Global Innovation Index 2024, India’s Rank, Global Trends, and Key Insights

The Global Innovation Index (GII) 2024 has once again provided valuable insights into the state of innovation worldwide, highlighting the strengths and weaknesses of economies across the globe. As nations strive to enhance their competitive edge through innovation, understanding the latest trends and India’s performance in this index is crucial for policymakers, businesses, and stakeholders.

Global Innovation Index

Launched in 2007 through a collaboration between INSEAD, a leading business school, and World Business, the Global Innovation Index evaluates the innovation capabilities of 133 economies. The GII serves as a benchmark for understanding global innovation trends, guiding policymakers and business leaders in improving lives and addressing shared challenges, including climate change.

The index ranks countries based on various factors, including research and development, infrastructure, market sophistication, business sophistication, knowledge and technology outputs, and creative outputs.

Global Innovation Index 2024 India Rank

In the Global Innovation Index 2024, India has achieved a significant milestone by securing the 39th position, marking a remarkable leap from its previous rank of 81st in 2015. This ascent reflects India’s commitment to fostering a robust innovation ecosystem, driven by strong policies, increased investment in research and development (R&D), and a collaborative environment for startups and industries.

Key Highlights of India’s Performance

1. Leading the Region: India ranks 1st among 10 economies in Central and Southern Asia, showcasing its leadership in innovation in the region.
2. Recognition in Innovation Outputs: The country ranks 33rd globally in innovation outputs, demonstrating significant improvements in technological advancements and research outputs.
3. Strength in Intellectual Property: India is 4th in the World Intellectual Property Organization’s (WIPO) Science & Technology (S&T) Cluster Ranking, with major cities like Mumbai, Delhi, Bengaluru, and Chennai recognized among the World’s Top 100 S&T clusters.
4. Intangible Asset Intensity: India ranks 7th globally in intangible asset intensity, highlighting its increasing focus on knowledge-based assets.

Factors Driving India’s Innovation Growth

India’s rise in the GII can be attributed to several key factors:

• Government Initiatives: Programs like Start-Up India, Digital India, and the Atal Innovation Mission have fostered entrepreneurship and technological advancement. For example, as of September 30, 2024, DPIIT has recognized 149,414 entities as startups, showcasing the country’s thriving startup ecosystem.
• Investment in R&D: Increased investment in research and development has played a crucial role in enhancing India’s innovation landscape. The government’s focus on enhancing intellectual property rights protection has further encouraged innovation across sectors.
• Collaboration Between Sectors: Strengthening ties between academia, industry, and government has facilitated the exchange of ideas and resources, resulting in groundbreaking innovations.

Global Innovation Index Indicators

The index computation involves assessing various parameters, including:

1. Institutions: Evaluation of governance and regulatory structures.
2. Human Capital and Research: Examination of education and research capabilities.
3. Infrastructure: Assessment of basic physical and digital infrastructure.
4. Market Sophistication: Analysis of market dynamics and maturity.
5. Business Sophistication: Evaluation of the business environment and innovation capacity.
6. Knowledge and Technology Outputs: Measurement of knowledge creation and technology outputs.
7. Creative Outputs: Assessment of creative and cultural outputs.

Global Innovation Index Details

The Global Innovation Index 2024 highlights several trends shaping the global innovation landscape:

• Sustainable Innovation: There is a growing emphasis on sustainable practices and innovations aimed at combating climate change and promoting environmental sustainability.
• Digital Transformation: Countries are increasingly investing in digital infrastructure to improve connectivity, efficiency, and accessibility in various sectors.
• Emerging Economies on the Rise: Alongside India, countries like China, Turkey, Vietnam, and the Philippines are recognized as fast-rising economies in terms of innovation, underscoring the shift towards a more diverse global innovation landscape.
• Focus on Intangible Assets: Nations are prioritizing investments in intangible assets, such as intellectual property, branding, and innovation capabilities, as crucial components of economic growth.

Notable Regional and Global Trends

The Global Innovation Index (GII) 2024 provides valuable insights into the global and regional dynamics of innovation, highlighting which economies are making rapid progress and where growth is concentrated. Here are the key regional and global trends observed in the GII 2024:

Emerging Economies on the Rise

Several emerging economies have made significant strides in innovation over the past decade. In the GII 2024, countries such as India, China, Turkey, Vietnam, and the Philippines are recognized as some of the fastest-growing innovation economies. These countries are gaining global prominence through strong government policies, technological advancements, and substantial investment in R&D.

• India: Ranked 39th in GII 2024, India continues to lead the Central and Southern Asia region and stands out among lower-middle-income economies, marking a tremendous rise from 81st place in 2015. India’s focus on Digital India, Start-Up India, and the Atal Innovation Mission has driven its rise in the index.
• China: Known as a top performer among upper-middle-income economies, China continues to dominate the Asian innovation ecosystem and ranks highly for scientific outputs and patent filings.

Innovation Clusters in Asia

The 2024 GII recognizes that Asia remains a global hub for innovation, with major cities like Tokyo, Seoul, Beijing, Shanghai, Shenzhen, and Hong Kong consistently performing well in science and technology clusters. Notably, India’s cities such as Bengaluru, Mumbai, Delhi, and Chennai are listed in the Top 100 Science & Technology clusters globally. These cities serve as critical nodes for research, development, and innovation in cutting-edge fields.

Sustainable Innovation

A key global trend in the GII 2024 is the rising focus on sustainability-driven innovation. Countries are increasingly investing in green technologies, renewable energy, and innovations aimed at tackling climate change and improving environmental sustainability. This is particularly relevant in regions like Europe and North America, where policies for sustainable growth are aligning with innovation frameworks.

• Sweden and Switzerland, ranked 2nd and 1st respectively, are leaders in sustainability-related innovation, advancing new technologies to reduce carbon emissions and enhance energy efficiency.
• Emerging economies are also stepping up. For instance, Vietnam and Turkey are integrating sustainability into their economic development agendas by investing in clean technologies and eco-innovation.

Digital Transformation

Countries are investing heavily in digital infrastructure, with a focus on AI, machine learning, and big data. Digital transformation is reshaping industries from healthcare to finance, and countries that are advancing in digital technologies are emerging as leaders in the innovation race.

• South Korea, Singapore, and the United States are global leaders in digital innovation. In particular, Singapore ranks high for leveraging digital platforms and technology to improve governance and services.
• India’s Digital India initiative, which aims to digitally empower the population, is a prime example of how developing countries are focusing on digitization as a key driver of innovation.

Intangible Assets and Innovation Outputs

Another key trend in the GII 2024 is the growing importance of intangible assets like intellectual property (IP), branding, and design. Countries that invest in these assets are excelling in innovation outputs.

• India ranks 7th globally for intangible asset intensity, reflecting the country’s emphasis on knowledge-based assets and innovation in sectors like information technology and pharmaceuticals.

Science & Technology (S&T) Clusters

The Science & Technology (S&T) Clusters Ranking by WIPO highlights cities around the world that have become innovation hotspots. Globally, Switzerland, Sweden, and the United States dominate in S&T clusters.

• India’s cities—Bengaluru, Mumbai, Delhi, and Chennai—are ranked among the Top 100 S&T Clusters, reflecting India’s growing strength in technology development and research.

High-Performing Economies in Europe and North America

Traditional innovation leaders like Switzerland, Sweden, the United States, and the United Kingdom continue to dominate the top spots in the GII 2024 rankings. These countries benefit from well-established research institutions, strong IP protection systems, and robust collaborations between the public and private sectors.

• Switzerland retains its position as the most innovative economy globally for the 14th year in a row, excelling in knowledge creation, R&D, and infrastructure.

Regional Innovation Powerhouses

Regional powerhouses are making their mark in the GII 2024. Alongside global leaders, regional leaders like Israel (ranking 11th globally), South Korea (10th), and Singapore (5th) continue to excel, driven by strong government support, technological infrastructure, and a focus on advanced R&D. These countries are shaping the future of global innovation within their respective regions.

Global Innovation Index 2024 UPSC

India’s impressive leap to 39th place in the Global Innovation Index 2024 highlights its emergence as a global leader in innovation. With strong government initiatives, a focus on R&D, and a collaborative environment, India is well-positioned to capitalize on emerging technologies and expand its influence in the global tech industry. As countries navigate the challenges and opportunities presented by the evolving innovation landscape, India’s journey serves as a testament to the power of strategic investments in innovation to drive economic growth and societal advancement.

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