Singapore ranked first in Asia in attracting and fostering talent for the fifth consecutive year, a reflection of the city-state's strong education system and its ability to build a diverse workforce.
It took the No. 2 spot behind Switzerland on the Global Talent Competitiveness Index, published by French business school INSEAD. The island nation was the only Asian country to feature among the top 10. Australia, which was sixth last year, fell to 11th place while New Zealand followed in 12th.
The index assesses a country's ability to attract, develop and retain talent. High-ranking countries share some key characteristics: good education systems, conducive regulatory and business landscapes, employment policies that favor flexibility as well as openness, the report said. This year's study focused on the importance of diversity and inclusion within organizations to boost competitiveness.
Some of Asia's bigger economies ranked much lower on the list but showed improvement. Japan improved 2 spots to 20th, China rose 11 spots to 43rd place, while India climbed by the same amount to No. 81.
"As 'smart cities' continue to develop in the region, more medium-sized Asian cities may emerge as future talent hubs, especially in China and India," said Bruno Lanvin, executive director of global indices at INSEAD and co-editor of the report.
Globally, European countries continued to dominate the ranking with eight countries featuring in the top 10. The U.S. clocked in at third place.
INSEAD partnered with human resources company Adecco Group AG and India's Tata Communications Ltd. on the report, which looked at a total of 119 countries.