Israel jumped eight places to rank 16th in the world from 137 countries in the latest edition of the Global Competitiveness Index (GCI) published by the Geneva-based World Economic Forum this week.

Switzerland topped the table as the world’s most competitive economy for the ninth consecutive year, beating out the United States and Singapore in second and third place respectively.

The report looks at 12 factors: institutional environment; infrastructure;  macroeconomic environment; health and primary education; higher education and training; efficiency of goods markets; labor market efficiency; financial market development; technological readiness; market size; business sophistication; and innovation.

Israel came in third in innovation, seventh in technological readiness, 11th in financial market development and 15th in business sophistication.

However, on the downside, it ranked 39th in macroeconomic environment, 29th in the quality of institutions and 30th in efficiency of goods markets.

The index listed the most problematic factors for doing business in Israel as inefficient government bureaucracy, an inadequately educated workforce, restrictive labor regulations and tax rates.

Shraga Brosh, Chairman of the Manufacturers Association of Israel, said the jump in Israel’s rank was “recognition of the hard work done by the government to improve the business environment,” but that “excessive regulation and bureaucracy remained.”

“The government must act to continue to reduce the burden of regulation and bureaucracy in Israel,” Brosh said.