Ireland is the world’s most globalised nation in terms of sharing technology and innovation, Ernst & Young’s Globalisation and the Changing World of Business report suggests.
The report, which has been released to coincide with the conclusion of the World Economic Forum in Davos, also confirms Ireland is the world’s second-most globalised nation overall, and the most globalised nation in the Western world.
The global report, drafted in collaboration with the Economist Intelligence Unit (EIU), also confirms that Ireland is forecast to displace the current leader, Hong Kong, to become the most globalised nation in the world by the end of 2011, a position it will retain until at least 2014. This forecast a result of further increased movement of goods and services, with an estimate of trade rising to the equivalent of more than 230pc of GDP in 2014. Cultural integration will also increase, with total tourism steadily rising from 3,400 per 1,000 of its population in 2010 to 3,600 in 2014.
After a brief pause in 2009 and a modest rebound in 2010, the world’s largest 60 economies will continue to globalise steadily between now and 2014, driven by the continued global economic recovery, technology innovation and the rise of the emerging markets.
The top 10 nations in terms of technology globalisation:
10/ Hong Kong
The index has five measurements to assess a country’s individual global ranking, including its openness to global trade, global capital movements, global exchange of technology and ideas, global labour movements and cultural integration. Each of the criteria’s weighting was validated by the 1,000 global business leaders surveyed.
In addition to improving its overall globalisation ranking, Ireland achieved No 1 positions in two of the five categories measured; international exchange of technology and ideas – largely attributed to greater numbers of internet subscribers, and international exchange of labour. It was noted however, that Ireland’s overall labour result fell in the last 12 months as a result of lower net migration (4.2 per 1,000 people in 2010 compared with 9.1 in 2009).
“Although domestic economic conditions remain extremely challenging, we must continue to recognise that Ireland retains core strengths which are key to recovery,” said Mike McKerr, managing partner, Ireland, with Ernst & Young.
“(Ireland’s) globalisation ranking demonstrates how well positioned Ireland is to maximise opportunities within international economies.
“The enormous opportunities for Ireland in emerging markets, the ever-increasing power of the technology sector and a gradual international recovery will ensure that globalisation continues to deepen in Ireland over the coming years,” McKerr added.
The current top 10 most globalised nations overall now include, in order from most to least globalised, Hong Kong, Ireland, Singapore, Denmark, Switzerland, Belgium, Sweden, Netherlands, Hungary and Finland.