India has climbed 10 points in the global ranking of IT competitiveness. Still, it figures 34th in the global pecking order, despite its outsourcing prowess.

According to the `IT industry competitiveness index’ compiled jointly by Business Software Alliance and the Economist Intelligence Unit, India’s progress is a result of a stronger showing on two parameters, Human Capital and R&D environment. The ten point jump is the highest scored by any country.

Interestingly, India has raced past arch rival China, although it is still playing catch up with Singapore, Australia, and Malaysia and some others. At 34th position, India is four slots above China. In the last ranking - compiled in 2009 - India was at the 44th position, while China ranked 39th.

In 2011 index, India ranked ninth within Asia, with Singapore emerging as most competitive country in the region, followed by Australia. Seen globally, US continued at the pole position, with Finland and Singapore at the second and the third positions respectively.

The index scored 66 countries to see just how competitive they were in IT production. These countries were measured on various criteria including business environment, IT infrastructure, human capital, R&D environment, legal environment, and support for IT industry development. Each criteria had a different weightage. For instance, IT infrastructure and human capital each had a 20 per cent weightage, while business environment and legal environment contributed 10 per cent each to the overall index.

moumita@thehindu.co.in

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