Up and up! Sri Lanka in Global Innovation Index 2022

The immediate lesson to Sri Lanka at this critical juncture should be to think about an innovative economy to ensure the future that we want

• Take the message and use the opportunity

Countries vie for attention on the world stage. We all love our nation to prosper and to be at peace with each other. We do not like to see images of poverty and destitution nor images of torture and violent death. We all agree that corruption erodes society. If one wakes up in the morning without being sure of tomorrow, that is not an experience we want to happen to anyone. Sadly though, these are still realities in a world where some are contemplating taking a trip to Mars and planning for that vacation when they are 125 years old with augmented and fully self-repaired organs. 

I put on my glasses not to get a better view but to read the news and to get connected. The neural world is around the corner while some still speak of digital literacy with their feet firmly on an analogue world. Creativity and innovations abound yet there is no equitable growth and with abject poverty. As billions get added the planet is also fighting for its survival due primarily to the activities of the ever-creative human being!

In innovation too, we like to measure ourselves. Quantified and positioned we lay bare our innovative economic souls. We come together and share our data and outcomes for a result and a position. Global Innovation Index is the measure of the innovativeness of global economies. WIPO (World Intellectual Property Organization) launched its 2022 global innovation assessment report on 29 September in Geneva. GII assessment has today become a key input to national policies in many countries which includes India, Brazil, Turkey and China. This highest level of attention given to GII is primarily due to the fact that innovation is considered the most important currency in the 21st century. The launch in Geneva was followed up with some individual national launches. India followed the Geneva launch with its own launch and the Modi government can claim success as India has shown tremendous growth in its position in the GII over the years – 41 places in 7 years. The National Innovation Agency in partnership with the Center for a Smart Future would have the Sri Lankan launch of the GII report with a special emphasis on Sri Lanka on 7 October at TRACE City in a hybrid event with WIPO participating. The architect of GII and the Co-Editor of the global report are both going to be present.

The concept and the project of GII came from the Dean of Said Business School at Oxford University – Prof. Soumitra Dutta – in 2007 when he was spending time with the European Business School INSEAD. The project grew and till 2020 INSEAD, Cornell University, and WIPO published the GII annually. Since 2021 WIPO publishes the GII in partnership with the Portulan institute – which incidentally publishes the Network Readiness Index – various corporate and academic network partners. Innovation having gained significant currency ensures that the GII launch is a much-anticipated event. 

In 2022, GII-2022 had considered 132 economies where Sri Lanka is placed at the 85th position. Even though the country has climbed up 10 positions from last year’s position of 95th and that too from 101st the year before, we cannot do many celebrations but be humble and take the message. This is not where Sri Lanka should be and we are definitely demonstrating a below-par performance. Yet as this is what is communicated the lesson to us too is in understanding the nuances of this calculation and working towards an accurate representation. Sri Lanka has shown an upward movement – a definitive improvement in innovation performance – for two consecutive years. In GII when the country position is below 100 the report does not give you space for your own report card! That means moving from 101st to 85th position should be happy news indeed. Yet there is no time for complacency and certainly not the time for any jubilation. 

The coveted field is when you are above 50 and the super league is the top 10. It is indeed interesting to see India climbing to the 40th position with a leap across 6 places from 2021, and that does demonstrate India has meant business! The address by the Indian Minister for Commerce and Industry at the Geneva official launch of GII is revealing. He indicated the presence of 100 plus unicorns (those 100 simply push Sri Lankan GDP behind them in a way with a value comparison!), global first in ICT services, 3rd best start-up economy, etc. which are humbling. 

In analysing the Sri Lankan report card there are many lessons for a decision maker. The issue is when are we serious about learning a real lesson? In the top 10 super league, there are several countries with less landmass than Sri Lanka. The lesson lying in there – is that knowledge is important and knowledge and innovation have exponential growth potential. If we stay closer to Bandaranaike International Airport and only spend time counting tourists and also turn a blind eye to the brain drain through the departure terminal, the prognosis is definitely quite bad for Sri Lanka whether they fly in and out through Sri Lankan or Charter flights! 

In 2022 Sri Lanka has shown improvements in both innovation inputs and outputs. Over the years we have always been better with outputs than inputs whatever the level we have been. That means to some extent we have produced more with less. Some numbers are definitely revealing. We have to spend more on education and on research and development. We need more in STEM for sure. One may say is doing more with less what the world today wants but certainly not in this space. Without some critical inputs, innovation-driven growth is unlikely to happen. 

Aptly the theme for WIOP’s GII this year is ‘What is the future of Innovation-driven growth?’ The immediate lesson to Sri Lanka at this critical juncture should be to think about an innovative economy to ensure the future that we want. That is a change in mindset as we have contemplated lots less on innovation and moved on with the traditional growth factors most of the time. It may be important to understand the FDI nature and interest too would be radically disrupted when the economy projects an innovative face. 

It is important to note that 2022 calculations were started in Geneva around February of the year and that means the data mostly are from the year before. Understanding the value of this upward movement there is also a point to reflect on for us. We must be focused on what we want to achieve and ensure that the right decisions are made. GII is a really useful framework to take some policy prescriptions and subsequent action. Innovate or Die is a business cliché and as we extend our hands in all directions we should realise that there is indeed another way to recover and prosper.