Thailand Floors Itself in the World Competitiveness Race, Falls Five Spots
Thailand Slips Five Positions in IMD World Competitiveness Ranking
Thailand has slipped in the global competitiveness game, plummeting five spots to land at the 30th place in the recently-released World Competitiveness Ranking 2025. The report, compiled by the International Institute for Management Development (IMD), evaluates the competitive edge of 69 economies across four primary pillars:
- Economic performance: Thailand took a hard hit, slumping to 8th place from 5th the previous year.
- Government efficiency: This category saw the greatest decline, with Thailand tumbling to 32nd from 24th last year.
- Business efficiency: Ranking took a hit too, with Thailand falling to 24th from 20th in 2024.
- Infrastructure: Even the infrastructure category took a blow, as Thailand slipped to 47th from 43rd.
The report warns of five major hurdles facing Thailand in the coming year:
- Designing agile strategies to tackle tariff shocks.
- Securing the economy against geopolitical and geoeconomic shocks.
- Nurturing support for small and medium businesses (SMEs) to meet global ESG standards.
- Develop quick-fix solutions to bridge talent shortages in key sectors.
- Forge private-public partnerships to tackle economic and social issues.
Last year's ranking saw Thailand climb an impressive five places to 25th, but it seems the country is back to square one at 30th.
Top 10 economies in the 2025 ranking:
- Switzerland (+1)
- Singapore (-1)
- Hong Kong (+2)
- Denmark (-1)
- United Arab Emirates (+2)
- Taiwan (+2)
- Ireland (-3)
- Sweden (-2)
- Qatar (+2)
- Netherlands (-1)
TAGSThailandRankingCompetitivenessIMDAsia PacificcountrieseconomyGOVERNMENTinfrastructurebusiness
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State agency seeks THB1-billion budget to boost SME competitiveness
It seems Thailand is struggling to stay ahead in a rapidly-changing world.
- Despite the recent decline in Thailand's global competitiveness ranking, the country is making strides in adopting AI technology to boost competitiveness, as 40% of Small and Medium Businesses (SMEs) have started integrating AI.
- In an effort to enhance its competitiveness, Thailand has established a National AI Committee to focus on AI development and integration across various sectors.
- Recognizing the importance of SME competitiveness, a state agency is seeking a THB1-billion budget to enhance infrastructure, finance, and business efficiency among these businesses.
- Amidst the falling global rankings and the rapidly-changing world, Thailand is aware of the five major hurdles it faces, including designing agile strategies, securing the economy, nurturing SMEs, developing quick-fix solutions for talent shortages, and forging private-public partnerships to tackle economic and social issues.
