DHL have today released the fourth edition of their Global Connectedness Index (GCI), a detailed analysis of the state of Globalization around the World.
The 2016 report shows that Global connectedness, measured by cross-border flows of trade, capital, information and people, surpassed its 2007 pre-crisis peak during 2014.
In 2015, Globalization’s post-crisis expansion slowed but the data indicates that it did not go into reverse. Currently available evidence – still preliminary in some areas – suggests that the World was about 8% more connected in 2015 than in 2005.
The information pillar – measured by international internet traffic, telephone call minutes and trade in printed publications – showed the strongest growth over the reporting period (2013-2015). The gains in capital and people flows have been more modest while the decline in the proportion of goods traded across borders – which began in 2012 – accelerated in 2015.
The index ranks countries on their depth (intensity of international flows) and breadth (geographical distribution of flows), which combine for an overall connectedness score between 0 and 100. The Netherlands retained its top rank as the world’s most connected country and Europe is once again the world’s most connected region. All but two of the top 10 most globalized countries in the world are located in Europe, with Singapore and the United Arab Emirates as the standouts.
North America is the second most globally connected region and leads on the capital and information pillars with the United States as the most connected country in the Americas. Overall, the US is ranked 27th out of the 140 countries measured by the GCI.
North America had the largest gain in overall Global connectedness during the past two years, followed by South & Central America & the Caribbean. Countries in South & Central Asia and Sub-Saharan Africa suffered a drop in their average levels of global connectedness.
Commenting on the results, Managing Director of DHL Express Ireland, Bernard McCarthy said, "It is very positive that Ireland is ranked as the third most globally connected country in the world. As a small open economy, our global connectedness is extremely important for Ireland Inc. This is especially significant at a time when we are seeking to mitigate the impact of the UK’s Brexit decision and the more protectionist trade policies likely to be adopted by the incoming Trump administration in the USA."
He added, "Now more than ever it is in Ireland’s interest to diversify and embrace our wider global relations and trade and this report very much supports the fact that we are well positioned to do so."
Source: www.businessworld.ie
