The Netherlands has slipped out of the top five in the latest edition of the World Economic Forum’s ranking of the world’s most competitive economies.

The Netherlands has gone down from fourth to sixth place after being overtaken by Germany and Japan, the latest edition of the rankings show. The US remains top of the list, followed by Singapore, Germany and Switzerland.

The ranking is based on 12 different ‘pillars’ ranging from the make up of the workforce to the way companies are embracing technological advances.

The Netherlands, the WEF says, performs particularly well on institutions , especially when it comes to checks and balances (including judicial independence, freedom of the press and government openness), protection of property rights, and ethics and transparency.

In addition, the economy is an open one, which ‘is marked by forgiving cultural attitudes towards entrepreneurial failure, a great willingness to delegate authority, entrepreneurs who are willing to embrace disruptive ideas, and fast-growing innovative companies’.

The Netherlands also tops the sub-ranking for macro-economic stability but comes no higher than 19th for ICT adoption and 20th for the health of its workforce.