After braving the global economic downturn in 2011, the Chinese mainland moved up among Asian economies in terms of its economic competitiveness, according to a new report released on March 21, 2012 in Beijing.

The Boao Forum for Asia Annual Conference 2011 [file photo]

The Asian Competitiveness Annual Report 2012 from Boao Forum for Asia [download part 1, part 2], which gathers government, business and academic leaders from around the world, scores the competitiveness of 37 economies in Asia and Oceania based on five evaluation categories: commercial and administrative efficiency, infrastructure, overall economic strength, social development, and human capital and innovation.

The annual report ranks the Chinese mainland 10th among Asian economies for 2011, up one place on its 2010 ranking. It cites China's biggest advantage – its overall economic strength, ranking third behind China's Hong Kong and Singapore – as the reason for the climb.

China's economic aggregate is first among Asian countries and second in the world, behind only the U.S. In 2011, China maintained growth and accounted for 9.38 percent of the global GDP, one percentage point higher than the previous year. The report says China successfully stabilized commodity prices amidst the global financial crisis, while still improving its citizens' general wellbeing.

The upward trend of China's competitiveness is further boosted by improvements in its infrastructure as well as its social development. However, it is held back by commercial and administrative inefficiency, in which it ranks 31st. The report calls for streamlined approval procedures for new enterprises.

In contrast, Singapore boasts administrative efficiency as its biggest strength, and it is named most competitive among Asian countries. Moreover, while the Chinese mainland's ranking remains unchanged in terms of human capital and innovation, China's Taiwan ranks first in this category. The region also features a healthy volume of hi-tech exports – behind only the Philippines in Asia – that helps to solidify its second spot in terms of competitiveness. Hong Kong comes in third behind Taiwan, in large part thanks to the Chinese mainland as its "economic hinterland."

The annual economic report also selected 14,579 companies for evaluation from 41 stock markets in Asia and Oceania, according to data availability. PetroChina Co. Ltd. retains its position as the most competitive enterprise on the list, with China Petroleum and Chemical Corporation and China Mobile Ltd. also in the top 10. Analysis is based on current assets, growth and risk-aversion capacity and profitability.

Australia and New Zealand are new additions to this year's Boao Forum report due to their growing regional influence and ties with Asian countries. Their inclusion follows the recent IMF categorization of the Oceania countries as developed Asian economies.

Download: 2012 Boao Annual Report: Asian Competitiveness Part 1

                   2012 Boao Annual Report: Asian Competitiveness Part 2

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