The Global Competitiveness Report

The Global Competitiveness Report Special Edition 2020 shifts from traditional rankings to a framework for economic recovery and transformation. It identifies critical priorities across four pillars: enabling environment, human capital, markets, and innovation ecosystems. The report argues that the pandemic accelerated existing trends, such as digitalization and institutional erosion, and calls for a 'build back better' approach that integrates planetary and social targets into economic policy. A preliminary 'transformation readiness' assessment of 37 economies suggests that while no country is fully prepared, the 'Nordic model' is the most promising. The report also uses business sentiment to highlight that while government responsiveness improved during the crisis, competition in services declined and skilled labor shortages persisted.

• The report identifies a long-term trend of institutional decay, noting a consistent erosion of checks and balances and transparency globally. In G20 economies, the perception of judicial independence fell by approximately 4.6% and the efficiency of legal frameworks for challenging regulations dropped by 7.9% between 2009 and 2020.
• Public debt has reached unprecedented levels due to emergency stimulus measures. Advanced economies' debt-to-GDP ratios were expected to rise from 105.2% in 2019 to 122% by the end of 2020, while emerging G20 countries were expected to increase from 54.2% to 63.3%.
• A significant digital divide persists globally; only 53.6% of the world's population uses the internet, and 95% of the offline population resides in emerging and developing countries.
• Talent shortages are worsening due to outdated education systems and a specific lack of digital skills. In OECD countries, 14% of jobs are at 'high risk' and 32% are at 'significant risk' of automation, yet digital skills scores have declined in 16 of 27 OECD countries over the last four years.
• Financial systems have become sounder since the 2008 crisis but remain fragile due to increased corporate debt risks and liquidity mismatches. Additionally, financial inclusion remains low, with some Sub-Saharan African countries having fewer than four bank branches per 100,000 people.
• Market concentration is increasing in advanced economies, creating large productivity and profitability gaps between top firms and others. This trend is expected to be exacerbated by the pandemic, potentially reinforcing 'winner-take-all' outcomes.
• Trade openness and the international movement of people have declined since the financial crisis. Business leaders in G20 countries report that non-tariff barriers increased by 7.9% and FDI restrictiveness increased by 11.6% over the last 12 years.
• While entrepreneurial culture has improved, the creation of new firms and breakthrough technologies has stalled. Innovation has failed to deliver sufficient solutions for energy consumption, emissions, and inclusive social services.
• A preliminary 'transformation readiness' assessment of 37 economies found that no country is fully ready to transform its economy. However, the 'Nordic model' (specifically Finland, Denmark, and Sweden) is identified as the most promising approach for achieving sustainable and inclusive prosperity.
• Business perceptions during the pandemic showed a marked decline in competition for network, professional, and retail services in advanced economies. Conversely, there was a positive shift in perceptions of government responsiveness to change and the soundness of banks.

APA

Schwab, K., & Zahidi, S. (2020). The Global Competitiveness Report. World Economic Forum. http://www3.weforum.org/docs/WEF_TheGlobalCompetitivenessReport2020.pdf

Chicago

Schwab, Klaus, and Saadia Zahidi. The Global Competitiveness Report. World Economic Forum, 2020. http://www3.weforum.org/docs/WEF_TheGlobalCompetitivenessReport2020.pdf.

Wikipedia

{{cite report |last1=Schwab |first1=Klaus |last2=Zahidi |first2=Saadia |title=The Global Competitiveness Report |publisher=World Economic Forum |date=2020 |url=http://www3.weforum.org/docs/WEF_TheGlobalCompetitivenessReport2020.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{schwab2020global, author = {Schwab, Klaus and Zahidi, Saadia}, title = {{The Global Competitiveness Report}}, institution = {World Economic Forum}, year = {2020}, url = {http://www3.weforum.org/docs/WEF_TheGlobalCompetitivenessReport2020.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }