Israel’s standing in this year’s Bloomberg Innovation Index drastically improved compared to 2018, with Israel moving up five spots to be ranked the world’s fifth-most innovative economy, the financial news network said this week.

South Korea continues to lead in innovation, followed by Germany and Finland. Switzerland ranks fourth.

According to Bloomberg, Israel made remarkable gains compared to 2018, as did China, and can be considered “the big winner.” Bloomberg said that Israel’s jump in the rankings is attributable to increased patent activity.

“The Middle Eastern country surpassed Singapore, Sweden and Japan in the process,” said Bloomberg.

Sweden, which was second place in 2018, fell to seventh place. The United States is now back among the top 10 most innovative economies, ranked No. 8, a year after dropping to the 11th spot.

The index was released as global elites gather this week at the annual World Economic Forum in Davos, Switzerland.

Economy and Industry Minister Eli Cohen, who is attending the forum, touted Israeli innovation on Wednesday. He noted that the forum had  included eight Israeli startups in its 2018 Technology Pioneers list.

“We will continue to incentivize trailblazing startups and entrepreneurs,” Cohen told Israel Hayom on Wednesday.

The 2018 Technology Pioneers list, which was announced in June, recognizes companies for bringing “cutting-edge insights and novel perspectives to world-critical discussions.”

The Israeli companies in the list are Vayyar, which develops 3D imaging sensors for medical use and water conservation; XM Cyber, which helps target cyber attacks; Innoviz Technologies, which provides remote sensing solutions for autonomous vehicles; three energy companies (Watergen, Raycatch, Utilis and Aqua Security); and Precognize, a company that provides predictive maintenance software for the processing industry.