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Global Innovation Index 2024: Switzerland, Sweden, US, Singapore, UK Top Ranking; China, Türkiye, India, Viet Nam, Philippines Among Fastest 10-Year Risers; Dark Clouds for Innovation Investments
Switzerland, Sweden, the United States, Singapore and the United Kingdom are the world’s most-innovative economies, while China, Türkiye, India, Viet Nam and the Philippines1 are the fastest 10-year climbers, according to WIPO’s Global Innovation Index (GII) 2024, which shows a softening in venture capital activity, R&D funding and other investment indicators.
Now in its 17th edition, the GII is the world’s benchmark resource charting global innovation trends to guide policy makers, business leaders and others in unleashing human ingenuity to improve lives and address shared challenges, like climate change. This year, the GII also looks at “social entrepreneurship,” which uses private-sector practices for positive social change.
The 2024 edition identifies a major softening in leading indicators of future innovative activity, including a reversal of the 2020-2022 boom in innovation investments. Amid higher interest rates, venture capital (VC) funding dropped by about 40 percent in 2023 and growth slipped in research and development (R&D) expenditures, while international patent filings and scientific publications fell.
In 2023, we saw a decline in R&D expenditures, a reduction in scientific publications, and a scaling back of venture capital investments to pre-pandemic levels,” said WIPO Director General Daren Tang. “However, technological progress remained strong in 2023, particularly in health-related fields like genome sequencing, as well as in computing power and electric batteries. Technology adoption also deepened, especially in 5G, robotics, and electric vehicles. This year’s GII also reveals positive trends in key indicators, including a decline in global poverty and rises in labor productivity and life expectancy.
In the GII ranking of 130-plus economies, China reached the 11th position and remains the only middle-income economy in the GII top 30.
A total of 19 economies outperformed on innovation relative to their level of development. India, the Republic of Moldova and Viet Nam are all innovation overperformers for 14 years in a row.
In more recent years, Saudi Arabia, Qatar, Brazil, Indonesia, Mauritius and Pakistan have climbed most in the GII (in order of their ranking). Indonesia, Pakistan and Uzbekistan maintain their overperformer status for a third year and Brazil for a fourth consecutive year.
At WIPO, we see a growing interest in innovation from around the world. More and more countries are realizing that unleashing the innovation potential of their people is critical to growth and development, as well as addressing local and global challenges. The challenge for policymakers is how to build a vibrant innovation ecosystem that helps a great idea make real impact.
Footnote
1In order of their overall GII ranking.
GII 2024 thematic focus asks: Is Social Entrepreneurship on the Rise? What will it take for social entrepreneurship to catalyze transformative innovation and societal impact?
This year’s Global Innovation Index (GII) highlights the growing significance of “social entrepreneurship,” a crucial source of innovation often overlooked by policymakers, innovation economists, development agencies, and funding institutions.
Social entrepreneurship marries business practices with social goals to address some of the world’s most pressing social and environmental challenges, such as creating jobs, providing education, improving infrastructure, and developing tailor-made sustainable solutions for local needs.
However, realizing the full potential of social entrepreneurship requires a supportive ecosystem, including regulatory and legal frameworks, funding mechanisms, and training programs to recognize and support social entrepreneurs.
The GII 2024 has brought together analysis and policy guidance from key actors in the field of social entrepreneurship, such as the Skoll Centre for Social Entrepreneurship at Oxford University, the Schwab Foundation for Social Entrepreneurship, and Catalyst 2030, along with top social entrepreneurs and innovation experts.
They shed light on the underexplored linkages between innovation and social entrepreneurship, making social entrepreneurship a prominent part of the international development and innovation policy dialogue, and a growing area of interest for cross-border cooperation.
Among the GII’s key findings:
- Following a boom between 2020 and 2022, scientific publications, venture capital (VC) and international patent filings experienced a downturn in 2023, and research and development expenditures (R&D) slowed.
- VC and scientific publications have declined sharply back to pre-pandemic levels, with a pronounced impact on emerging regions such as Latin America and Africa.
- Reflecting a deteriorating climate for risk finance, the value of VC investments has been falling sharply from the exceptionally high levels of 2021, with a 36 percent drop in 2022 followed by a further 39 percent drop in 2023.
- The number of VC deals has also decreased, experiencing a downturn of 9.5 percent in 2023.
- International patent filings saw a decline of 1.8 percent in 2023, marking the first such decline since 2009.
- Global R&D grew at a rate of 5 percent in 2022 – slightly down from 2021 – but is projected to slow to 3 percent in 2023 in real terms.
- In 2023, spending by corporations representing the largest investors in R&D grew by around 6 percent in real terms. This lags the long-term growth rate for the last 10 years (around 8 percent) and is down from peaks between 10-15 percent between 2019–2021, and from pre-pandemic growth rates.
- Technology continues to progress rapidly, particularly in health-related fields and computing power. Technology adoption is also growing, particularly in 5G – with close to 25 percent increase on coverage in 2022, robotics, and electric vehicles (EVs) – where the global stock of EVs increased by 54 percent in 2022.
- However, the progress in green technologies in the last year has been slower than the average for the decade, highlighting the difficulty in reducing the energy consumption of supercomputers and maintaining the decrease in electric battery prices.
Global rankings
- Switzerland (Number 1 in 2023)
- Sweden (2)
- United States of America (3)
- Singapore (5)
- United Kingdom (4)
- Republic of Korea (10)
- Finland (6)
- Netherlands (Kingdom of the) (7)
- Germany (8)
- Denmark (9)
- China (12)
- France (11)
- Japan (13)
- Canada (15)
- Israel (14)
- Estonia (16)
- Austria (18)
- Hong Kong, China (17)
- Ireland (22)
- Luxembourg (21)
GII Co-Editors on Innovation
“Social entrepreneurship is a vital form of innovation addressing key societal challenges, yet it remains underexplored in innovation literature and policy. The GII aims to highlight emerging innovation types and foster improved metrics and ecosystems. I am proud that the 2024 edition directly tackles social entrepreneurship, drawing on expertise from leading institutions like the Skoll Centre at Oxford University and insights from social entrepreneurs.”
— GII Co-editor and Dean of the Saïd Business School at Oxford University Soumitra Dutta
“At every level—local to global—and across social, economic, and environmental areas, creativity is needed to reinvent globalization and to reconcile sustainability, equality, and prosperity. In the end, it is no surprise that some of the top GII innovation economies in North America, Europe and Asia also boast some of the most active global science, technology, and innovation clusters. GII data, especially at city level, can guide the policies and investments needed to support these efforts effectively.”
— GII Co-Editor and President of IMD’s Smart City Observatory Bruno Lanvin
Global leaders in innovation in 2024 – Regional Breakdown
Northern America
- The United States holds stable in 3rd position. It scores best in the world in nine of the 78 GII 2024 innovation indicators, including in indicators global corporate R&D investors, unicorn valuation, intangible asset intensity, the quality of its universities, the impact of its scientific publications (H-index), software spending and intellectual property (IP) receipts.
- Canada moves up to 14th place, its best rank since 2014. It leads in venture capital received and strategic alliances, while also ranking in the top 10 for its university–industry R&D collaboration, researchers working in the private sector and IP payments.
Europe
- Europe still hosts the highest number of innovation leaders among the top 25 – 15 in total, with seven among the top 10. Out of the 39 European economies covered, only nine move up the ranking this year (10 fewer than last year): namely, Austria (17th), Ireland (19th) and Luxembourg (20th), Spain (28th), the Czech Republic (30th), Poland (40th), Croatia (43rd), Serbia (52nd), and Montenegro (65th).
- Among economies that are improving, Austria excels in domestic industry diversification, production and export complexity, R&D expenditures, and public research–industry co-publications. In part influenced by the strong presence of foreign multinationals in the field of ICT, Ireland ranks top globally in ICT services exports and IP payments and ranks in the top three for its intangible asset intensity. Spain is performing well in software spending, industrial designs, and global corporate R&D investors.
- Serbia gets closer to the top 50 with a strong performance in domestic industry diversification, ICT services exports, scientific and technical articles, and cultural and creative services exports.
- South East Asia, East Asia, and Oceania
- Seven South East Asia, East Asia and Oceania (SEAO) economies are world innovation leaders – one more than in 2023 – namely, Singapore (4th), the Republic of Korea (6th), China (11th), Japan (13th), Hong Kong, China (18th), Australia (23rd) and New Zealand (25th), which moves up two places.
- Eleven economies within the SEAO region (out of 17 covered) improve their rankings this year, with Indonesia (54th) making the greatest advance and entering the top 60. Indonesia excels in university–industry R&D collaboration, policy stability for doing business and intangible asset intensity.
- The Philippines goes up three ranks to reach the 53rd position. This year it has also attained 3rd position in the lower middle-income group. Notable areas in which it excels are trade-related indicators, including high-tech exports (1st globally), high-tech imports, creative goods exports and ICT services exports. It has also made advances, albeit at lower levels, in intangible assets, thanks to its strong global brand value– and the intangible asset intensity of its companies.
- Thailand (41st) and Viet Nam (44th) continue to make advances towards the top 40. Malaysia (33rd) and Mongolia (67th) also move up the ranking.
Central and Southern Asia
- In Central and Southern Asia, India (39th) continues to lead, moving one spot forward. The Islamic Republic of Iran (64th, down by two places) comes second, followed by Kazakhstan (78th). Uzbekistan (83rd) retains its 4th position within the region.
- India leads the lower middle-income group. It holds the record for overperforming on innovation for the 14th consecutive year. India’s strengths lie in key indicators such as ICT services exports (at 1st place, globally), venture capital received and intangible asset intensity. India’s unicorn companies also secure the country the 8th rank globally.
- Kazakhstan excels in government’s online service, utility models, e-participation and entrepreneurship policies and culture.
- In addition to India and Kazakhstan, three other economies within the region move up the ranking: Sri Lanka (89th), Kyrgyzstan (99th) and Tajikistan (107th). Pakistan (91st) and Uzbekistan maintain their status as overperformers for a third consecutive year. Pakistan also positions itself among the economies that have shown the most significant ascent in the GII over the past five years.
- Taking a longer-term view, all economies in the region have made sustained progress in their rankings over the past decade. Uzbekistan, the Islamic Republic of Iran, Pakistan, and India have made the largest advancements, in that order.
Northern Africa and Western Asia
- Israel (15th), Cyprus (27th), the United Arab Emirates (32nd) and Türkiye (37th) lead in the innovation rankings for this region.
- Despite moving down one rank this year, Israel leads in several key innovation indicators, ranking 1st globally in R&D expenditure, VC received, R&D performed by business, ICT services exports and unicorn valuation.
- Türkiye continues to forge ahead, gaining two ranks. It also takes the 3rd position among the upper middle-income group. Türkiye stands out in various areas: it ranks 1st globally in trademarks and industrial designs, and 9th in intangible asset intensity – all showing an improvement this year.
- Saudi Arabia (47th) and Qatar (49th) move ahead one spot each, consolidating their positions in the top 50. Georgia moves up to 57th place, followed by Armenia (63rd) and Morocco (66th).
- Morocco ranks 1st globally in industrial designs and ranks in the top 30 on expenditure on education, intangible asset intensity, gross capital formation, high-tech manufacturing and trademarks.
Latin America and the Caribbean
- In Latin America and the Caribbean, the regional top 3 remains unchanged: Brazil (50th) retains the top position, followed by Chile (51st) and Mexico (56th). Chile and Mexico improve their positions by one and two ranks, respectively.
- Chile holds top positions in tertiary enrolment, market capitalization and foreign direct investment (FDI) net inflows. Mexico comes top in trade and high-tech indicators, including creative goods exports, high-tech exports, high-tech imports and high-tech manufacturing.
- Seven additional economies within the region also improved their ranking: Colombia (61st), Paraguay (93rd), Uruguay (62nd), Costa Rica (70th), Peru (75th), Panama (82nd) and Honduras (114th).
- Colombia ranks 18th globally for the valuation of its unicorn companies. It also leads in IP payments and high-tech imports.
- Barbados rejoins the GII in 2024 at the 77th position, leading globally (1st) in patent families and WIPO Patent and Cooperation Treaty (PCT) patents, and performing in the top 20 in patents by origin and VC recipients. This year, Brazil and Jamaica (79th) continue to perform above expectation for their level of development.
Sub-Saharan Africa
- In Sub-Saharan Africa, Mauritius (55th) leads the region, followed by South Africa (69th), Botswana (87th), Cabo Verde (90th) and Senegal (92nd). Eight of the region’s economies move up the GII ranking, including Mauritius, Cabo Verde, Senegal, Kenya (96th), Zambia (116th), Benin (119th), Mauritania (126th) and Burundi (127th).
- Mauritius leads worldwide in VC received (1st) and ranks 2nd in VC investors. Cabo Verde ranks 1st in gross capital formation, while South Africa performs well in ICT services imports and global brand value. Senegal excels in gross capital formation, unicorn valuation, loans from microfinance institutions, FDI net inflows and VC received.
- Kenya gains 4 ranks and performs well in VC recipients, utility models, ICT services exports and labor productivity growth. Madagascar (110th) performs well in industrial designs and trademarks, both of which show improvement this year.
- Burundi, Madagascar, Rwanda (104th), Senegal and South Africa are also innovation overperformers this year, with Rwanda’s period of overperformance lasting longest, at 12 years. Rwanda leads the low-income group, followed by Madagascar and Togo (117th).
- The results of the global top 100 science and technology (S&T) clusters show that the world’s five biggest clusters are all located in East-Asia. Tokyo-Yokohama (Japan) is the biggest S&T cluster globally. Cambridge (United Kingdom) is the most S&T intensive cluster relative to population density.
More about the S&T Cluster Ranking 2024
About the Global Innovation Index
The Global Innovation Index 2024 (GII), in its 17th edition this year, is published by WIPO in partnership with the Portulans Institute.
Since its inception in 2007, the GII has shaped the innovation measurement agenda and become a cornerstone of economic policymaking, with an increasing number of governments systematically analyzing their annual GII results and designing policy responses to improve their performance. The GII Advisory Committee, the GII Industry Association Network (GIIIAN) and the GII Academic Network provide important guidance in this respect.
Published annually, the core of the GII provides performance measures and ranks some 130-plus economies on their innovation ecosystems. The Index is built on a rich dataset – the collection of 78 indicators from international public and private sources – going beyond the traditional measures of innovation since the definition of innovation has broadened.
The GII 2024 is calculated as the average of two sub-indices. The Innovation Input Sub-Index gauges elements of the economy that enable and facilitate innovative activities and is grouped into five pillars: (1) Institutions, (2) Human capital and research, (3) Infrastructure, (4) Market sophistication, and (5) Business sophistication (see Framework). The Innovation Output Sub-Index captures the actual results of innovative activities within the economy and is divided in two pillars: (6) Knowledge and technology outputs and (7) Creative outputs.
For each economy, an innovation brief is available, in which that economy’s performance on all indicators is recorded. The briefs – now available in an interactive fashion online as well, through the newest GII Innovation Ecosystems & Data Explorer 2024 – highlight an economy’s relative innovation strengths and weaknesses.
The index is submitted to an independent statistical audit by the Competence Centre on Composite Indicators and Scoreboards (COIN) from the European Commission’s Joint Research Centre.
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