BEIRUT: Lebanon has placed 76th of 146 countries worldwide and ninth among 18 countries in the Middle East & North Africa (MENA) region on the Knowledge Economy Index. This is a drop from the first such World Bank survey, compiled in 1995; then Lebanon ranked 65th place globally and seventh place regionally. The findings, recently reported by Lebanon This Week – the economic publication of the Byblos Bank – showed Lebanon ranked 24th among 25 upper middle-income countries (UMICs) included in the survey, down from 21st place in the base survey. 

The index represents the overall level of development of a country toward the “knowledge economy:” whether a country’s environment is conducive for knowledge to be used effectively for economic development. 

The index is based on 83 structural and qualitative variables grouped into four categories that constitute “the pillars of the knowledge economy.” 

The four pillars are: economic incentive and institutional regime; education and human resources; the innovation system; and information and communication technology (ICT). 

The survey calculated the scores of individual countries on a population-weighted basis, with scores ranging from zero to 10 (10 being the best score an economy can receive). 

Globally, Lebanon ranked ahead of Peru, Mongolia and Bosnia and Herzegovina, but came behind Belarus, Jamaica and Colombia. It came ahead of Venezuela and ranked behind Panama among UMICs. Lebanon received a score of 4.81 points, below the global average of 5.95 points, and the UMICs’ average of 5.66 points, but above the MENA average of 4.55 points. 

On the “economic incentives” sub-index, Lebanon ranked 75th globally, down from 62nd place in the base survey. This category represents the ability to provide incentives for the efficient use of existing and new knowledge, and the flourishing of entrepreneurship. 

Globally, Lebanon ranked ahead of Moldova and came behind Madagascar. It ranked ahead of Argentina and behind Mexico among UMICs, and came ahead of Morocco and behind Saudi Arabia in the MENA region. 

On the “innovation” sub-index, Lebanon ranked 77th worldwide, up from 85th place in 1995. 

This category reflects whether a country has an efficient innovation system of companies, research centers, universities, consultants and other organizations, to tap into the growing stock of global knowledge, assimilate and adapt it to local needs, and create new technology. 

Here, Lebanon globally ranked ahead of Colombia but came behind Macedonia. It ranked ahead of Dominica and behind Panama among UMICs, while it came ahead of Egypt and behind Iran in the MENA. 

On the “education and human resources” sub-index, Lebanon ranked 77th, down from 59th place in 1995. This category reflects the level of an educated and skilled population to create, share, and use knowledge effectively. 

Globally, Lebanon ranked ahead of Bolivia but came behind Albania. It ranked ahead of Panama and behind Costa Rica among UMICs, and it came ahead of the UAE and behind Kuwait in the MENA region. 

On the ICT sub-index, Lebanon ranked in 68th place globally, the same place as the 1995 survey. – The Daily Star