Rio de Janeiro climbs six positions in the competitiveness ranking of Brazilian states

Rio de Janeiro has climbed six positions in the competitiveness rankings of states compiled by the CLP (Center for Public Leadership).

From 17th place in 2021, it moved up to 11th place in 2022.

In practice, the state has returned to the position it held in 2020 before the ouster of Governor Wilson Witzel.

At that time, scandals and government data disarray affected Rio’s performance.

This year, there have been improvements in fiscal policy, the civil service efficiency pillar, and the judiciary’s work, which has increassevend by seven positions.

Despite the increase, it is the least competitive state in the Southeast region. Here the order is São Paulo (1st), Minas Gerais (8th) and Espírito Santo (10th).

The top 10 is completed by all three states of the South and the Center-West.

São Paulo has topped the rankings since the beginning.

This year, however, property security has deteriorated, and the number of robberies has increased.

Nevertheless, São Paulo’s decrease in homicides puts it in a good position regarding public safety.

Second-placed Santa Catarina is holding up well in all categories and could soon take the lead if São Paulo doesn’t try harder.

Third-placed Paraná has risen one rank and left the federal district behind.

Ranked 12th through 27th, only states in the north and northeast of the country are the least competitive regions in the country, according to the rankings.

The two states that have fallen the most in this year’s ranking are Piauí (from 20th to 25th) and Espírito Santo (from 5th to 10th).

REFORMS

Rio Grande do Sul rose three places in this year’s rankings.

According to Lucas Cepeda, CLP’s competitiveness coordinator, the main reason is the reform agenda of former governor Eduardo Leite (PSDB), who is seeking to return to office in this year’s elections.

“Many things have been decided during this period, and it takes time for them to take effect. This year shows in practice that these reforms take a while to be felt,” he said.

Of the indicators measured, the golden rule, personnel spending, and ongoing savings, the goal of the reforms, have improved.

Another state that consistently moved up in the survey was Roraima. In 2021, it was at the bottom of the rankings and moved up to 22nd.

“The sustainability indicator has improved greatly due to the reduction of CO2 emissions. Another point that has improved greatly is human capital, especially economic inclusion,” Lucas said.

The governor of São Paulo, Rodrigo Garcia, and the former governor of Rio Grande do Sul, Eduardo Leite, spoke about the ranking, in theory, that is, without having been presented with this year’s results.

Both stressed the importance of reforms and control of spending.

The Competitiveness Ranking of States has been conducted by CLP (Center for Public Leadership) for 11 years.

States are evaluated on 86 indicators spread across ten pillars: Infrastructure, Social Sustainability, Public Safety, Education, Fiscal Soundness, Public Sector Efficiency, Human Capital, Environmental Sustainability, Market Potential, and Innovation.

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