The latest edition of the Global Talent Competitiveness Index (GTCI) report, jointly released by the European Institute of Business Administration (INSEAD) and the Portulans Institute, shows that in 2025, Brazil ranks 68th out of 135 economies, moving up one spot from the previous edition released in 2023.

According to the "São Paulo State Report," the index evaluates the ability of economies to attract, develop, and retain talent. The top three positions in this year's ranking are held by Singapore, Switzerland, and Denmark. Notably, the United States, which was ranked third globally in 2023, has significantly dropped to ninth place this year.

This year marks the 11th edition of the GTCI report since 2013, with the theme "Resilience in Disruptive Times," exploring how countries can build talent systems to address disruptive changes. The ranking comprises 77 indicators covering six dimensions: policy support, talent attraction, talent development, talent retention, vocational and generic skills, and general adaptability skills.

Brazil faces challenges in talent development and attraction. In terms of talent development, Brazil's performance is weak, with low rankings in areas such as "government efficiency" (98th globally), "labor-employer cooperation" (124th globally), and "wage-to-productivity ratio" (104th globally).

Felipe Monteiro, Senior Affiliate Professor of Strategy at INSEAD and a Brazilian, points out that the lack of collaboration between institutions and low productivity are reasons behind this situation. He believes this underscores the urgency for Brazil to push for structural reforms and improve the business environment.

In terms of talent development, Brazil performs best, ranking 56th, especially excelling in the use of professional networking tools like LinkedIn.

Monteiro stated, "Developing countries are undergoing an artificial intelligence technology revolution, and they may have the opportunity to leapfrog certain stages of development, providing Brazil with a great opportunity to rapidly enhance its competitiveness and achieve breakthrough development."

In the Latin American region, Chile holds the highest ranking at 39th. Apart from Chile, Uruguay and Costa Rica have rankings superior to Brazil.

Monteiro explains that these countries have smaller populations but higher per capita income, positioning them at a relatively advanced stage. He points out that large emerging economies like Brazil, India, and Malaysia are facing a "middle-income trap" and need to break through bottlenecks through technological innovation and educational reform. These economies currently lack cost competitiveness, and their levels of innovation and productivity have not yet reached those of developed economies.