In this scenario, Egypt improves factors that drive economic efficiency to be on par with UAE*:
- Financial markets become more efficient by improving the availability and quality of financial services, in addition to easing access to finance.
- Labor market efficiency improves through reducing the cost of redundancy and rationing the cost of social security to incentivize work.
- Efficiency of goods market enhances through enforcement of competition laws, reforming goods subsidy regimes, and streamlining customs procedures.
- Egypt’s score in the “Efficiency Enhancers” pillar** rises from 3.6 to 5.1*** improving its rank in this pillar from 100 to 17 (out of 140 countries).
In this scenario, Egypt’s performance in innovation improves to be on par with Jordan*:
- Investments in R&D rise significantly through creating incentives for companies.
- Collaboration between universities and businesses in R&D deepens.
- Government procurement of advanced technological products increases.
- Development of the technology clusters in the Suez Canal corridor are accelerated.
- Egypt’s score in “Innovation and Business Sophistication” pillar** rises from 3.2 to 4***, improving its rank in this pillar from 113 to 40 (out of a total of 140 countries).
* The highest rank in this pillar among Arab countries.
** World Economic Forum, Global Competitiveness Report, 2015-2016.
*** Score ranges from 1 (the worst) to 7 (the best).
For more info check:blog.eces.org.eg
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