Brazil falls to 60th out of 64 countries in 2023 global competitiveness rankings

In 2023, Brazil ranked 60th out of 64 countries in the IMD Global Competitiveness Ranking, falling one position from the previous year.

Although this decline is attributed to the inclusion of a new entrant, Kuwait, experts argue that Brazil’s static performance played a part.

The ranking, conducted by the International Institute for Management Development (IMD) in partnership with the Dom Cabral Foundation’s Center for Innovation and Entrepreneurship, assesses countries’ economic competitiveness.

Brazil only surpassed South Africa, Mongolia, Argentina, and Venezuela.

In assessing Brazil’s competitiveness, the study highlighted key challenges to enhance competitiveness: tax reform, fiscal framework adjustment, public education improvements, and job creation.

The nation was assessed across four domains: economic performance, government efficiency, infrastructure, and corporate efficiency.

Brazil’s only advancement was in economic performance, rising to the 41st position, a seven-spot improvement from the previous year, attributed to the decline in fuel prices.

On the other hand, it ranked 62nd in government efficiency, 55th in infrastructure, and 61st in corporate efficiency.

Poor governmental performance, specifically in regulations impacting businesses, and inadequate investment in quality public education were pinpointed as the major detriments to Brazil’s competitiveness.

While the economic performance is expected to keep improving, political stagnation might hinder significant progression in the 2024 ranking.

European nations hold the highest positions in the ranking. Denmark, Ireland, and Switzerland lead the top three, followed by Singapore in fourth place.

In a notable leap, Ireland climbed nine ranks within a year, moving up from 11th in the 2022 survey to replace the former third place.

Four Asian countries are featured among the top ten: Singapore (4th), Taiwan (6th), Hong Kong (7th), and the United Arab Emirates (10th).