According to the World Economic Forum, infrastructure is the second pillar on which Global Competitiveness is built. Well-developed infrastructure bolsters economic development, facilitates service delivery and attracts foreign direct investment. What are the benefits of well-developed infrastructure to a country’s economic growth potential?

WHAT IS GLOBAL COMPETITIVENESS?


The Global Competitiveness Report (GCR)1 is an annual publication delivered by the World Economic Forum. Since 2004, the GCR has been based on the Global Competitiveness Index (GCI) that defines competitiveness as: “the set of institutions, policies and factors that determine the level of productivity of a country”.

Productivity relates to two key drivers of economic growth:

Sustained high levels of income

Rates of return on investment

In other words, the potential for economic prosperity and the potential rates of return obtained by investments in an economy are key factors in an economy’s “growth potential”.

INFRASTRUCTURE – THE SECOND PILLAR


The GCI serves as an estimate of the level of productivity and competitiveness of an economy based on 12 key interrelated pillars:

Institutions

Infrastructure

Macroeconomic environment

Health and primary education

Higher education and Training

Global market efficiency

Labour market efficiency

Financial market development

Technological readiness

Market Size

Business sophistication

Innovation

Infrastructure is the second key pillar on which economic development/competitiveness is built along with institutions, the macro-economic environment, as well as health and primary education. According to the GCR:

Extensive and efficient infrastructure is critical for ensuring the effective functioning of the economy, as it is an important factor in determining the location of economic activity and the kinds of activities or sectors that can develop within a country.

10 WAYS EFFICIENT INFRASTRUCTURE MAKES YOUR COUNTRY MORE COMPETITIVE


Well-developed transportation, electricity and telecommunications infrastructure make a country attractive to investors and help to:

Reduce distance between regions

Increase economic opportunities

Reduce income inequalities and poverty

Facilitate the integration of markets on national, regional, international and global scales

Afford less-developed communities access to core economic activities and services

Allow entrepreneurs to access markets in a secure and timely manner

Enable workers access to suitable jobs and to reach work on time

Ensure the unimpeded work of businesses and factories

Increase economic efficiency by enabling the rapid and free-flow of information

Facilitate business communications and informed decision-making



INFRASTRUCTURE LIFECYCLE ASSET MANAGEMENT IS ESSENTIAL


Well-developed infrastructure is central to economic growth. To ensure that this pillar of competitiveness stands firm, integrated technologically-driven Infrastructure Asset Lifecycle Management becomes essential.

All municipalities, big or small, are faced with juggling limited financial and human resources that must be directed at maintaining and renewing infrastructure, addressing backlogs in service delivery, and comprehensively dealing with changes in demand. IMQS offers your organisation the foundation on which to build strong comprehensive lifecycle asset management systems. With our Asset Management Module, Project Control System and Maintenance Management module, you can enhance the value you get from your assets.

Contact us today to hear more about the solutions we offer.