THE LEGATUM PROSPERITY INDEX™ 2020

Creating the Pathways from Poverty to Prosperity

Summary

Prosperity is far more than wealth; it is when all people have the opportunity and freedom to thrive. Prosperity is underpinned by an inclusive society, with a strong contract that protects the fundamental liberties and security of every individual. It is driven by an open economy that harnesses ideas and talent to create sustainable pathways out of poverty. And it is built by empowered people, who contribute and play their part in creating a society that promotes wellbeing.

The Legatum Institute exists to build a global movement of people committed to creating the pathways from poverty to prosperity and the transformation of society. The Legatum Prosperity Index™, now in its 14th year, is designed to be a transformational tool, and our ambition is that leaders around the world use it to help set their agendas for growth and development.

Prosperity is underpinned by an inclusive society, driven by an open economy, and built by empowered people.

Through the Index, analysis of the performance of each of the 167 countries can be carried out on the key characteristics of inclusive societies, open economies, and empowered people. We have used 12 pillars, comprising 66 different elements, measured by close to 300 discrete country-level indicators, using a wide array of publicly available data sources.

This comprehensive set of indicators provides an incredibly rich and holistic policy-focused dataset representing over 99% of the world's population, thereby allowing the potential of each country to be identified and understood. This in turn enables significantly better targeted policy responses that can drive tangible improvements in prosperity.

Whilst most policymakers focus on the big fiscal and macroeconomic policy tools at their disposal, or separately consider the social factors, they rarely consider all together. By combining in one Index the full range of disparate personal, business, and policy choices that impact and drive prosperity in different countries, we are looking to shift the focus of policymakers and influencers towards the broader implications of institutional, economic, and social policies.

About the Legatum Institute

The word ‘legatum’ means ‘legacy’. At the Legatum Institute, we are focused on tackling the major challenges of our generation—and seizing the major opportunities—to ensure the legacy we pass on to the next generation is one of increasing prosperity and human flourishing. We are a London-based think-tank with a bold vision to build a global movement of people committed to creating the pathways from poverty to prosperity and the transformation of society.

For more information about the Prosperity Index or to speak to one of the Legatum Institute’s experts, please email info@li.com.