Global Competitiveness Report terms Pakistan third least safe country

Published: September 3, 2014
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Even among the South Asian nations Pakistan is ranked at the bottom. India secured 71st position, Sri Lanka 73, Nepal 102, Bhutan 103 and Bangladesh at 109, according to the report. ILLUSTRATION: JAMAL KHURSHID. ISLAMABAD:

Even among the South Asian nations Pakistan is ranked at the bottom. India secured 71st position, Sri Lanka 73, Nepal 102, Bhutan 103 and Bangladesh at 109, according to the report. ILLUSTRATION: JAMAL KHURSHID. ISLAMABAD:

ISLAMABAD: The downward slide of Pakistan’s overall ranking on Global Competitiveness Index took a break this year, but the country remains the third least safe place on the planet due to fragile security situation, the World Economic Forum said in its latest report.

Based on security parameters, the Global Competitiveness Report (GCR) report 2014-15 that was launched from Switzerland, has placed Pakistan at 142 among 144 surveyed nations.

“The security situation remains alarming and Pakistan is the third least safe of all countries covered, behind only Yemen and Libya.”

Afghanistan is not covered in the report.

Plagued by violent terrorism, per business cost of terrorism Pakistan stood at 139 while on the indicator of business cost of crime and violence it was placed at 132.

According to the report, after two consecutive years of steep decline, Pakistan has remained essentially stable since last year and stood at 129 among 144 nations.

However, the country was ranked low in the most critical and basic areas of competitiveness. Its public institutions are constrained by red tape, corruption, patronage, and lack of property rights protection, according to the report.

Even among the South Asian nations, Pakistan is ranked at the bottom. India was at 71, Sri Lanka 73, Nepal 102, Bhutan 103 and Bangladesh at 109, according to the report.

Inadequate supply of infrastructure, corruption and inefficient government bureaucracy have contributed significantly to problems of doing business in Pakistan.

The report further mentioned the policy instability, access to financing and government instability due to fear of coups as other important factors hurting the business environment in the country.

In terms of quality of electricity supply, Pakistan was clubbed among bottom eleven countries and stood at 133.

Corruption was a matter of serious concern and Pakistan was placed at 123. Similarly, favourtism in decision making by government officials was glaring and the country was ranked at 101.

Owing to a lower inflation rate and a smaller budget deficit compared to the previous year, the country’s macroeconomic situation improved slightly but nevertheless remained dismal at 137. Pakistan’s infrastructure did not improve much and the country stood at 119 among the 144 nations surveyed.

Moreover, the country’s performance in terms of health and education is among the worst of all the countries covered. On the indicator of infant mortality Islamabad was placed at 137 and the ratio was the highest outside sub-Saharan Africa. Pakistan also has one of the lowest enrollment rates in the world and ranked at 132. The GCR stated that the estimates suggested that almost a quarter of children do not go to primary school.

Pakistan’s competitiveness was further penalised by the many rigidities and inefficiencies of its labour market where it stood at 132, though six notches up from previous rating. Female participation in the labor force is the world’s fifth lowest, at 140.

On the index of technological readiness, the potential of information and communication technology is not sufficiently leveraged, and access to ICTs remained low at 114. This reflected in the fact that while its IT exports remain at $327 million on the books, officials admit that informally, exports are as high as $1.5 billion.

Pakistan’s positives were that the country performed comparatively better in the more advanced areas such as financial development where it stood at 72 and 81 on the business sophistication pillar.

The country has been placed among 37 economies whose development is factor-driven, which is the lowest stage among the three stages, spanning from factor-driven to efficiency driven and innovation driven.

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Reader Comments (38)

  • Sam
    Sep 3, 2014 - 10:03PM

    Apparently out parliament has no clue on this either

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  • Last Word
    Sep 3, 2014 - 10:07PM

    The rating of Pakistan would remain low in all fields as long as it continues the policy of state sponsored terrorism and fail to control the sectarian forces against minority communities.

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  • hellboy
    Sep 3, 2014 - 10:30PM

    With the NDA Govt. at centre India sure to move up in next one to two year with it already taken measures to deregulate policy,bureaucratic huddle to boost infrastructure,economy,finance sector.Pakistan can do the same.But most important is to get rid of terrorism.

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  • Saleem
    Sep 3, 2014 - 10:35PM

    There is no surprise in this report as Pakistan stood at 139 out of 142 covered by this survey. There is no rigging involve in this survey so we need to take it at its face value.

    Thanks to azadi and inqalabi marches, next year we will be at the bottom.

    India (71) has long surpassed us in every respect and we should stop comparing our self with it. Now we are in league of Sri Lanka (73), Nepal (102) and Bhutan (103). Even Bangladesh (109) has done much better than us.

    I would like Ahsan Iqbal to come out with his goofy advisers and stand up and lay down strategy that will at least bring us at par with Nepal, Sri Lanka and Bhutan.

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  • Ahmad
    Sep 3, 2014 - 10:53PM

    Thank you PTI and PAT for creating atmosphere for perhaps even further downgrade of this “award” for Pakistan in coming years.. You will be always remembered in the history of Pakistan as the greatest trouble makers this nation has ever produced.. Thanks again..

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  • Gee
    Sep 3, 2014 - 10:54PM

    Thanks imran and qadri

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  • Ch. Allah Daad
    Sep 3, 2014 - 10:59PM

    We are in a country where miscreants have established check posts and have started searching police and our armed forces are watching like outsiders.

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  • MK
    Sep 3, 2014 - 11:02PM

    @hellboy:
    Correct sir and just a clarification it is essential to mention that terrorism includes the activities carried out by LeT and anti India armed groups in pakistani safe havens and not just the talibs on western border of pakistan. If all form of terrorism is eliminated from pakistan there can be real progress.

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  • Blithe
    Sep 3, 2014 - 11:03PM

    Wonder if rating would have been so shockingly bad if PTI and TuQ miscreants hadn’t hijacked Isloo.

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  • Arqum
    Sep 3, 2014 - 11:04PM

    not an issue as long as the whole parliament stands united :p

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  • Dr. Udumbo Mogmbo
    Sep 3, 2014 - 11:16PM

    It is not a good news for Pakistan.
    Pakistanis should not lose hope as thing may improve, I know this personally. I am a somali know that the world used to laugh at our country Somalia, but now we have improved and I am proud to say that we are no longer bracketed with 4th world country like pakistan and north korea.

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  • gp65
    Sep 3, 2014 - 11:17PM

    @hellboy:
    India dropped 11 points from 60 to 71 due to policy paralysis this year. At the very least that issue will get resolved.

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  • Praful R Shah
    Sep 3, 2014 - 11:17PM

    As if this was not enough now you have Qadri and Imran Khan. Mr. Qadri got Canadian visa based on he was a refugee but here he is starting trouble. Why does not Pakistan’s Govt. ask Canadian to kick him out for lying. Do he and Imran Khan pay any taxes? Who pays Pakistani taxes? If this all was not enough have ISIS and you have all on plate to deal with. What can I say? Haven help you.

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  • Qandi Gul
    Sep 3, 2014 - 11:35PM

    Punjabi establishment is responsible for all of our nations ills.

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  • Sep 3, 2014 - 11:38PM

    Those of you who want PMLN, and nawaz sharif to stay, this is your future. Bangladesh will continue to beat Pakistan because of this corrupt parliament and corrupt PM is in charge. A glimpse into are future.

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  • Haider
    Sep 4, 2014 - 12:04AM

    I hope Pakistan will improve after Zarb E Azb…And Terrorist Attacks in Pak have reduced by 94% and sectarian killings by 70% from last year….I hope IK comes soon into power and make Naya Pakistan…Last Hope
    Do you foriegn debt of Pak is around 53 billion USD
    and money of Pakistanis (incl Sharif and Zardari) in swiss banks is around 200 billion usd……what about in other countries….
    Pakistan desperate for changeRecommend

  • gp65
    Sep 4, 2014 - 12:40AM

    @Blithe:
    The data collection for these results would have happened at least 2-3 months back – so it is possible it does not even factor Zarb-E-Azb

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  • Viking Star
    Sep 4, 2014 - 12:42AM

    Gift of DEMO CRAZY, unfortunately we do not have leaders who can run democracy. The best times Pakistan ever had were Ayub and Musharraf eras (Military Rulers).

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  • Iqbal
    Sep 4, 2014 - 12:48AM

    The report proves one point. Jinnah’s vision has failed.
    We need to give the keys back to India but the question is: will they accept?
    Kashmiris: note this report and think carefully. Religion and politics do not mix. Learn from the West: I have, hope you do.

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  • Sammy
    Sep 4, 2014 - 1:15AM

    You goons this survey was conducted before the azadi march begun get a life and open your eyes your looking at the right person and giving him the wrong reasons one day youll call him your HERO INSHALLAH

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  • Blithe
    Sep 4, 2014 - 1:35AM

    @Haider:
    You seem to be a highly innumerate person

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  • Zaid Hamid
    Sep 4, 2014 - 1:57AM

    Pakistan has double the rank of India! Thats progress, isn’t it?

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  • Sodomite
    Sep 4, 2014 - 2:12AM

    @Uzair aftab-qureishi:
    Pakistan is like the Movie “Back to the Future”. We continue to drift backwards into oblivion. Positives are sales of mobile phones and all night talk packages on offer with the result that our entire youth bulge spends all night flirting with multiple partners. No one gives a damn in putting in a day’s work. No wonder we are at the bottom of the pack.

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  • Grace
    Sep 4, 2014 - 2:20AM

    @Uzair aftab-qureishi: Didn’t you notice that the economy and our international ranking was improving under PML N. Go read Western reports like the Moodys report from US which was upbeat on Pakistan until this Dharna nonsense started. It seems that the improving economy in Pakistan scared some elements who then decided to create instability and stop the big projects and development. PAT and PTI played into the hands of anti state elements I think.

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  • Randomstranger
    Sep 4, 2014 - 2:37AM

    @Qandi Gul

    Yes it is Punjabi establishment’s fault. After all, all these Hakimullah Mehsuds, Fazlullahs, Omar khurasanis, etc are all Punjabi right?

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  • Syed
    Sep 4, 2014 - 4:11AM

    Not seen in any country, PM unable to appoint foreign minister in 14 months, speaks volumes about capability or competence of Govt. – forget about security policy or implementation of law.

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  • Dr.Arslaan
    Sep 4, 2014 - 5:27AM

    @Dr. Udumbo Mogmbo:

    Are you kidding? No one can compare Pakistan with Somalia. Pakistan far far better than any of the african country except South Africa.Pakistan will be soon progressing by leaps and bounds.

    You can compare your Somalia with Ethiopia or Congo. We would not mind. Pakistan can be compared with India or Srilanka.

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  • Strategic Asset
    Sep 4, 2014 - 6:54AM

    @Dr.Arslaan: Pakistan far far better than any of the african country except South Africa.

    You got it completely in reverse. Being ranked 142 out of 144 means that Pakistan is better off compared to exactly one African country, Libya. All of the other African countries are ranked better than Pakistan.

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  • Sher Singh Gill
    Sep 4, 2014 - 6:57AM

    @Dr.Arslaan:
    Sir it’s called sarcasm!Recommend

  • Professor
    Sep 4, 2014 - 7:31AM

    Just see India’s competitiveness ranking after Shri.Modi has finished his first term. It will be in the top 20. The systemic changes he is making will make India a force to reckon with. We produce some of the brightest students and reverse brain-drain is picking up and will hit full-steam in 3-4 years. I wish Pakistan would join in and make this region a knowledge-power. We can sort out the differences later.

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  • mdsr
    Sep 4, 2014 - 9:51AM

    @Gee:
    Its hilarious you are thanking imran and qadri and forgot, starting from the most recent, Mr. Zardari, Sharifs (in past; as their current performance is yet to be witnessed), Zia, in fact all ruling parties of past… Man thats what this country has sown over decades. Imran and Qadri are new entrants and are irrelevant for the report referred above…

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  • Muhammad Rizwan Ali
    Sep 4, 2014 - 10:47AM

    @Strategic Asset:
    I saw many African countries, people riding into Bus and Train in Cue,
    Is it possible in Pakistan in any City….

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  • Moiz Omar
    Sep 4, 2014 - 11:53AM

    This is terrible.

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  • Aschraful Makhlooq
    Sep 4, 2014 - 12:24PM

    When 60% security and law enforcement agencies’ personnels shall be appointed on the security of Pakistan’s president,prime minister,chief ministers,governors,VVIPs and bureaucrats and only 40% security and law enforcement agencies’ personnels shall be left for the whole country then automatically and naturally Pakistan shall be third least safe country….

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  • nrmr44
    Sep 4, 2014 - 2:31PM

    @Iqbal:
    To any Indian looking back, Partition was a great filtration process. Without in any way condoning the foolish loss of life, Partition resulted in significantly improving the average capability in India. Based purely on the visible evidence of 68 years, would anyone, let alone Indians, be willing to assume the administrative burden of managing Pakistanis?
    Throw those keys away, they don’t open any possibilities. Nobody wants them on this planet

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  • Haider
    Sep 4, 2014 - 3:08PM

    @blithe
    How??? tell me where i m wrongRecommend

  • Haider
    Sep 4, 2014 - 3:11PM

    @Strategic Asset
    This report is on security…But it has improved from last year..According to living standards Pakistan is ahead of many African countries..After Zarb e Azb..Terrorism will be ended in Pakistan….Recommend

  • Taimoor
    Sep 4, 2014 - 6:09PM

    When leaguers start blaming marches for this data set, you really find out how uneducated their supporters are.

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