FEATURE
RISING AGAINST THE TIDE The UAE and KSA among the elite in this year’s Agility Emerging Markets Index amid recession worries
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oving into 2020, the world faces a tempestuous economic scene. During 2019, global trade growth slowed to an estimated 1.1%, the lowest level since the 2008-09 financial crisis, and a number of factors are combining to weigh on prospects as the new decade begins. Tariffs and tensions between the world’s largest consuming and producing nations; an anaemic European Union economy; slowdowns in key developed and emerging economies; and social and political unrest are just some of the factors causing concern for leaders across the logistics industry. This is the backdrop against which twothirds Agility Emerging Markets Logistics Index Survey respondents say a global 22
APRIL 2020
economic recession is likely or very likely in 2020. In the past year, trade growth has fallen and investor confidence has weakened as the future of globalisation, which has played such a significant role in emerging market growth over the last four decades, has been fundamentally questioned. To assess and understand these trends and their effects on 50 of the world’s most promising emerging logistics markets, the Agility Emerging Markets Logistics Index 2020 examines three key areas for logistics market development: Domestic Logistics Opportunities; International Logistics Opportunities; Business Fundamentals. Across each, the Agility Emerging Markets Logistics Index methodology utilises a unique set of variables that measure current, short-and medium-term performance across structural
During 2019, global trade growth slowed to 1.1%, the lowest level since the 2008-09”
and cyclical factors in each country’s logistics markets and in key vertical sectors. As a result, the Index weighs the current opportunity and future potential a market offers against the operational realities and the openness, robustness and fairness of the market’s business environment. The 2020 Agility Emerging Markets Logistics Index presents a data-driven analysis of 50 of the world’s most promising emerging logistics markets, reflecting the complexity, connectedness and opportunities each market provides. With the leading six markets unchanged year-on-year, the Agility Emerging Markets Logistics Index confirms that a group of elite emerging logistics markets have established and entrenched their positions through a mix of domestic market strength, international market connectivity and robust business environments. meconstructionnews.com
