
The National Capability Framework
The National Capability Framework maps the defining capabilities that shape a nation's power, prosperity and resilience, the generational systems, structures and frontier advantages that enable nations to endure, adapt and compound advantage over time.
In an era of rapid technological change and shifting geopolitical currents, understanding the true foundations of national strength has become more critical than ever. The National Capability Framework, developed by the Global Institute for National Capability (GINC), provides an analytical lens to systematically measure and benchmark a nationโs ability to pursue its strategic goals. Rather than focusing narrowly on military might or GDP alone, this open-source framework encompasses a broad set of tangible and intangible factors that collectively determine a countryโs capacity for power, influence, and prosperity . By evaluating domains from human development to advanced technology, the framework enables policymakers, researchers, and analysts to identify critical gaps and strengths in national strategy. The emphasis is on capability โ the underlying enablers of power โ rather than power itself, reflecting GINCโs people-centered view that long-term resilience and competitiveness stem from robust national foundations .
Framework Overview
Framework Overview: The framework is organized into three domains โ Hard, Soft, and Economic Capability โ within which lie nine key dimensions (each dimension containing several specific components). The Hard domain covers physical and material pillars of power (such as resources, technology, and security forces). The Soft domain captures human, social, and institutional capital (ranging from education and health to governance and cultural influence). The Economic domain evaluates financial and productive strength and engagement in global trade. This structure recognizes that national strength is multidimensional: a countryโs military or economic power cannot be viewed in isolation from its technological sophistication, human capital, governance quality, or integration in global markets . The following sections provide an analytical explanation of each dimension and its smallest components (e.g., Advanced ICT, Primary & Secondary Education, Trade Infrastructure, etc.), highlighting why each factor is vital to national capability. The discussion remains global and conceptual, avoiding specific country case studies or regional biases, to provide a neutral framework applicable to any nation.
| Power | Domain | Description |
|---|---|---|
| Hard | Critical Technology | Capacity to design, produce, and secure critical dual-use tech like AI, semiconductors, quantum, and advanced materials. |
| Hard | Strategic Infrastructure | Core systems supporting mobilisation, deployment, digital networks, and resilient supply chains. |
| Hard | National Security | Ability to wage and deter conflict across land, sea, air, cyber, and space domains, including nuclear and hypersonic deterrents. |
| Soft | Human Capital | Education, health, skills, and global talent flows supporting productivity and cultural influence. |
| Soft | Information & Influence | Power to shape global narratives through media, culture, diplomacy, and digital platforms. |
| Soft | Governance & Integrity | Institutional legitimacy, leadership, rule of law, and ability to maintain domestic and international trust. |
| Economic | Financial Strength | Fiscal and monetary strength, currency credibility, and ability to absorb shocks and fund national goals. |
| Economic | Productivity & Innovation | Industrial capacity and innovation in strategic sectors with control of value chains and R&D outcomes. |
| Economic | Trade & Investment | Global economic connectivity through exports, FDI, agreements, and financial integration. |
Hard Capability
Critical Technology
Critical Technology refers to the advanced scientific and engineering capacities that drive a nationโs competitiveness and security in the modern era . In GINCโs framework it spans high-tech sectors such as information and communications, artificial intelligence, quantum computing, advanced materials, energy innovation, biotechnology, robotics, space technology, and position/navigation/timing systems. These cutting-edge technologies are considered โessential for a nationโs economic competitiveness, security, and technological sovereigntyโ . Nations that lead in critical tech can gain significant strategic advantages, fueling economic growth and enabling next-generation defense and industrial capabilities.
Figure 2. Critical Technology Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐ฏ๐ต AA | BBB | Transmitting information using light |
| ๐บ๐ธ AAA | AA | Wireless data transfer using radio waves |
| ๐บ๐ธ BBB | CCC | Underwater information transmission via sound waves |
| ๐จ๐ญ A | BB | Shared databases synchronised across multiple locations |
| ๐บ๐ธ AAA | AA | Supercomputers solving complex problems rapidly |
| ๐ฎ๐ฑ AA | A | Decentralised networks without central infrastructure |
| ๐ฎ๐ฑ AAA | AA | Protecting computers and data from threats |
| ๐บ๐ธ AAA | AA | Extracting insights from large data sets |
| ๐น๐ผ AA | BBB | Designing and manufacturing microelectronic chips |
| ๐บ๐ธ A | BB | Making AI robust against malicious attacks |
| ๐บ๐ธ AAA | AA | Specialised hardware for AI computations |
| ๐บ๐ธ AAA | AAA | Algorithms that improve through experience |
| ๐บ๐ธ AAA | AA | Computers understanding and generating human language |
| ๐บ๐ธ AA | A | Encryption secure against quantum computers |
| ๐จ๐ณ BBB | BB | Secure information transfer using quantum states |
| ๐บ๐ธ A | BBB | Computing using quantum mechanics principles |
| ๐ฉ๐ช BB | CCC | Ultra-precise measurements using quantum effects |
| ๐ฉ๐ช AA | A | Creating objects layer by layer |
| ๐ฏ๐ต AAA | AA | Engineered materials combining multiple components |
| ๐บ๐ธ A | BBB | High-energy substances releasing power rapidly |
| ๐ฏ๐ต BBB | BB | Materials conducting electricity without resistance |
| ๐ฎ๐ฑ AA | A | Modern armour and protective materials |
| ๐ฉ๐ช A | BBB | Protective coverings applied to surfaces |
| ๐ณ๐ฑ BB | B | Efficient chemical reactions in flowing streams |
| ๐จ๐ณ AAA | AA | Mining and refining essential raw materials |
| ๐ฉ๐ช AA | A | Precision manufacturing to tight tolerances |
| ๐บ๐ธ A | BBB | Engineering matter at atomic scale |
| ๐ฌ๐ง BBB | BB | Engineered materials with unnatural properties |
| ๐ฏ๐ต BB | B | Materials responding dynamically to stimuli |
| ๐ฏ๐ต AA | A | High-power, high-temperature semiconductor devices |
| ๐ง๐ท A | BBB | Fuels produced from biological processes |
| ๐บ๐ธ BB | CCC | Focused laser or microwave beam systems |
| ๐จ๐ณ AAA | AA | Devices converting chemical to electrical energy |
| ๐บ๐ธ AA | A | Using electromagnetic spectrum for military advantage |
| ๐ฏ๐ต A | BB | Low-carbon fuels for energy generation |
| ๐ซ๐ท AAA | AA | Power from atomic fission or fusion |
| ๐ซ๐ท BBB | BB | Safely handling radioactive materials |
| ๐จ๐ณ AAA | AA | Converting sunlight directly into electricity |
| ๐ฐ๐ท A | BBB | Rapid energy storage and release devices |
| ๐บ๐ธ AA | A | Using living systems to produce materials |
| ๐บ๐ธ AAA | AA | Direct manipulation of organism DNA |
| ๐ฌ๐ง AAA | AA | Reading and interpreting genetic code |
| ๐จ๐ญ AA | A | New drugs to combat resistant infections |
| ๐ฉ๐ช A | BBB | Radioactive substances for diagnosis and treatment |
| ๐บ๐ธ AA | A | Designing and building new biological systems |
| ๐บ๐ธ AAA | AA | Biomedical preparations stimulating immune protection |
| ๐บ๐ธ A | BBB | High-speed propulsion beyond Mach 5 |
| ๐ฏ๐ต AAA | AA | Autonomous robots performing complex tasks |
| ๐ฉ๐ช BB | B | Submarine systems operating without atmospheric oxygen |
| ๐บ๐ธ AA | A | Machines performing tasks without human intervention |
| ๐ณ๐ด A | BBB | Self-navigating robots for ocean exploration |
| ๐บ๐ธ AAA | AA | Multiple unmanned systems working together autonomously |
| ๐บ๐ธ BBB | BB | Identifying objects travelling above Mach 5 |
| ๐บ๐ธ AAA | AA | Low-cost spacecraft under 500 kg |
| ๐บ๐ธ AA | A | Rockets sending payloads into space |
| ๐บ๐ธ AA | A | Ultra-precise timekeeping using atomic frequencies |
| ๐ฌ๐ง BBB | BB | Measuring minute gravitational variations |
| ๐บ๐ธ AAA | AA | Self-contained position tracking without GPS |
| ๐ฉ๐ช A | BBB | Detecting and measuring magnetic fields |
| ๐บ๐ธ AA | A | Capturing data across electromagnetic spectrum bands |
| ๐ฉ๐ช A | BB | Detecting environmental changes using light |
| ๐บ๐ธ AAA | AA | Radio wave detection of object location |
| ๐บ๐ธ AA | A | Sound-based underwater detection and identification |
Strategic Infrastructure
Strategic Infrastructure covers the major physical infrastructures and industrial bases that support a nationโs economy and security. This goes beyond basic infrastructure to include systems critical for resource delivery, energy, transport, communications, manufacturing, and aerospace โ essentially the backbone networks and facilities that enable a country to function and project power. GINCโs framework highlights that robust national infrastructure underpins resilience and prosperity, with components like resource and energy infrastructure ensuring self-sufficiency, and advanced manufacturing enabling industrial competitiveness. High-quality infrastructure reduces transaction costs and increases efficiency across the economy, directly contributing to economic output and connectivity . The components of this dimension reflect a comprehensive view of infrastructure: from traditional sectors (transport, energy grids) to modern needs (digital infrastructure and social infrastructure).
Figure 3. Strategic Infrastructure Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐จ๐ญ BBB | D | Skilled labour and training systems |
| ๐จ๐ณ BBB | D | Raw materials and component supply |
| ๐จ๐ณ BBB | DD | Factories and assembly infrastructure |
| ๐ธ๐ฌ BBB | DDD | Logistics and distribution networks |
| ๐บ๐ธ A | EEE | Aircraft and spacecraft production plants |
| ๐บ๐ธ AA | EEE | Research labs and test ranges |
| ๐บ๐ธ AA | FFF | Spaceport and servicing facilities |
| ๐บ๐ธ AAA | D | Software platforms and AI services |
| ๐บ๐ธ AAA | DD | Data centres and processing capacity |
| ๐บ๐ธ BBB | DDD | Datasets and information repositories |
| ๐ฐ๐ท A | DDD | Fibre, 5G and backbone networks |
| ๐บ๐ธ AAA | DD | Hosting and cloud service hubs |
| ๐บ๐ธ AA | D | Orbital assets and frequency allocation |
| ๐บ๐ธ BBB | DD | Strategic reserves and storage facilities |
| ๐จ๐ณ BBB | DDD | Power plants and generation capacity |
| ๐จ๐ณ A | DDD | Grid networks and power delivery |
| ๐ฆ๐บ BBB | DD | Mining and drilling operations |
| ๐จ๐ณ BBB | D | Refineries and material processing |
| ๐ธ๐ฌ A | DDD | Pipelines and bulk transport systems |
| ๐ฆ๐ช BBB | DDD | Public amenities and cultural venues |
| ๐ซ๐ฎ AA | DDD | Schools, universities and training centres |
| ๐ธ๐ฌ BBB | DDD | Hospitals and medical facilities |
| ๐ธ๐ฌ BBB | DDD | Residential and welfare infrastructure |
| ๐ธ๐ฌ A | DDD | Airports and aviation systems |
| ๐ธ๐ฌ A | DDD | Roads, rail and transit hubs |
| ๐ธ๐ฌ AA | DD | Ports and shipping facilities |
National Security
National Security capability encompasses the defense and intelligence apparatus that protect a nationโs sovereignty and strategic interests. It spans traditional military domains โ land, sea, air โ as well as space, cyber, and intelligence capabilities. This dimension evaluates not the intent of using power, but the capacity to do so: the strength, modernization, and readiness of a nationโs armed forces and security services. A broad security capability ensures a nation can defend its territory, contribute to international stability, and deter aggression. GINCโs framework highlights intelligence and newer domains like cyber and space as equally critical alongside conventional forces . Each component here reflects a different facet of military power or security infrastructure that together form a comprehensive defense posture.
Figure 4. National Security Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐บ๐ธ AAA | EEE | Fighter aircraft and air superiority |
| ๐บ๐ธ B | D | Transport and airlift capacity |
| ๐ฎ๐ฑ BBB | EE | Rotary-wing close air support |
| ๐บ๐ธ AA | LP | Long-range precision attack capability |
| ๐บ๐ธ AAA | EEE | Intelligence gathering via networks |
| ๐ฎ๐ฑ AA | DD | Network protection and resilience |
| ๐ฎ๐ฑ AA | D | Disruptive and destructive cyber attacks |
| ๐บ๐ธ AA | DD | Geospatial and imagery intelligence |
| ๐ฎ๐ฑ A | DD | Human intelligence gathering |
| ๐ฎ๐ฑ A | DD | Measurement and signature intelligence |
| ๐ฎ๐ฑ A | DDD | Open source intelligence analysis |
| ๐ฎ๐ฑ AA | DD | Signals and communications intelligence |
| ๐บ๐ธ BBB | D | Tanks and armoured vehicles |
| ๐ฎ๐ฑ A | D | Indirect fire and ground-based AD |
| ๐บ๐ธ A | EEE | Army helicopters and drones |
| ๐บ๐ธ BBB | DD | Ground combat troops |
| ๐บ๐ธ A | DD | Support, engineering and command systems |
| ๐บ๐ธ AAA | DD | Elite unconventional warfare units |
| ๐บ๐ธ BBB | EEE | Sea-based expeditionary forces |
| ๐บ๐ธ AAA | LP | Aircraft carriers and embarked air wings |
| ๐บ๐ธ BBB | EEE | Fleet logistics and replenishment |
| ๐บ๐ธ AAA | NP | Attack and ballistic missile submarines |
| ๐บ๐ธ A | EE | Destroyers, frigates and corvettes |
| ๐บ๐ธ BBB | NP | Command, control and safeguards |
| ๐บ๐ธ A | LP | Missiles, bombers and warhead systems |
| ๐ซ๐ท B | FF | Maintenance and modernisation programmes |
| ๐บ๐ธ BBB | FF | Assured access to space |
| ๐บ๐ธ BBB | EE | Orbital assets for comms, ISR and PNT |
| ๐บ๐ธ BBB | EE | Space situational awareness and denial |
Soft Capability
The Soft Capability domain encompasses the human, social, and institutional qualities that allow a nation to mobilize its people and influence others. Unlike hard assets, these factors are more intangible: the education and health of the populace, the effectiveness of governance, the power of national narrative and culture, and the extent of diplomatic and informational influence globally. Soft capabilities often translate into โsmart powerโ โ the ability to attract and co-opt rather than coerce. GINC defines this domain through dimensions of Human Development, National Leadership & Governance, and Global Influence (also referred to as Human Capital, Governance & Integrity, and Information & Influence in our expanded breakdown). These are the facets that determine how well a nation develops its human potential and leverages it on the world stage.
Human Capital
Human Capital refers to the strength of a nationโs education and skill base, health status, and capacity for innovation among its people . It captures how effectively a country cultivates its human resources โ from basic literacy and numeracy to advanced scientific research โ and how healthy and productive the population is. A nationโs human capital is a primary driver of its long-term economic growth and social development. This dimension comprises components spanning the educational ladder (primary to tertiary and vocational training), continuous workforce development, digital literacy, and the overall wellness of the populace. Together, these components indicate the quality of the labor force and the degree to which a country can create and utilize knowledge.
Figure 5. Human Capital Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐ฎ๐ฑ BBB | DDD | Specialist AI and ML skills |
| ๐ช๐ช BBB | DD | Foundational digital literacy |
| ๐ช๐ช AA | DDD | Internet connectivity and adoption |
| ๐จ๐ญ BBB | DDD | Graduate outcomes and job readiness |
| ๐ธ๐ช BB | DD | Tertiary education participation |
| ๐บ๐ธ A | DD | University research and citations |
| ๐ซ๐ฎ AA | DDD | School attendance and graduation |
| ๐ฉ๐ฐ B | DDD | Inclusive education provision |
| ๐ธ๐ฌ AA | DDD | Student achievement and test scores |
| ๐ช๐ช BBB | DDD | Healthcare availability and insurance |
| ๐ธ๐ฌ BBB | DDD | Medical professionals per capita |
| ๐ธ๐ช BBB | DDD | Life expectancy and disease burden |
| ๐จ๐ญ AAA | EEE | R&D spending as share of GDP |
| ๐บ๐ธ AA | DD | Publications and patent filings |
| ๐จ๐ญ BBB | DD | PhD graduates and researchers |
| ๐ธ๐ฌ BB | DD | Work-based learning programmes |
| ๐จ๐ญ BBB | DDD | Accredited skills qualifications |
| ๐จ๐ญ AAA | DDD | Enrolment in vocational training |
| ๐ธ๐ฌ BBB | DD | Continuing education engagement |
| ๐ธ๐ฌ BB | DD | Retraining programme availability |
| ๐จ๐ญ BB | DD | Corporate learning and development spend |
Information & Influence
Information & Influence covers the ways a nation projects itself and wields influence beyond brute force โ through its culture, values, diplomacy, communication, and diaspora. It aligns with the concept of soft power, introduced by Joseph Nye, meaning the ability to get others to want what you want through attraction rather than coercion. The components in this dimension assess how a nation builds its identity and narrative, both internally and globally, and how it engages with international publics and partners. This includes cultural influence (movies, media, language), diplomatic networks, global communication strategies, diaspora relations, and the integrity of its information space. In essence, itโs about the credibility and appeal of a nation on the world stage and the coherence of its society at home.
Figure 6. Information and Influence Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐บ๐ธ AAA | D | Film, music and media exports |
| ๐บ๐ธ BBB | DDD | Museums, libraries and archives |
| ๐บ๐ธ BBB | EEE | Hosting major international events |
| ๐บ๐ธ BB | DD | Remittances and overseas investment |
| ๐จ๐ณ BB | DD | Size and geographic spread abroad |
| ๐บ๐ธ BBB | DD | Diaspora soft power and lobbying |
| ๐บ๐ธ BBB | D | Shaping international priorities |
| ๐บ๐ธ BB | DD | Embassies and consulates worldwide |
| ๐บ๐ธ BB | DDD | Participation in international bodies |
| ๐ช๐ช BBB | D | Countering foreign information operations |
| ๐บ๐ธ AA | DD | Global broadcast and digital media |
| ๐จ๐ณ BBB | DDD | State messaging and public diplomacy |
| ๐บ๐ธ A | D | Language speakers and learning uptake |
| ๐บ๐ธ BBB | DDD | Cultural and professional exchanges |
| ๐ธ๐ช BB | DD | International student mobility |
| ๐ธ๐ฌ BBB | DDD | Inbound and outbound visitor flows |
| ๐ซ๐ฎ A | DDD | Public trust in institutions |
| ๐ช๐ช A | DDD | Democratic engagement and volunteerism |
| ๐ธ๐ฌ BBB | DDD | Social cohesion and crisis response |
Governance & Integrity
Governance & Integrity examines the quality of a nationโs domestic governance โ the stability of its institutions, the rule of law, effectiveness and accountability of government, level of corruption, transparency, and ability to handle crises. Essentially, itโs about how well the country is managed and how much trust exists between the government and the governed. Strong governance ensures that resources (whether financial, human, or material) are utilized efficiently for public good, policies are implemented effectively, and citizensโ rights are protected. It also contributes heavily to a countryโs attractiveness for investment and alliance, as nations with reliable governance are seen as safer partners. GINC frames this dimension around leadership and integrity , reflecting that national leadership quality and institutional integrity directly influence all other capabilities.
Figure 7. Governance and Integrity Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐ธ๐ฌ A | DDD | Execution of government programmes |
| ๐ช๐ช A | DDD | Civil service professionalism |
| ๐ธ๐ฌ AA | DDD | Public services quality and reach |
| ๐ฉ๐ฐ A | DDD | Laws and enforcement mechanisms |
| ๐ธ๐ฌ A | DDD | Levels of public sector corruption |
| ๐ธ๐ฌ BB | DD | Standards of conduct and compliance |
| ๐ณ๐ด BBB | DDD | Legal aid and court accessibility |
| ๐ซ๐ฎ BBB | DDD | Fundamental freedoms and safeguards |
| ๐ณ๐ด BB | DD | Courts free from political influence |
| ๐ธ๐ฌ AA | DDD | Ease of doing business |
| ๐ธ๐ฌ BBB | DDD | Clarity and coherence of laws |
| ๐ธ๐ฌ BBB | DDD | Consistency and forward guidance |
| ๐ช๐ช BBB | DD | Civic engagement and voting |
| ๐ซ๐ฎ BB | DDD | Equitable treatment under law |
| ๐ช๐ช A | DDD | Public confidence in government |
| ๐ธ๐ฌ BB | DDD | Inter-agency emergency management |
| ๐ธ๐ฌ BBB | DDD | Disaster planning and resources |
| ๐ฎ๐ฑ BB | DDD | Post-crisis restoration capacity |
| ๐จ๐ณ BBB | DDD | Public safety and order |
| ๐จ๐ญ A | DDD | Government continuity and legitimacy |
| ๐ฉ๐ฐ BBB | DDD | Consistent application of laws |
| ๐ช๐ช A | DD | Open data and FOI frameworks |
| ๐ซ๐ฎ BB | DD | Press independence and pluralism |
| ๐ธ๐ช BB | DDD | Parliamentary and independent scrutiny |
Economic Capability
The Economic Capability domain centers on a nationโs financial and productive strength and its integration into the global economy . It encompasses the macroeconomic stability and resources a nation has (fiscal and financial strength), the efficiency and innovation of its industries (productivity and innovation), and the extent to which it engages and competes in international trade and investment. Essentially, this domain captures how well a country can generate and manage wealth โ the fuel for both citizen welfare and the other capabilities (funding defense, education, tech development, etc.). As GINC notes, it involves Fiscal Capability, National Productivity, and Global Trade dimensions, reflecting that a truly capable economy must be stable and creditworthy, advanced in what it produces, and actively connected to the world.
Financial Strength
Financial Strength refers to the soundness of a nationโs fiscal and monetary foundations, the depth and stability of its financial system, and its capacity to mobilize capital for development. Itโs about having the economic fundamentals in place: stable currency and prices, sustainable public finances, robust banks and capital markets, and integration into global finance (when advantageous). This dimensionโs components cover monetary/currency stability, sovereign credit, growth trends, financial market development, international financial linkages, sovereign wealth, regulatory quality in finance, and capital availability. In combination, these indicate whether a nationโs economy is resilient to shocks, trusted by investors, and capable of financing both public and private sector needs.
Figure 8. Financial Strength Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐ช๐ช BBB | DD | Access to banking and financial services |
| ๐ธ๐ฌ BB | DD | Lending for projects and small business |
| ๐ธ๐ฌ BB | DDD | Corporate and consumer lending |
| ๐ธ๐ฌ BBB | DDD | Adherence to Basel and FATF standards |
| ๐ธ๐ฌ BBB | DDD | Banking supervision and regulation |
| ๐ธ๐ฌ BB | DDD | Autonomy of financial regulators |
| ๐ธ๐ฌ BBB | DDD | Size and scale of banking industry |
| ๐บ๐ธ BBB | DD | Capital markets capitalisation |
| ๐ฉ๐ฏ B | DD | Trading volumes and bid-ask spreads |
| ๐ณ๐ด BB | DDD | Government debt levels and trajectory |
| ๐ธ๐ฌ BB | DDD | Budget surplus or deficit position |
| ๐บ๐ธ BB | DDD | Credit ratings and borrowing costs |
| ๐ธ๐ฌ BBB | DD | FDI and portfolio investment flows |
| ๐บ๐ธ A | DD | Role in IMF, World Bank and BIS |
| ๐บ๐ธ BB | EE | Currency use in global reserves |
| ๐จ๐ญ BB | DD | Autonomy of monetary authority |
| ๐ธ๐ฌ BB | DDD | Currency volatility and management |
| ๐ธ๐ช B | DDD | Price stability and targeting |
| ๐ธ๐ฌ BB | DDD | Capital adequacy and stress resilience |
| ๐ธ๐ฌ BB | DDD | Emergency liquidity and resolution |
| ๐ณ๐ด A | D | Reserves and stabilisation funds |
| ๐บ๐ธ BBB | D | Overseas asset holdings |
| ๐ธ๐ฌ BB | DD | Foreign exchange reserve holdings |
| ๐ธ๐ฌ A | EEE | State investment fund assets |
Production & Innovation
Production & Innovation looks at how effectively a nation turns inputs into outputs โ essentially the efficiency (productivity) and sophistication of its economy. It examines the complexity of outputs (are you making simple goods or complex high-tech ones?), the productivity of labor, land, and capital, and the ecosystem for research and development, intellectual property creation, entrepreneurship, and technology adoption. This dimension is about the quality of economic activity, not just quantity. A country might have financial resources (from oil, for instance), but if it doesnโt excel in productivity and innovation, it may not be sustainable or competitive long-term. These components collectively indicate an economyโs internal dynamism and its capacity to upgrade itself.
Figure 9. Productivity and Innovation Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐ธ๐ฌ BBB | DDD | Output per unit of input |
| ๐บ๐ธ BBB | DDD | Economic size and expansion rate |
| ๐ธ๐ช BBB | DDD | Efficiency gains beyond inputs |
| ๐ธ๐ช BBB | DD | High-tech production capability |
| ๐ฐ๐ท B | EEE | Steel, chemicals and heavy industry |
| ๐จ๐ณ BBB | EEE | Refining critical minerals and metals |
| ๐ฎ๐ฑ AA | DD | Emerging and cutting-edge tech |
| ๐จ๐ญ AA | DD | Innovation index rankings |
| ๐ฎ๐ฑ BBB | DDD | Clusters and collaboration hubs |
| ๐บ๐ธ A | DD | High-value goods and services trade |
| ๐ณ๐ฑ BB | DDD | Tech diffusion and licensing |
| ๐ฐ๐ท BB | DD | IP filings and registrations |
| ๐บ๐ธ BB | DD | Range of export products |
| ๐บ๐ธ A | DD | Complexity of production processes |
| ๐ธ๐ฌ BBB | DD | Role in global supply chains |
| ๐ฎ๐ฑ BBB | DD | Researchers and scientists |
| ๐ฎ๐ฑ AA | DD | New products and processes |
| ๐ฎ๐ฑ A | D | R&D spending as share of GDP |
| ๐ฎ๐ฑ A | DD | New business formation rates |
| ๐ฎ๐ฑ BBB | DD | VC funding and grants |
| ๐ฎ๐ฑ BBB | DD | Business longevity and scale-up |
| ๐ช๐ช AAA | DDD | Uptake of digital technologies |
| ๐ธ๐ช BB | DD | Spread of automation and robotics |
| ๐ธ๐ช BBB | DDD | Tech adoption across industries |
Investment & Trade
Investment & Trade covers a nationโs engagement with the global economy โ how well it builds infrastructure for trade, attracts and directs foreign investment, competes in export markets, and manages its position in global supply chains and trade relationships. It assesses openness and connectivity: being open to trade and investment can drive growth, but also requires resilience to external shocks and ensuring dependency doesnโt become a strategic vulnerability. GINCโs framework highlights infrastructure, digital trade, FDI, export sophistication, and strategic trade leverage . The components here reflect how a country leverages global opportunities (trading goods, services, digital products, and capital) and how it guards or maximizes its interests in the global trade system.
Figure 10. Trade & Investment Capability Domain
| Upper Rating | Median | Description |
|---|---|---|
| ๐ช๐ช A | DD | International data transfer capacity |
| ๐ธ๐ช BBB | DD | Online marketplaces and transactions |
| ๐บ๐ธ A | DD | Export of professional and tech services |
| ๐บ๐ธ B | DD | Pricing advantage in global markets |
| ๐ธ๐ฌ BB | DD | Spread of destination markets |
| ๐จ๐ณ BBB | DD | Volume and global trade share |
| ๐บ๐ธ BBB | EEE | Technology-intensive goods exports |
| ๐บ๐ธ A | DD | High-value goods and services |
| ๐จ๐ญ BBB | DD | Shift to higher-value products |
| ๐ธ๐ฌ BB | DD | Fixed investment and savings |
| ๐บ๐ธ BBB | DD | Cross-border direct investment |
| ๐ธ๐ฌ BBB | DDD | Attractiveness to foreign investors |
| ๐ธ๐ง BBB | DD | Upstream or downstream role |
| ๐ธ๐ฌ BBB | DDD | Links to major trade centres |
| ๐ธ๐ฌ BBB | D | Role in multinational supply chains |
| ๐ธ๐ฌ B | DD | Reliance on few products or markets |
| ๐บ๐ธ B | DD | Critical import vulnerabilities |
| ๐บ๐ธ BB | DDD | Economic coercion capacity |
| ๐ธ๐ฌ AA | DDD | Border clearance and handling |
| ๐ธ๐ฌ AA | DD | Maritime trade infrastructure |
| ๐ธ๐ฌ A | DDD | Air, sea and land linkages |
| ๐ธ๐ฌ BBB | DDD | Trade barriers and openness |
| ๐ธ๐ฌ A | DDD | FTAs and trade bloc participation |
| ๐ธ๐ฌ A | DD | Regulatory capacity and compliance |