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CROATIA RANKED 53RD ACCORDING TO ECONOMIC COMPETITIVENESS

WASHINGTON, Nov 2 (Hina) - Croatia was ranked 53rd according to economic competitiveness in the World Economic Forum's (WEF) annual report for 2003/4, released in Washington on Thursday.
WASHINGTON, Nov 2 (Hina) - Croatia was ranked 53rd according to economic competitiveness in the World Economic Forum's (WEF) annual report for 2003/4, released in Washington on Thursday. #L# Finland was ranked first, with the most competitive economy and the best business conditions. It is followed by the United States, Sweden, Denmark, and Taiwan. The WEF surveyed 102 countries, taking into account factors with key influence on economic growth, notably macroeconomic conditions, the quality of public institutions and the infrastructure, and the state of technology. In the latest report, Croatia fell three places from the 2002 report. Croatia received good grades for technology, ranking 41st. The quality of institutions earned it the 67th place and macroeconomic conditions the 55th, with the final placing in the report at 53. Among the transition countries of Central and Eastern Europe, more competitive than Croatia are the economies of the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia, and Slovenia. Among them, Estonia was ranked best at the 22nd position. Slovenia ranked 31st, while Serbia-Montenegro ranked 77th. Countries were also assessed according to factors supporting productivity and the ensuing economic effect, gauged by gross domestic product per capita. This business competitiveness index reflects microeconomic indicators, how developed are companies' operations models, and the quality of business conditions companies operate under. Croatia was ranked 62nd according to the business competitiveness index, down eight places from last year, which is due to the stronger competitiveness of other countries in transition, the report says. Among Croatia's biggest macroeconomic advantages are loan availability and a low inflation, while the shortcomings include government subsidies, the budget deficit, and the range of interest rates, the report reads. The shortcomings of public institutions include ownership rights, the issue of the independence of the judiciary, and protectionism in decisions concerning state officials. (hina) ha sb

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