Although education and examination systems vary across the world, testing is very common in all countries and regions. There are international examination systems and also examination systems developed on a country-by-country basis.
In economically disadvantaged countries, a couple of drawbacks to examination systems deal with 1) students not having access to quality education to prepare them to tackle the content on the test and 2) students not having the test-taking skills needed to demonstrate what they know in the context of a test.
These issues are obviously exacerbated by inequalities within social systems. Students from wealthy families have access to better education, and in some cases, tutors and advance copies of exams. India was rocked by cheating scandal in recent years that was fueled by the inequalities present within Indian society: students from wealthier families and higher castes were able to buy questions that leaked before exam time, creating even further inequality in the education system and test results that did not accurately portray the academic skill of test-takers.
Finally, the tumultuous environment of underdeveloped countries can cause problems in examination systems. For example, in a war-torn country, what happens if conflict breaks out and exams can’t be given? They likely will not be rescheduled, thus putting students behind a semester or more. Quality and meaningful exams depend upon stability and consistency. In some countries, those things are luxuries rather than a given.
Deshpande, J. V. “Examining the Examination System.” Economic and Political Weekly, vol. 39, no. 16, 2004, pp. 1563–1565. JSTOR, www.jstor.org/stable/4414889.