ICT Development IndexE-Government Readiness Index (EGDI)Networked Readiness Index (NRI)Global Competitiveness Index (GCI)

The main purpose of the core list is to help countries produce high quality and internationally comparable data on information and communication technology. To assist in achieving this goal, the indicators have associated statistical standards and guidance.

  • Definitions of terms and concepts (e.g. computer, the Internet);
  • Derivation of indicators (e.g. use of appropriate denominators for proportions);
  • Model questions that can be included on national survey vehicles;
  • Classificatory variables (e.g. business size; age ranges for individual ICT use core indicators);
  • Collection scope (e.g. by business size or industry, age of individuals); and
  • Statistical units (e.g. household, individual).

Categories

ICT Infrastructure and Access
A1 Fixed telephone lines per 100 inhabitants
A1 refers to the number of fixed telephone lines in a country for each 100 inhabitants.

Fixed telephone lines refer to telephone lines connecting a subscriber's terminal equipment to the public switched telephone network (PSTN) and which have a dedicated port on a telephone exchange. This term is synonymous with the terms "main station" and "Direct Exchange Line" (DEL) that are commonly used in telecommunication documents. It may not be the same as an access line or a subscriber. The number of ISDN channels, public payphones and fixed wireless subscribers are included.

Fixed telephone lines per 100 inhabitants is calculated by dividing the number of fixed telephone lines by the total population and then multiplying by 100.
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A2 Mobile cellular telephone subscriptions per 100 inhabitants
A2 refers to the number of mobile cellular telephone subscriptions in a country for each 100 inhabitants.

Mobile cellular telephone subscriptions refer to subscriptions of portable telephones to a public mobile telephone ser- vice using cellular technology, which provides access to the PSTN. This includes analogue and digital cellular systems, including IMT-2000 (Third Generation, 3G). Both postpaid and prepaid subscriptions are included. Prepaid subscriptions are those where accounts have been used within a reasonable period of time (e.g. 3 months). Inactive subscriptions, that is, prepaid cards where a call has not been made or received within the last 3 months, are excluded.

Mobile cellular telephone subscriptions per 100 inhabitants is calculated by dividing the number of mobile cellular te- lephone subscriptions by the total population and then multiplying by 100.
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A3 Fixed internet subscribers per 100 inhabitants
A3 refers to the number of fixed Internet subscribers in a country for each 100 inhabitants.

Fixed Internet subscribers refer to the total number of Internet subscribers with fixed access, which includes dial-up and total fixed broadband subscribers: cable modem, DSL Internet subscribers, other fixed broadband and leased line Internet subscribers.

Fixed Internet subscribers per 100 inhabitants is calculated by dividing the number of fixed Internet subscribers by the total population and then multiplying by 100.
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A4 Fixed broadband Internet subscribers per 100 inhabitants

A4 refers to the number of fixed broadband Internet subscribers in a country for each 100 inhabitants.

Fixed broadband Internet subscribers refer to entities (e.g. businesses, individuals) subscribing to paid high-speed access to the public Internet (a TCP/IP connection). High speed access is defined as being at least 256 kbit/s, in one or both directions. Fixed broadband Internet includes cable modem, DSL, fibre and other fixed broadband technology (such as satellite broadband Internet, Ethernet LANs, fixed wireless access, Wireless Local Area Network and WiMAX). Subscribers to data communications access (including the Internet) via mobile cellular networks are excluded.

Fixed broadband Internet subscribers per 100 inhabitants is calculated by dividing the number of fixed broadband Internet subscribers by the total population and then multiplying by 100.

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A5 Mobile broadband subscriptions per 100 inhabitants

A5 refers to the number of mobile broadband subscriptions in a country for each 100 inhabitants.

Mobile broadband subscriptions are subscriptions to mobile cellular networks with access to data communications (e.g. the Internet) at broadband speeds (defined as greater than or equal to 256 kbit/s in one or both directions) such as WCDMA, HSDPA, CDMA2000 1xEV-DO and CDMA 2000 1xEV-DV, irrespective of the device used to access the Internet (handheld computer, laptop or mobile phone etc). These services are typically referred to as 3G or 3.5G and include:

  • Wideband CDMA (W-CDMA), an IMT-2000 3G mobile network technology, based on CDMA that presently delivers packet-switched data transmission speeds up to 384 kbit/s and up to 2 Mbit/s when fully implemented. It is known as Universal Mobile Telecommunications System (UMTS) in Europe.
  • High-speed Downlink Packet Access (HSDPA), an upgrade to W-CDMA to allow downlink data transmission at speeds of typically 8-10 Mbit/s. It is complemented by High-Speed Uplink Packet Access (HSUPA), which offers uplink speeds of around 5 Mbit/s.
  • CDMA2000 1xEV-DO (Evolution, Data Optimised), an IMT-2000 3G mobile network technology, based on CDMA that delivers packet-switched data transmission speeds of up to 4.9 Mbit/s.

Mobile broadband subscriptions per 100 inhabitants is calculated by dividing the number of mobile broadband subs- criptions by the total population and then multiplying by 100.
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A6 International Internet bandwidth per inhabitant (bits/second/inhabitant)

A6 refers to the international Internet bandwidth potentially available to each inhabitant of a country. It is expressed as bits/second/inhabitant.

International Internet bandwidth refers to the capacity that backbone operators provide to carry Internet traffic, mea- sured in bits per second.

International Internet bandwidth per inhabitant is calculated by dividing the amount of bandwidth (in bits/second) by the total population.

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A7 Percentage of the population covered by a mobile cellular telephone network

A7 refers to the percentage of a country's inhabitants that live within areas served by a mobile cellular signal, irres- pective of whether or not they choose to use it.

Percentage of the population covered by a mobile cellular telephone network measures the theoretical ability to use mobile cellular services if one has a cellular telephone and a subscription.

Percentage of the population covered by a mobile cellular telephone network is calculated by dividing the number of inhabitants within range of a mobile cellular signal by the total population and then multiplying by 100 to be expressed as a percentage.

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A8 Fixed broadband Internet access tariffs per month in US$, and as a percentage of monthly per capita income

A8 has two parts:

  • Fixed broadband Internet access tariffs per month, in US$
  • Fixed broadband Internet access tariffs per month, as a percentage of monthly per capita income

Fixed broadband Internet access tariffs represent the cheapest broadband entry plan converted to US$ for a minimum 256 kbit/s connection. Data are compiled by ITU using the tariffs collected from countries (through a questionnaire, directly from Internet service providers' (ISP) websites or through direct correspondence with ISPs).

Monthly charges do not include installation fees nor modem rentals.

As a percentage of monthly per capita income refers to the fixed broadband Internet access tariffs per month in US$ divided by the average monthly gross national income per capita (World Bank, Atlas method, current US$). The result is then multiplied by 100 to be expressed as a percentage.
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A9 Mobile cellular telephone prepaid tariffs per month in US$, and as a percentage of monthly per capita income

A9 has two parts:

  • Mobile cellular telephone prepaid tariffs per month, in US$
  • Mobile cellular telephone prepaid tariffs per month, as a percentage of monthly per capita income

Mobile cellular telephone prepaid tariffs are based on the methodology of the OECD monthly low-user basket4 (version 2001), which includes the cost of monthly mobile usage for 25 outgoing calls (on-net, off-net and to a fixed line) in predetermined ratios, plus 30 SMS messages.

As a percentage of monthly per capita income is calculated by dividing the price of the monthly low user basket by the average monthly gross national income per capita (World Bank, Atlas method, current US$). The result is then multiplied by 100 to be expressed as a percentage.
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A10 Percentage of localities with public Internet access centres (PIACs)

A10 refers to the percentage of a country's localities that provide Internet access to the public through PIACs.

A public Internet access centre (PIAC) is a site, location, or centre of instruction at which Internet access is made available to the public, on a full-time or part-time basis. PIACs include telecentres, digital community centres, Internet cafés, libraries, education centres and other similar establishments that offer Internet access to the general public. All such centres should have at least one public computer for Internet access.

Localities can refer to a country's villages, towns, cities or enumeration areas used by the national statistical office for survey purposes.

Percentage of localities with public Internet access centres is calculated by dividing the number of localities with at least one PIAC by the total number of the country's localities. The result is then multiplied by 100.
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Access to, and use of, ICT by households and individuals
HH1 Proportion of households with a radio
HH1 refers to radio access (not use) at home by in-scope households.

A radio is defined as a device capable of receiving broadcast radio signals, using popular frequencies, such as FM, AM, LW and SW. It includes a radio set integrated in a car or an alarm clock and digital audio player (MP3 player) but excludes radios integrated with a mobile phone or in a computer.

The proportion of households with a radio is calculated by dividing the number7 of in-scope households with a radio by the total number7 of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.
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HH2 Proportion of households with a TV
HH2 refers to television access (not use) at home by in-scope households.

A TV (television) is defined as a stand-alone device capable of receiving broadcast television signals, using popular access means such as over-the-air, cable and satellite. It excludes TV functionality integrated with another device, such as a computer or a mobile phone.

The proportion of households with a TV is calculated by dividing the number of in-scope households with a television by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.
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HH3 Proportion of households with telephone
The proportion of households with any telephone is calculated by dividing the number of in-scope households with access to any telephone (fixed or mobile) by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.

The proportion of households with fixed telephone only is calculated by dividing the number of in-scope households with a fixed telephone only by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.

The proportion of households with mobile cellular telephone only is calculated by dividing the number of in-scope households with a mobile phone only by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.

The proportion of households with both fixed and mobile cellular telephone is calculated by dividing the number of in- scope households with both a fixed and mobile phone by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.
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HH4 Proportion of households with a computer
HH4 refers to computer access (not use) at home by in-scope households.

A computer is a desktop or a laptop computer. It does not include equipment with some embedded computing abilities such as mobile cellular phones, personal digital assistants (PDAs) or TV sets.

The proportion of households with a computer is calculated by dividing the number of in-scope households with a com- puter by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.
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HH5 Proportion of individuals who used a computer in the last 12 months
HH5 refers to computer use in the previous 12 months from any location by in-scope individuals.

A computer is a desktop or a laptop computer. It does not include equipment with some embedded computing abilities such as mobile cellular phones, personal digital assistants (PDAs) or TV sets.

The proportion of individuals who used a computer is calculated by dividing the number of in-scope individuals who used a computer from any location in the last 12 months by the total number of in-scope individuals. The result is then multiplied by 100 to be expressed as a percentage.
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HH6 Proportion of households with Internet access
HH6 refers to access to (not use of) the Internet at home by in-scope households.

The Internet is a worldwide public computer network. It provides access to a number of communication services inclu- ding the World Wide Web and carries e-mail, news, entertainment and data files.

The proportion of households with Internet access at home is calculated by dividing the number of in-scope households with Internet access by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.
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HH7 Proportion of individual use of the Internet in the last 12 months
HH7 refers to Internet use in the previous 12 months from any location by in-scope individuals.

The Internet is a worldwide public computer network. It provides access to a number of communication services inclu- ding the World Wide Web and carries e-mail, news, entertainment and data files.

The proportion of individuals who used the Internet is calculated by dividing the number of in-scope individuals who used the Internet (from any location) in the last 12 months by the total number of in-scope individuals. The result is then multiplied by 100 to be expressed as a percentage.
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HH8 Location of individual use of the Internet in the last 12 months
HH8 refers to the location of Internet use by in-scope individuals in the previous 12 months. Locations are defined per the response categories in the model question below. They are:

  • Home
  • Work
  • Place of education
  • Another person's home
  • Community Internet access facility
  • Commercial Internet access facility
  • Any place via a mobile cellular telephone
  • Any place via other mobile access devices

The Internet is a worldwide public computer network. It provides access to a number of communication services inclu- ding the World Wide Web and carries e-mail, news, entertainment and data files.

The proportion of individuals who used the Internet at each location can be calculated as either the proportion of in- scope individuals or the proportion of Internet users, using the Internet at each location. In either case, the result is then multiplied by 100 to be expressed as a percentage.
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HH9 Internet activities undertaken by individuals in the last 12 months
HH9 refers to Internet activities undertaken by in-scope individuals from any location in the previous 12 months. Internet activities are defined per the response categories in the model question below. They are:

  • Getting information about goods or services
  • Getting information related to health or health services
  • Getting information from general government organizations
  • Interacting with general government organizations
  • Sending or receiving e-mail
  • Telephoning over the Internet/VoIP
  • APosting information or instant messaging
  • Purchasing or ordering goods or services
  • Internet banking
  • Education or learning activities
  • Playing or downloading video games or computer games
  • Downloading movies, images, music, watching TV or video, or listening to radio or music
  • Downloading software
  • Reading or downloading online newspapers or magazines, electronic books

The Internet is a worldwide public computer network. It provides access to a number of communication services inclu- ding the World Wide Web and carries e-mail, news, entertainment and data files.

The proportion of individuals who undertook each activity can be calculated as either the proportion of in-scope indi- viduals or the proportion of Internet users who undertook each activity. In either case, the result is then multiplied by 100 to be expressed as a percentage.
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HH10 Proportion of individuals who used a mobile cellular telephone in the last 12 months
HH10 refers to mobile cellular telephone use in the previous 12 months by in-scope individuals.

Mobile cellular telephone refers to a portable telephone subscribing to a public mobile telephone service using cellular technology, which provides access to the PSTN. This includes analogue and digital cellular systems, as well as IMT-2000 (3G). Users of both postpaid subscriptions and prepaid accounts are included.

The proportion of individuals who used a mobile cellular telephone is calculated by dividing the total number of in-scope individuals who used a mobile cellular telephone in the last 12 months by the total number of in-scope individuals. The result is then multiplied by 100 to be expressed as a percentage.
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HH11 Proportion of households with access to the Internet by type of access
HH11 refers to the Internet access service/s used at home by in-scope households.

Internet access services are defined per the response categories in the model question below. They should be aggre- gated into the following broad categories:

  • Narrowband
  • Fixed broadband
  • Mobile broadband

The Internet is a worldwide public computer network. It provides access to a number of communication services inclu- ding the World Wide Web and carries e-mail, news, entertainment and data files.

This indicator is generally calculated as the proportion of in-scope households with Internet access that use each type of access service, for instance, the proportion of households with Internet access that use a fixed broadband service as their means of access. However, it may also be useful to compare with the total population, for instance, the pro- portion of all households with mobile broadband. In either case, the result is then multiplied by 100 to be expressed as a percentage.
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HH12 Frequency of individual use of the Internet in the last 12 months
HH12 refers to frequency of Internet use by in-scope individuals from any location in the previous 12 months, as follows:

  • At least once a day
  • At least once a week but not every day
  • Less than once a week

The Internet is a worldwide public computer network. It provides access to a number of communication services inclu- ding the World Wide Web and carries e-mail, news, entertainment and data files.

The frequency of individual use of the Internet can be calculated as either the proportion of in-scope individuals or the proportion of Internet users, using the Internet with each frequency. In either case, the result is then multiplied by 100 to be expressed as a percentage.
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HHR1 Proportion of households with electricity
Indicator HHR1 is a reference indicator, included because electricity is required to run many ICTs.

Electricity access may be by a grid/mains connection, or from power generated locally (including at the dwelling). Local power includes electricity generated by a fuel-powered generator, or from renewable resources such as wind, water or solar. It excludes sole use of energy storage devices, such as batteries (though these may be used to store electricity from other sources).

The proportion of households with electricity is calculated by dividing the number of in-scope households with electri- city by the total number of in-scope households. The result is then multiplied by 100 to be expressed as a percentage.
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Use of ICT by business
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HHR1 Proportion of households with electricity
ICT (producing) sector
International trade in ICT goods
ICT in education

Source: Core ICT Indicators 2010, International Telecommunication Union

The E-Government Readiness Index (EGDI) is a composite measure of the capacity and willingness of countries to use e-government for ICT-led development. The EGDI has been updated annually by the United Nations Public Administration Programme (UNPAP) since its creation in 2003. It covers all Member states of the UN. The EGDI looks at the most important dimensions of e-government: (i)scope and quality of online services, (ii) telecommunication connectivity, and (iii) human capacity. Government’s efforts are ranked but countries size, infrastructure availability and ICT penetration, and the level of education and skill development are taken into account. Closely connected to the survey, the UNPAP also produces an E-Participation Index.

The index rates the performance of national governments relative to one another by averaging three other indices:

Online Services Index
The Web Measure Index is based upon a four-stage model, which is ascending in nature and builds upon the previous level of sophistication of a state’s online presence. The model defines four stages of E-Government Development according to scale of progressively sophisticated citizen services. As countries progress, they are ranked higher in the Model according to a numerical classification corresponding to the four stages.

Stage 1: Emerging Presence
Emerging Presence is Stage I representing information, which is limited and basic. The e-government online presence comprises a web page and /or an official website; links to ministries/departments of education, health, social welfare, labor and finance may/may not exist; links to regional/local government may/may not exist; some archived information such as the head of states' message or a document such as the constitution may be available on line, most information remains static with the fewest options for citizens.
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Stage 2: Enhanced Presence
Enhanced presence is Stage II in which the government provides greater public policy and governance sources of current and archived information, such as policies, laws and regulation, reports, newsletters, and downloadable databases. The user can search for a document and there is a help feature and a site map provided. A larger selection of public policy documents such as an e-government strategy, policy briefs on specific education or health issues. Though more sophisticated, the interaction is still primarily unidirectional with information flowing essentially from government to the citizen.
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Stage 3: Transactional Presence
Transactional presence is Stage III that allows two-way interaction between the citizen and his/her government. It includes options for paying taxes; applying for ID cards, birth certificates/passports, license renewals and other similar C2G interactions by allowing him/her to submit these online 24/7. The citizens are able to pay for relevant public services, such as motor vehicle violation, taxes, fees for postal services through their credit, bank or debit card. Providers of goods and services are able to bid online for public contacts via secure links.
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Stage 4: Connected Presence
Connected presence is Stage IV which represents the most sophisticated level in the online e-government initiatives. It can be characterized by an integration of G2G, G2C and C2G (and reverse) interactions. The government encourages participatory deliberative decision-making and is willing and able to involve the society in a two way open dialogue. Through interactive features such as the web comment form, and innovative online consultation mechanisms, the government actively solicits citizens’ views on public policy, law making, and democratic participatory decision making.
[_/su_spoiler] Source: UN E-Government Online Service Index
Telecommunication Infrastructure Index
The telecommunication infrastructure index is a composite of the following five indicators:

  • Number of personal computers per 100 persons
  • Number of Internet users per 100 persons
  • Number of telephone lines per 100 persons
  • Number of mobile cellular subscriptions per 100 persons
  • Number of fixed broadband subscribers per 100 persons
Human Capital Index
The human capital index is a composite of two indicators:

  • Adult literacy rate
  • Combined primary, secondary, and tertiary gross enrollment ratio

The Networked Readiness Index (NRI) is a metric spearheaded by the World Economic Forum (WEF) to measure how countries are able to utilize their ICT sector for their competitiveness and development. It rests on six principles:

  • a high-quality regulatory and business environment is critical in order to fully leverage ICTs and generate impact;
  • ICT readiness—as measured by ICT affordability, skills and infrastructure—is a pre-condition to generating impact;
  • fully leveraging ICTs requires a society-wide effort: the government, the business sector, and the population at large each have a critical role to play;
  • ICT use should not be an end in itself. The impact that ICTs actually have on the economy and society is what ultimately matters;
  • the set of drivers—the environment, readiness, and usage—interact, co-evolve, and reinforce each other to form a virtuous cycle; and
  • the networked readiness framework should provide clear policy guidance.

Source: Global Information Technology Report

The NRI is made up of 4 main categories (sub-indices), 10 subcategories (pillars), and 53 individual indicators listed below:

Environment Sub-Index
Political and regulatory environment
  • Effectiveness of law-making bodies
  • Laws relating to ICTs
  • Judicial independence
  • Efficiency of legal framework in settling disputes
  • Efficiency of legal framework in challenging regulations
  • Intellectual property protection
  • Software piracy rate
  • Number of procedures to enforce a contract
  • Time required to enforce a contract

Source: Global Information Technology Report

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Business and innovation environment
  • Availability of latest technologies
  • Venture capital availability
  • Total tax rate
  • Time required to start a business
  • Number of procedures required to start a business
  • Intensity of local competition
  • Tertiary education enrollment rate
  • Quality of management schools
  • Government procurement of advanced technology products

Source: Global Information Technology Report

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Readiness Sub-Index
Infrastructure
  • Electricity production
  • Mobile network coverage rate
  • International Internet bandwidth
  • Secure Internet servers

Source: Global Information Technology Report

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Affordability
  • Prepaid mobile cellular tariffs
  • Fixed broadband Internet tariffs
  • Internet and telephony sectors competition index

Source: Global Information Technology Report

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Skills
  • Quality of the educational system
  • Quality of math and science education
  • Secondary enrollment rate
  • Adult literacy rate

Source: Global Information Technology Report

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Usage Sub-Index
Individual Usage
  • Mobile telephone subscriptions
  • Internet users
  • Households with a personal computer
  • Households with Internet access
  • Fixed broadband Internet subscriptions
  • Mobile broadband Internet subscriptions
  • Use of virtual social network

Source: Global Information Technology Report

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Business Usage
  • Firm-level technology absorption
  • Capacity for innovation
  • PCT patents applications
  • Business-to-business Internet use
  • Business-to-consumer Internet use
  • Extent of staff training

Source: Global Information Technology Report

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Government Usage
  • Importance of ICTs to government vision of the future
  • Government Online Service Index
  • Government success in ICT promotion

Source: Global Information Technology Report

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Impact Sub-Index
Economic impacts
  • Impact of ICTs on new services and products
  • PCT ICT patent applications
  • Impact of ICTs on new organizational models
  • Share of workforce employed in knowledge-intensive activities (%)

Source: Global Information Technology Report

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Social impacts
  • Impact of ICTs on access to basic services
  • Internet access in schools
  • ICT use and government efficiency
  • E-Participation Index

Source: Global Information Technology Report

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The Global Competitiveness Index (GCI) is used by the World Economic Forum (WEF) to measure the competitiveness of different countries based on various factors. WEF defines competitiveness as "the set of institutions, policies, and factors that determine the level of productivity of a country." The rationale behind analyzing the following components is the premise that these components work together in affecting the competitiveness of a country. The GCI, therefore, is a result of an aggregated weighted assessment of these countries.

Source: Global Competitiveness Report

The GCI is analyzed through the following criteria (12 pillars), listed within the sub-indices:

Basic Requirements Sub-Index
Pillar 1: Institutions

The first

  • Public Institutions
    1. Property Rights
      • Property rights
      • Intellectual property protection
    2. Ethics and corruption
      • Diversion of public funds
      • Public trust in politicians
      • Irregular payments and bribes
    3. Undue influence
      • Judicial independence
      • Favoritism in decisions of government officials
    4. Public-sector performance
      • Wastefulness of government spending
      • Burden of government regulation
      • Efficiency of legal framework in settling disputes
      • Efficiency of legal framework in challenging regulations
      • Transparency of government policymaking
    5. Security
      • Business costs of terrorism
      • Business costs of crime and violence
      • Organized crime
      • Reliability of police services
  • Private Institutions
    1. Corporate ethics
      • Ethical behavior of firms
    2. Accountability
      • Strength of auditing and reporting standards
      • Efficacy of corporate boards
      • Protection of minority shareholders' interests
      • Strength of investor protection

Source: Global Competitiveness Report

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Pillar 2: Infrastructure
  • Transport infrastructure
    1. Quality of overall infrastructure
    2. Quality of roads
    3. Quality of railroad infrastructure
    4. Quality of port infrastructure
    5. Quality of air transport infrastructure
    6. Available airline seat kilometers
  • Electricity and telephony infrastructure
    1. Quality of electricity supply
    2. Mobile telephone subscriptions
    3. Fixed telephone lines

Source: Global Competitiveness Report

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Pillar 3: Macroeconomic environment
  • Government budget balance
  • Gross national savings
  • Inflation
  • Government debt
  • Country credit rating

Source: Global Competitiveness Report

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Pillar 4: Health and primary education
  • Health
    1. Business impact of malaria
    2. Malaria incidence
    3. Business impact of tuberculosis
    4. Tuberculosis incidence
    5. Business impact of HIV/AIDS
    6. HIV prevalence
    7. Infant mortality
    8. Life expectancy
  • Primary education
    1. Quality of primary education
    2. Primary education enrollment rate

Source: Global Competitiveness Report

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Efficiency Enhancers Sub-Index
Pillar 5: Higher education and training
  • Quantity of education
    1. Secondary education enrollment rate
    2. Tertiary education enrollment rate
  • Quality of education
    1. Quality of the educational system
    2. Quality of math and science education
    3. Quality of management schools
    4. Internet access in schools
  • On-the-job training
    1. Local availability of specialized research and training services
    2. Extent of staff training

Source: Global Competitiveness Report

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Pillar 6: Goods market efficiency
  • Competition
    1. Domestic competition
      • Intensity of local competition
      • Extent of market dominance
      • Effectiveness of anti-monopoly policy
      • Effect of taxation on incentives to invest
      • Total tax rate
      • Number of procedures required to start a business
      • Time required to start a business
      • Agricultural policy costs
    2. Foreign competition variable
      • Prevalence of trade barriers
      • Trade tariffs
      • Prevalence of foreign ownership
      • Business impact of rules on FDI
      • Burden of customs procedures
      • Imports as a percentage of GDP
  • Quality of demand conditions
    1. Degree of customer orientation
    2. Buyer sophistication

Source: Global Competitiveness Report

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Pillar 7: Labor market efficiency
  • Flexibility
    1. Cooperation in labor-employer relations
    2. Flexibility of wage determination
    3. Hiring and firing practices
    4. Redundancy costs
    5. Effect of taxation on incentives to work
  • Efficient use of talent
    1. Pay and productivity
    2. Reliance on professional management
    3. Country capacity to retain talent
    4. Country capacity to attract talent
    5. Female participation in labor force

Source: Global Competitiveness Report

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Pillar 8: Financial market development
  • Efficiency
    1. Financial services meeting business needs
    2. Affordability of financial services
    3. Financing through local equity market
    4. Ease of access to loans
    5. Venture capital availability
  • Trustworthiness and confidence
    1. Soundness of banks
    2. Regulation of securities exchange
    3. Legal rights index

Source: Global Competitiveness Report

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Pillar 9: Technological readiness
  • Technological adoption
    1. Availability of latest technologies
    2. Firm-level technology absorption
    3. FDI and technology transfer
  • ICT use
    1. Internet users
    2. Broadband internet subscriptions
    3. Internet bandwidth
    4. Mobile broadband subscriptions
    5. Mobile telephone subscriptions
    6. Fixed telephone lines

Source: Global Competitiveness Report

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Pillar 10: Market size
  • Domestic market size
    1. Domestic market size index
  • Foreign market size
    1. Foreign market size index

Source: Global Competitiveness Report

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Innovation and Sophistication Factors Sub-Index
Pillar 11: Business sophistication
  • Local supplier quantity
  • Local supplier quality
  • State of cluster development
  • Nature of competitive advantage
  • Value chain breadth
  • Control of international distribution
  • Production process sophistication
  • Extent of marketing
  • Willingness to delegate authority
  • Reliance on professional management

Source: Global Competitiveness Report

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Pillar 12: Innovation
  • Capacity for innovation
  • Quality of scientific research institutions
  • Company spending on R&D
  • University-industry collaboration in R&D
  • Government procurement of advanced technology products
  • Availability of scientists and engineers
  • PCT patent applications
  • Intellectual property protection

Source: Global Competitiveness Report

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