Why India moved into top 100 in Ease of Doing Business

Why India moved into top 100 in Ease of Doing Business

The 'World Bank Group's latest Doing Business 2018: Reforming to Create Jobs' said India was one of the top 10 improvers in this year's assessment, having implemented reforms in 8 out of 10 Doing Business indicators.  

Giving a filip to the Narendra Modi government's efforts in this front, the bank acknowledged that India moved up on the back of sustained business reforms over the past years.

India is the only large country this year to have achieved such a significant shift, it said, going on to list  a number of reasons on why India for the first time moved into the top 100 in the its Ease of Doing Business global rankings.

Last year, the bank's report had ranked India at 130.  On the "distance to frontier metric," one of the key indicators in the survey, India's score went from 56.05 in Doing Business 2017 to 60.76 in Doing Business 2018.

This means, the bank's report said, last year India improved its business regulations in absolute terms – indicating that the country is continuing its steady shift towards best practice in business regulation. Marking its 15th anniversary, the report noted that India has adopted 37 reforms since 2003. Nearly half of these reforms have been implemented in the last four years. It said it had  captured reforms implemented in 190 countries in the period June 2, 2016 to June 1, 2017.

This year, the eight indicators on which reforms were implemented in Delhi and Mumbai, the two cities covered by the report are: starting a business, dealing with construction permits, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency.

India performed well in the areas of Protecting Minority Investors, Getting Credit, and Getting Electricity.

The country's corporate law and securities regulations were recognised as highly advanced, placing India in 4th place in the global ranking on Protecting Minority Investors.

The time to obtain an electricity connection in Delhi dropped from 138 days four years ago to 45 days now, almost 20 days less than the 78 days average in OECD high-income economies.

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