By Bae Keun-min
Staff Reporter
South Korea’s global competitiveness nosedived by 11 notches to 29th this year, according to a report by the World Economic Forum (WEF).

In its 2004-2005 Global Competitiveness Report, South Korea ended its third-consecutive-year rising trend in global competitiveness standing after entering the top 20 list for the first time last year.

The report was based on a survey of 8,729 business leaders and the WEF members in 104 economies across the globe.

The WEF, headquartered in Geneva, attributed the fall in Korea’s ranking to the worsening of macroeconomic indicators, which slid down from 23rd last year to 35th this year.

The report also pointed out that South Korea ranked 41st in the index for public system evaluation, down from 36th.

Notably, South Korea saw its technological competitiveness ranking fall to ninth, down three ladders from last year.

It pointed out that policy inconsistency, bureaucratic red tape, labor rigidity, tax regulations and inefficiency in the capital market are of hindrance to doing business in Korea.

Korea ranked 24th in the index for corporate competitiveness among the 93 countries, down one notch from 23rd a year ago.

The nation ranked 81st in the efficiency of the parliament, 102nd in the private sector’s hiring of women, 99th in the elasticity of hiring foreign workers, 77th in the financial soundness of commercial banks and 77th in the budget for agricultural policies.

Korea grabbed 12th place in the environmental protection, 16th in accessibility to cell phones, 28th in tax burdens and 23rd in observance of international regulations.

Finland topped the chart of the overall country rankings, keeping the spot since 2002. Such nations as Denmark, Sweden and Norway Iceland were ranked among the top 10.

Taiwan was the most competitive in Asia as it ranked fourth followed by Singapore’s 7th. Japan made a big improvement to 9th from 21st three years ago. Despite strong growth, China saw its ranking slip by two spots to 46th.

Lopez-Calros, WEF chief economist said, ``What we have found is that countries that do the best are the countries that attack structural problems and rigidities and macroeconomic imbalances in a comprehensive way.’’

kenbae@koreatimes.co.kr