects a drop of four places, compared to the institute's assessment in 2023, according to the Helsinki-based Etla Economic Research group.

However, compared to two years ago — when Finland saw its highest-ever placement in the comparison — the new ranking reflects a seven-place decline.

IMD's index is divided into categories including economic success, public administration efficiency, business performance and infrastructure — with each of those split into sub-categories.

Etla attributed Finland's new position to weakened economic success, as it ranked fiftieth out of the countries in the economic success category.

The Nordic country saw improvement in the international trade category, but in all other areas of the comparison, its performance was weaker than last year.

This year the ranking's top five countries were Singapore, Switzerland, Denmark, Ireland and Hong Kong.

"Negative development"

Etla researcher Ville Kaitila acknowledged that rankings can fluctuate in individual years.

"But Finland's decline of seven places in two years is a remarkably negative development in the index's history," Kaitila said in a press release on Wednesday.

According to Kaitila, the Finnish economy has been weighed down by factors like the impact of rising interest rates on investment and consumer spending, as well as the impact of Russia's war in Ukraine on Finland's export and service sectors.

The Swiss business institute began carrying out the rankings 36 years ago. This year, it surveyed 67 global economies, including three new additions: Ghana, Nigeria and Puerto Rico.

IMD's partner in Finland is Etla.

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