World Bank Doing Business 2017 Report


Ajit Kumar AJIT KUMARWISDOM IAS, New Delhi.



 
The World Bank’s annual Doing Business 2017 report releasedon 25-October-2016  recognizes India’s achievements in implementing reforms in four of its ten indicators – Trading Across Borders, Getting Electricity, Enforcing Contracts and Paying Taxes. This is the first time in its history that India has been recognized for improvement in four indicators.
 
India has been placed at 130th position among the 190 countries. The index was released as part of the World Bank’s annual report Doing Business 2017: Equal Opportunity for All. This report had revised India’s rank to 130 from earlier 131st for the year 2016. Thus, India has improved its place by one spot in the 2017 index and its place remained unchanged from the previous original ranking of 130 in the year 2016.



 Reforms in India Recognized by World Bank
 
-  On Getting Electricity, the report recognized the efforts of Tata Power in Delhi to make it faster and cheaper to obtain an electricity connection. These efforts, combined with efforts in Mumbai last year, have allowed India to improve its rank on this indicator from 137 in Doing Business 2015 to 26 in this year’s report, a 111 rank improvement.

-  The report has also recognized the establishment of Commercial Divisions within the High Courts in Delhi and Mumbai to deal with commercial cases above Rs. 1 crore. This has allowed India to improve its rank by 14 places in 2 years.

-   In the area of Trading Across Borders, the report recognized the implementation of the Single Window Interface for Trade (ICEGATE), which integrates approvals and risk-based frameworks of customs and nine departments to provide traders with a single online interface for import clearances.
- On Paying Taxes, the report recognized online filing and payment of returns at the Employee’s Social Insurance Corporation.
 
Main Findings

1. Doing Business 2017: Equal Opportunity for All finds that entrepreneurs in 137 economies saw improvements in their local regulatory framework last year. Between June 2015 and June 2016, the report, which measures 190 economies worldwide, documented 283 business reforms. Reforms reducing the complexity and cost of regulatory processes in the area of starting a business were the most common in 2015/16, as in the previous year. The next most common reforms were in the areas of paying taxes, getting credit and trading across borders.Read about business reforms.
 
2. Brunei Darussalam, Kazakhstan, Kenya, Belarus, Indonesia, Serbia, Georgia, Pakistan, the United Arab Emirates, and Bahrain were the most improved economies in 2015/16 in areas tracked by Doing Business. Together, these 10 top improvers implemented 48 regulatory reforms making it easier to do business.
 
3. Economies in all regions are implementing reforms easing the process of doing business, but Europe and Central Asia continues to be the region with the highest share of economies implementing at least one reform—96% of economies in the region have implemented at least one business regulatory reform.
 
4. Doing Business includes a gender dimension in four of the 11 topics sets. Starting a business, registering property and enforcing contracts present a gender dimension for the first time this year. Labor market regulation already captured gender disaggregated data in last year’s report.
 
5. This year’s report expands the paying taxes topic set to cover postfiling processes—what happens after a firm pays taxes—such as tax refunds, tax audits and administrative tax appeals.
 
6.This year’s report also includes an annex with analysis on a pilot indicator on public procurement regulations.
 
7. The report features six case studies in the areas of getting electricity, getting credit: legal rights, getting credit: credit information, protecting minority investors, paying taxes and trading across borders as well as two annexes in the areas of labor market regulation and selling to the government. The case studies and annexes either present new indicators or provide further insights from the data collected through methodology changes implemented in the past two years.
 
What is ease of doing business index?
 The ease of doing business index is annually released by World Bank in its Ease of Doing Business Report. It was introduced in 2004. In this index, ranking of country is based on index averages the country’s percentile rankings on 10 indicators each having equal weightage. A higher ranking of country in this list means that its regulatory environment is more conducive and favourable for the starting and operation of firms.

Ten indicators are starting business, getting electricity, dealing with construction permits, registering property, protecting investors, getting credit, employing workers, trading across borders, paying taxes, enforcing contracts and resolving insolvency.






Sunday, 09th Jul 2017, 03:07:10 PM

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