From Global Competitiveness to Composite Index of Systemic Competitiveness (CISC): Developing the CISC Through a Comparative Analysis of Saudi Arabia and Egypt

Abstract

This study introduces the Composite Index of Systemic Competitiveness (CISC), a new framework to quantify national competitive potential by the examination of three interdependent pillars: governance efficiency, economic mass, and competitiveness drag. A focus on Saudi Arabia and Egypt from 2020 to 2023, this research examines how institutional performance, economic diversification strategies, and structural constraints affect development pathways in alignment with the United Nations Sustainable Development Goals (SDGs), especially SDG 8 (Decent Work and Economic Growth) and SDG 10 (Reduced Inequalities). Cross-national, quantitative case study is the research design. The CISC combines internationally aggregated measurements of indicators from only 2020 to 2023 for Egypt and KSA from institutions such as the World Bank, IMF, and Transparency International, for example, economic resilience variables, governance norms, non-oil GDP growth, and measures to mitigate inequality. Sensitivity tests ensure index reliability through tests of robustness. As a limitation for the study, data used in the study is a 4 years data for both Egypt and KSA from 2020 to 2023. Saudi Arabia exhibits remarkable CISC developments, fueled by governance reform and economy diversification in line with Vision 2030, speeding up to SDG 8. Conversely, Egypt is hindered by budget constraints, institutional fragility, and persisting inequalities, restraining SDG 10 ambitions. The implications show that balance synergism among macroeconomic policy, institutional responsibility, and distributive policies are essential to unlock sustainable development. The CISC presents a revolutionary way of measuring systemic competitiveness in the form of direct ratio correlation with SDG standards. The instrument provides policymakers with a diagnostic tool that can help them determine reform priorities to reconcile economic growth and social cohesiveness and long-term sustainability. The CISC facilitates the realignment of efforts with systemic competitiveness drivers, allowing evidence-based policy-making for maximizing national development results and global economic positioning. Governments and institutions can utilize this framework to navigate structural risks while following inclusive growth agendas.