The world's innovation report card is here. And some countries have made dramatic improvements over the last year, while other powerhouses seem to be in a slump. The world is quickly moving to get more innovative. The 2025 Global Innovation Index has listed the global hubs for this rapid change.
Here is the top 10 list: Switzerland, Sweden, United States, South Korea, Singapore, Finland, Netherlands, Denmark and China. There are plenty of takeaways from this list, which actually ranks a total of 139 countries.
But first, how is it calculated? According to the World Intellectual Property Office, a total of 78 indicators are accounted for -- including tech exports, infrastructure and market sophistication. The list comes out every year and tracks progress of innovation, or the lack of it.
Global Innovation Index 2025: Key takeaways
China has broken through the top 10. It leads in patent filings and hosts most of the innovation clusters in top 100, including the Shenzhen–Hong Kong–Guangzhou hub, which now rank 1st, and Beijing. China is on track to become the biggest R&D spender as it rapidly closes the gap in private sector financing, the GII showed.
China contributed about a quarter of international patent applications in 2024, remaining the biggest source of them, while the United States, Japan and Germany - which together make up 40% of total applications - all recorded slight declines.
India is moving places and slowly emerging a potential hub for innovation. India is placed at the 38th spot this year. New Delhi's exponential rise has bumped up its rankings by 28 places since 2013. The growth has been driven by India's vibrant IT sector, digital services and startup ecosystem.
India is at the top in the lower-middle-income economies and in Central and Southern Asia region. It performs best in knowledge & technology outputs, but Business Sophistication and Infrastructure remain weak.
Switzerland has held the top spot for 5 years straight. Barring human capital and research, Switzerland leads the way in all indices of the 2025 Global Innovation Index. CNBC reported that the country’s thriving biotech and pharmaceutical industries, combined with creative outputs, make it a global model of innovation efficiency.
Europe continues to remain the best performing continent, but Asia is slowly catching up. In the top 10 list, 6 countries are in Europe. The second biggest share of pie is held by Asia, with Singapore, South Korea and China on the list. The United States is the sole representative from the Americas.
China displaced Germany from the top 10. But the list's co-author said Germany should not be alarmed. WIPO said Germany's main challenge would be to pivot towards digital innovation.
Looking at the long-term, Germany should not be alarmed by its fall to 11th place, said GII co-editor, Sacha Wunsch-Vincent, adding that the new rankings did not reflect the impact of tariffs imposed by the Trump administration in the US.
"The challenge for Germany is how..., alongside its strong, decades-long status as a really powerful engine of industrial innovation, to become a powerhouse of digital innovation," said WIPO Director General Daren Tang.
