Driver Overview
This section shows a country’s rank, ranking change and score for each of the eight drivers. It also categorises each country’s driver performance on a scale from “Emerging” (score from 0-20) to “Global Leader” (score from 80-100).
Rank
Score /100
Best practice
Metric Overview
Strengths
Cost to start a business
According to the World Bank, the cost of starting a business is 1.1% of income per capita. This is lower than the average of Upper Middle Income Countries of 11%. China has recently implemented reforms to improve business processes, easing the entry of new firms.
Registering property
According to the World Bank, it takes nine days to register a property in China, significantly lower than the Upper Middle Income Countries’ average of 20 days. As infrastructure projects often involve property rights, the shorter the time to register properties, the less costly and risky the project.
Stocks traded
China has one of the highest values of stocks traded as a share of GDP out of all InfraCompass 2020 countries, at 96%. As this indicator measures the liquidity of equities, it is important to infrastructure investors to know they can exit investments at appropriate points.
Top Performing Metrics
Top Performing Metrics
This is defined by the metrics with the highest unweighted score out of 100.
Permits:
Cost to start a business
Permits:
Registering property
Financial markets:
Stocks traded
Opportunities to Grow
Market sounding and/or assessment
China currently lacks a market sounding process for infrastructure projects. Adding such a process could allow the government to better determine if there is enough interest from investors and lenders to provide commercial financing for projects.
Private infrastructure investment
Despite its low score, China is seeking to increase private investment to boost growth without adding public debt. China could consider new approaches for accelerating the flow of private capital into infrastructure. However, the COVID-19 pandemic may impact this.
Value of close infrastructure deals with foreign equity sponsorship
Among the Upper Middle Income Countries, China has a score significantly lower than the average of 32. A low value may reflect uncertainty around trade conditions and barriers within the business environment. Additionally, any long-term impacts of the COVID-19 pandemic are yet to be fully determined.
Metrics to Improve
Metrics to Improve
This is defined by the metrics with the lowest weighted score out of 100, such that these metrics would have the greatest impact on the overall score.
For metrics that have binary outcomes (yes=100/no=0), no comparative income group average is reported.
Planning:
Market sounding and/or assessment
Activity:
Private infrastructure investment
Detailed Data
This section shows country data for each of the 41 metrics. The figures in brackets denote the change in score since InfraCompass 2017.
Note that all data has been normalised on a scale of 1-100. For raw metric data, please download the complete InfraCompass 2020 dataset.
Where relevant, some metric scores have been inverted, such that all metrics have positive relationships with good infrastructure outcomes. For example, since lower compliance costs make it easier to invest in infrastructure, the normalised value of ‘number of procedures to start a business’ has been reversed such that lower number of procedures are scored closer to 100, and higher numbers closer to 0. In other words, a score of 0 indicates a poor performance, rather than 0 number of procedures.
28.2%
The recovery rate is recorded as cents on the dollar recovered by secured creditors through reorganisation, liquidation or debt enforcement (foreclosure or receivership) proceedings.
20.7%
World Governance Composite Indicator reflecting perceptions of the extent to which agents have confidence in and abide by the rules of society, and in particular the quality of contract enforcement, property rights, the police, and the courts, as well as the likelihood of crime and violence. The rule of law reflects whether the law imposes limits of power on the state, private sector and individuals.
18.1%
Whether the country conducts post-completion reviews on infrastructure projects to ensure the forecast outcomes are being achieved.
15.1%
Measures the governance practices that protect shareholders through three dimensions: the extent of shareholder rights index (shareholders’ rights and role in major corporate decisions), the extent of ownership and control index (governance safeguards protecting shareholders from undue board control and entrenchment), and the extent of corporate transparency index (corporate transparency on ownership stakes).
12.8%
Political stability and absence of violence score
Measures perceptions of the likelihood of political instability and/or politically-motivated violence, including terrorism. Estimate gives the country's score on the aggregate indicator, in units of a standard normal distribution i.e. ranging from approximately -2.5 to 2.5.
5%
Whether an infrastructure agency exists to coordinate an integrated approach to infrastructure delivery and policy.
China
Upper-middle Income Countries Average
Description
The recovery rate is recorded as cents on the dollar recovered by secured creditors through reorganisation, liquidation or debt enforcement (foreclosure or receivership) proceedings.
Weighting (% of Driver)
28.2%
Source Link
Description
World Governance Composite Indicator reflecting perceptions of the extent to which agents have confidence in and abide by the rules of society, and in particular the quality of contract enforcement, property rights, the police, and the courts, as well as the likelihood of crime and violence. The rule of law reflects whether the law imposes limits of power on the state, private sector and individuals.
Weighting (% of Driver)
20.7%
Description
Whether the country conducts post-completion reviews on infrastructure projects to ensure the forecast outcomes are being achieved.
Weighting (% of Driver)
18.1%
Source Link
Description
Measures the governance practices that protect shareholders through three dimensions: the extent of shareholder rights index (shareholders’ rights and role in major corporate decisions), the extent of ownership and control index (governance safeguards protecting shareholders from undue board control and entrenchment), and the extent of corporate transparency index (corporate transparency on ownership stakes).
Weighting (% of Driver)
15.1%
Source Link
Description
Measures perceptions of the likelihood of political instability and/or politically-motivated violence, including terrorism. Estimate gives the country's score on the aggregate indicator, in units of a standard normal distribution i.e. ranging from approximately -2.5 to 2.5.
Weighting (% of Driver)
12.8%
Description
Whether an infrastructure agency exists to coordinate an integrated approach to infrastructure delivery and policy.
Weighting (% of Driver)
5%
Source Link
Country Overview Data
12,562 USD
Population1,413 million persons
77.9 (0-100 best)
Infrastructure investment6.1% of GDP
Infrastructure gap0.4% of GDP
14,140 USD billion
GDP growth rate6.1%
GDP per capita growth rate5.4%
Gini coefficient38.6 (0-100 worst)
Gross Government Debt56.0% of GDP
Inflation rate2.3%
Summary credit rating80.0 (0-100 best)
Unemployment rate4.4%
Urbanisation ratio59.0% of total population
Road connectivity95.7 (0-100 best)
4.6 (1-7 best)
Efficiency of train services4.5 (1-7 best)
Efficiency of air transport services4.6 (1-7 best)
Efficiency of seaport services4.5 (1-7 best)
Electricity access100.0% of population
Electricity supply quality4.9% of output lost
Exposure to unsafe drinking water18.0% of population
Reliability of water supply4.9 (1-7 best)
Digital Adoption Index0.6 (0-1 best)
Mobile-broadband subscriptions95.4 per 100 population
Fixed-broadband Internet subscriptions28.5 per 100 population