India has been ranked 48th, down two notches in terms of IT industry competitiveness on account of high bureaucracy, rigid labor laws and FDI limits, a latest study says.
Even though India is considered an information technology superpower for quite few years now, it has been placed at 48th position among 66 countries on the index, a survey by the Economist Intelligence Unit (EIU), the business information arm of The Economist said.
The country has an overall score of 28.9 on the index of of total score of 100, much below several small countries like Latvia, Lithuania and Malaysia, it added.
"Tortuous bureaucracy, highly complex tax systems, rigid labor laws and limits on foreign investment in certain industries are some of the biggest challenges India is facing," Business Software Alliance VP and Regional Director Jeffrey J Hardee said quoting the findings of the report.
The survey sponsored by BSA, an alliance of many IT companies said that, India moved two places below to be placed at 48 this year from 46 in 2007, in the overall ranking and is placed at 11th position this year among 17 Asian countries.