Bulgaria Ranks 58th in 2018 Digitalisation Ranking – EDI Index

Bulgaria ranks 58th among 115 countries in the world for enabling digital growth, according to the 2018 research from the leading trade credit insurer Euler Hermes. Its Enabling Digitalisation Index (EDI) analyses each country’s ability to provide the necessary environment for the business to succeed in an increasingly digitalized global economy.

The total score of each country (a score from 0=worse to 100=best) consists of five components – Regulation, Knowledge, Connectivity, Infrastructure and Size. Bulgaria scores best in terms of proactive digital regulation (Regulation) – 73.7 points. Its score is lower in the other four components: Knowledge – 46.1, Connectivity – 39.9, Infrastructure – 39.9, and Size – 0.5. Thus, Bulgaria’s overall performance is estimated at 40 points. The US tops the list globally with 87 points, followed by Germany – at 75.3 points and the Netherlands – at 74.3.

Methodology:

The EDI measures the conditions for companies to transform and thrive digitally. The score is made of the following 5 components:

Regulation: measures performance on regulations which matter for digitagility – ease of getting credit, investor’s protection and incentives

Knowledge: measures countries’ education and training score – secondary and tertiary enrollment rates, quality of the education system and the extent of employees’ training, as well as their efforts to boost innovation performance – stimulating R&D activities, collaboration between Universities and the private sector, intellectual property laws

Connectivity: measures the number of people using internet in % of population, mobile phone and fixed phones lines subscriptions per 100 people, and the number of secure servers per 100 people

Infrastructure: for this component Euler Hermеs uses the Logistics Performance Index tool by the World Bank as a proxy of soft and hard logistical infrastructure.  

Size: measures the number of internet users, and their income (the component correlates with reducing digital inequalities)

The US is on top of the digital world with a score of 87 out of 100. The country benefits from a large market, a strong knowledge ecosystem and a stable business environment. In Europe, the best performer is Germany, ranking second best globally with a global score of 75.3 and leading the way in Europe.

Western Europe stands out when it comes to providing favorable environment for businesses to thrive in the digitalization era, with 16 countries ranked in the top 30 and four countries in the top 5: Germany, the Netherlands, Switzerland and the United Kingdom. The region seems to have benefitted from the European Union construction: aligned business practices, improved logistical infrastructure and a stronger knowledge ecosystem, Euler Hermes reports in their data summary.

Rising stars in this year’s ranking are Thailand, India and Indonesia, while Latin America, Middle East and Africa are lagging behind.

Euler Hermes Enabling Digitalization Index is available on Euler Hermes’ website.

About Euler Hermes

Euler Hermes is a subsidiary of Allianz, a global leader in trade credit insurance, and a recognized specialist in the areas of bonding, guarantees and collections. With more than 100 years of experience, the company offers business-to-business (B2B) clients financial services to support cash and trade receivables management.Headquartered in Paris, the company is present in 52 countries with 6,050 employees. In 2017, the company reported a consolidated turnover of €2.6 billion.