KUALA LUMPUR: Malaysia has moved up to the 33rd place in the Global Innovation Index 2020 (GII) this year from 35th ahead of its Asean peers except for Singapore, which currently ranked at 10th place.
According to the index, Malaysia and the Philippines (50) are the only two countries moved up the ranking in the region, thanks to its first-class tertiary education system, sophisticated capital market, and a vibrant private sector.
The report said Malaysia increases its rank in the Innovation Output Sub-Index (36th, up by three) and remains stable in the Innovation Input Sub-index (34th).
It shows relative strengths at the sub-pillar level in both inputs and outputs, the report noted.
In the inputs-side, sub-pillar tertiary education (8th) is a strength for Malaysia, where it ranks fourth in graduates in science and engineering and 17th in the quality of top three universities.
Conversely, in the outputs-side, it ranks 28th in sub-pillar Intangible assets and seventh in the new GII indicator Global brands value (and a relative strength), thanks to 60 brands in the top 5,000, led by Petronas.
Further, the GII report also noted that other top 20 indicators are strengths for Malaysia including ease of protecting minority investors (second), market capitalisation (seventh), university and industry research collaboration (14th), state of cluster development (seventh), hightech imports (third), high-tech net exports (first), and creative goods exports (first).
Apart from China and Bulgaria, Malaysia remains the only other middle income economies that are close to the top 25.
In addition to these three economies, there are only seven other middle income economies in the top 50 of the GII 2020.
The GII, in its 13th edition this year, is co-published by Cornell University, INSEAD, and the World Intellectual Property Organization (WIPO, a specialised agency of the United Nations).
Published annually since 2007, the GII is now a leading benchmarking tool for business executives, policy makers and others seeking insight into the state of innovation around the world.
Policymakers, business leaders and other stakeholders use the GII to evaluate progress on a continual basis.
The study benefits from the experience of its Knowledge Partners: Confederation of Indian Industry, Dassault Systèmes – The 3DEXPERIENCE Company, and the National Confederation of Industry (CNI)—Brazil, as well as of an Advisory Board of international experts.
The core of the GII Report consists of a ranking of world economies' innovation capabilities and results.
Recognising the key role of innovation as a driver of economic growth and prosperity, and the need for a broad vision of innovation applicable to developed and emerging economies, the GII includes indicators that go beyond the traditional measures of innovation, such as the level of research and development.