In­dia Jumps 30 Notches to 100th Place in WB’S Do­ing Biz Index

Business Sphere - - EASE OF DOING BUSINESS - By Our Cor­re­spon­dent

In a de­vel­op­ment that will be remembered for long, In­dia jumped 30 places to rank 100th in the World Bank's 'ease of do­ing busi­ness' rank­ing on back of eco­nomic re­forms un­der­taken by the NDA gov­ern­ment which came to power in May 2014. Elated by the his­toric jump in rank­ing, the gov­ern­ment vowed to con­tinue re­forms that will help the coun­try break into top 50 in com­ing years. In­dia, which was ranked 142nd when the Naren­dra Modi gov­ern­ment three­and-half years ago and 130th last year, is the only large coun­try this year to have achieved such a sig­nif­i­cant shift on the back of re­forms in tax­a­tion, con­struc­tion per­mits, in­vestor pro­tec­tion and bank­ruptcy res­o­lu­tion. The World Bank said it is "one of the top 10 im­provers in this year's as­sess­ment, hav ing im­ple­mented re­forms in 8 out of 10 'do­ing busi­ness' in­di­ca­tors." This is the first time In­dia has bro­ken into top 100 na­tions. Re­act­ing to the de­vel­op­ment, Prime Min­is­ter Modi said the gov­ern­ment is de­ter­mined to fur­ther im­prove the rank­ings and scale greater eco­nomic growth with the mantra of 're­form, per­form and trans­form'. He hailed as "his­toric" the jump in In­dia's rank­ing in 'ease of do­ing busi­ness' and said it was a re­sult of "all-round & multi-sec­toral re­form push". Ad­dress­ing the me­dia in New Delhi, Fi­nance Min­is­ter Arun Jait­ley said, "This is the high­est jump that we have made in do­ing busi­ness rank­ing and it is sig­nif­i­cant for In­dia be­cause for the last 3-4 years we are try­ing to im­prove upon all the 10 pa­ram­e­ters (of rank­ing) so that it be­comes easy to do busi­ness in In­dia." In its an­nual re­port 'Do­ing Busi­ness 2018: Re­form­ing to Cre­ate Jobs', the World Bank said that In­dia's rank­ing re­flects nearly half of the 37 re­forms, adopted since 2003, im­ple­mented in the last four years. With June as cut-off for as­sess­ing busi­ness en­vi­ron­ment, the rank­ing does not take into ac­count the land­mark re­form of Goods and Ser­vices Tax (GST), which from July 1 weaved the coun­try of 1.3 bil­lion into one mar­ket with one tax and re­moved in­ter-state bar­ri­ers for trade. Also, de­mon­e­ti­za­tion has not been cov­ered in the re­port. The rank­ing comes as a shot in the arm for the gov­ern­ment that has been bat­tling dis­sent­ing voices against the way GST was im­ple­mented and growth be­ing hit, although tem­po­rar­ily, due to de­mon­eti­sa­tion of higher de­nom­i­na­tion cur­rency. "In 3 years, from 142 we have come to 100. And I think in those ar­eas where we are still lag­ging be­hind, there is a suf­fi­cient amount of work in progress. There is a rea­son to be­lieve that we have a ca­pac­ity to fur­ther sig­nif­i­cantly im­prove our po­si­tion," Jait­ley had said. Modi's tar­get of break­ing into top 50, he said, is achiev­able. "I be­lieve this is doable and there­fore these re­main­ing 3 -4 ar­eas where work has to be done we will be push­ing it with all the greater force," he added. The pa­ram­e­ters that wit­nessed im­prove­ment in 2016-17 were In­dia mak­ing it faster for start busi­ness, re­duc­tion in pro­ce­dures and time re­quired to ob­tain build­ing per­mit, eas­ier ac­cess to credit, pro­tect­ing mi­nor­ity in­vestors, ease of pay­ing taxes, trad­ing across bor­ders, en­forc­ing con­tracts and mak­ing re­solv­ing in­sol­vency eas­ier, the World Bank said. But it still lags in ar­eas such as start­ing a busi­ness, en­forc­ing con­tracts and deal­ing with con­struc­tion per­mits. It takes 30 days now to reg­is­ter a new busi­ness, down from 127 days 15 years ago, but "the num­ber of pro­ce­dures is still cum­ber­some for

Hon’ble Prime Min­is­ter Shri Naren­dra Modi

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