New Delhi: Amid the amazing promotion made by record foreign fund inflows and soaring expansion rates, India went down six notches to 48th position in the most recent annual rankings of the Global Competitiveness Report issued by World Economic Forum (WEF).

In its review, the WEF stated that India fails to attain higher
ranking because there is a lack of macroeconomic stableness and
appropriate infrastructure facilities in the country.

The United States headed the ranking list as the world’s most
private-enterprise economic system. In terms of domestic market size,
India has been ranked third.

India’s ranking amongst the three sub-indices under GCL has bettered
to 31 from last year’s 41 position, in efficiency enhancers. However,
it dangled to 74 from 60 in basic requirements, and its rating on the
basis of innovation factors remained unaltered at 26.

Some relief can be derived from the reality that India has surpassed
Russia, (rank 58) and Brazil (72), but behind China (34) in the WEF’s
Global Competitiveness Index 2007-08.

Fiona Paua, World Economic Forum head of strategic insight teams
said, “The quality of the business environment in India has improved
tangibly in recent years, with increased efficiency of goods, labour
and financial markets and greater innovation and sophistication of firm
operations. However, a number of weaknesses persist that need to be
addressed especially in the area of infrastructure quality.”

Moreover, dealing with shortcomings in the provision of health
services and education will ensure that the benefits of economic growth
are more broadly distributed,” Fiona added.

The ranks are given on the basis of information publicly available
and the supervisory opinion review that is a business leaders’ census,
channeled by the World Economic Forum (WEF).