Now, World Economic Forum will step up to support Andhra Pradesh in assessing state’s competitiveness. The World Economic Forum and the government of Andhra Pradesh have signed a Memorandum of Understanding (MOU) in New Delhi on Wednesday (04 Nov 2015) that will enable the state government to assess competitiveness.
The Andhra Pradesh government and its partners will assess the competitiveness – both strengths and weaknesses – of the state’s economy through the use of the Global Competitiveness Index (GCI). This assessment will provide key data for the design of evidence based policies and reforms, and allow comparison with other economies of similar size or at a similar stage of development.
“Collaboration with the World Economic Forum will provide us with the methodology, tools and knowledge to design better policies,” said N. Chandrababu Naidu, Chief Minister of Andhra Pradesh.
“Identifying and measuring bottlenecks to growth and prosperity are critical steps for the State of Andhra Pradesh to fulfill its ambitions.”
The methodology used to assess Andhra Pradesh’s competitiveness will draw on the GCI, which measures a set of factors and policies that together determine an economy’s level of productivity and its ability to prosper.
The assessment is based on the state’s performance in 12 categories
Health and primary education
Higher education and training
Goods market efficiency
Labour market efficiency
Financial sector development
Business sophistication; and
“We look forward to sharing our expertise with key actors of Andhra Pradesh’s development and building their capacity to carry out a similar exercise for their state, which is home to almost 50 million people. The potential impact of this initiative is therefore significant,” said Philipp Rösler, Head of the Centre for Regional Strategies and Member of the Managing Board, World Economic Forum.
The Forum will provide technical support and help train government staff on GCI methodology, data collection and interpretation of results, with the goal of building capacity for the Government of Andhra Pradesh and its partners to carry out competitiveness assessments independently and on a regular basis.
About Global Competitiveness Index (GCI)
The Global Competitiveness Index (GCI) is an yearly report that is published by the World Economic Forum. This report ranks all the countries in the world based on a specialty index that has been developed by Xavier Sala-i-Martin and Elsa V Artadi. This report has been tailored to assess the ability of countries to provide growth oriented platform for their respective citizens.
These rankings are usually developed for countries and AP receiving the same assistance as a state is a noteworthy aspect.