Korea ranked 21st out of 70 countries in the national competitiveness assessment that the International Institute for Management Development (IMD) releases annually. The ranking climbed six notches from 27th last year. Korea received better marks than last year in areas such as corporate efficiency and infrastructure, but lagged in economic performance.

On the 18th, the Ministry of Economy and Finance said IMD released the results of its "2026 national competitiveness assessment." The IMD national competitiveness ranking is an indicator first published in 1989. IMD assigns country-by-country rankings in four areas—economic performance, government efficiency, corporate efficiency, and infrastructure—and then aggregates all findings to determine the overall national ranking.

<YONHAP PHOTO-2557> President Lee Jae-myung speaks at a Cabinet meeting (Seoul=Yonhap) Reporter Han Sang-gyun = President Lee Jae-myung speaks during a Cabinet meeting combined with an emergency economic review meeting at the Blue House on the 26th. The 26th [Cheong Wa Dae Press Photo Group] xyz@yna.co.kr/2026-05-26 10:11:55/ /Courtesy of Yonhap News Agency

This year's ranking (21st) is Korea's second-highest since being included in the IMD assessment, after 2024 (20th).

Scores improved from last year in corporate efficiency (44th→34th) and infrastructure (21st→15th). In corporate efficiency, rankings rose across all subcategories: productivity and efficiency (34th), labor market (45th), finance (29th), management practices (49th), and attitudes and values (18th). In infrastructure, basic infrastructure (28th), technological infrastructure (27th), health and environment (29th), and education (21st) improved, while scientific infrastructure held steady at 2nd, the same as a year earlier.

However, the economic performance ranking fell from 11th to 14th. International trade (33rd) and international investment (20th) improved, but domestic economy (10th), employment (7th), and prices (40th) worsened. A government official said, "Growth is assessed as one item in the domestic economy category, and although indicators improved in the second half of last year, the annual performance deteriorated due to weakness in the first half, leading to a drop in the ranking."

Government efficiency remained unchanged at 31st. Tax policy (22nd), institutional framework (21st), and social framework (30th) improved, but rankings fell in public finance (22nd) and the corporate environment (53rd) institutional sector.

A government official said, "We will analyze the strengths and weaknesses of our economy and continue efforts on institutional reforms and innovation."

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