Are Emerging Economies Better Connected Than Established Ones?: Our Continued Analysis of DHL’s Global Connectedness Index

Are emerging economies better than established ones when it comes to connectivity with other nations and trading partners? Perhaps, which is at once both ironic and not on a range of levels. Regardless, this is specifically what DHL’s Global Connectedness Index suggests.

The report notes, “Emerging economies are reshaping global connectedness and are now involved in the majority of international interactions. The 10 countries where global connectedness increased the most from 2011 to 2013 are all emerging economies.”

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Yet these countries are not yet truly connected on all fronts into established norms given that “in terms of their integration into international capital, information and people flows, emerging economies still lag far behind.”

What parts of the world are most curious from a connectedness standpoint?

“Southeast Asian economies stand out for their high depth scores relative to what one would expect given structural characteristics such as their size and level of economic development. The top 5 outperformers were Malaysia, Vietnam, Cambodia, Hong Kong SAR (China) and Singapore.”

Moreover, “The largest average increases in global connectedness from 2011 to 2013 were observed in countries in South and Central America and the Caribbean. Eight of the countries with the largest increases were in that region or in Sub-Saharan Africa. Middle East and North Africa was the only region to suffer a large drop in its connectedness.”

Curiously, here at Spend Matters we are seeing significant interest in procurement and supply chain initiatives in Latin America, perhaps owing in part to rising levels of connectivity.

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