CFA Society Singapore
SINGAPORE (Nov 24): Singapore is once again the world’s second most connected country, based on the fourth edition of DHL’s Global Connectedness Index, trailing behind The Netherlands which retained its top spot.
At the same time, Europe remained the world’s most connected region with all but two of the Top 10 most globalised countries hailing from the region. United Arab Emirates was the other non-European country, after Singapore, in the Top 10 list.
Commissioned by DHL and prepared by globalisation expert Pankaj Ghemawat, the GCI study offers a detailed analysis of the state of globalization around the world, based on a two-year reporting period from 2013 to 2015, and drawing on over 1.8 million data points from international flows covering trade, capital, information and people.
The 2016 report noted that global connectedness – measured by cross-border flows of trade, capital, information and people – had exceeded its 2007 pre-crisis peak by 2014. In 2015, however, globalisation’s post-crisis expansion had slowed down, but did not contract. The study also had some preliminary evidence to show that the world was about 8% more connected in 2015 than in 2005.
North America is the second most globally connected region, with the United States as the most connected country in the Americas at 27th position overall. The region also had the largest gain in overall global connectedness during the past two years, followed by South & Central America & the Caribbean.
The 2016 study also introduced two new city indices: Globalization Giants and Globalization Hotspots. The former measures the size of cities’ international interactions, and the latter compares the international flows of trade, capital, people, and information, with their internal activity.
Singapore emerged top of both the new city-level globalisation indices. London and New York placed 3rd and 4th on the Globalization Giants index, but only 47th and 76th on the Globalization Hotspots index.