Understanding Regulations for Small and Medium-Size Enterprises, finds that Jamaica led the way in the Caribbean by adopting new legislation for private credit bureaus, reducing the corporate income tax rate, and streamlining procedures for starting a new business. The Bahamas reduced the cost of transferring property and improved its insolvency process.
Methodology[ edit ] The report is above all, a benchmark study of regulation. The survey consists of a questionnaire designed by the Doing Business team with the assistance of academic advisers. The questionnaire centers on a simple business case that ensures comparability across economies and over time.
The survey also bases assumptions on the legal form of the business, size, location, and nature of its operations. The next step of gathering data surveys of over 12, expert contributors lawyers, accountants etc.
These individuals interact with the Doing Business team in conference calls, written correspondence and visits by the global team.
For the report, team members visited 34 economies to verify data and to recruit respondents. Data from the survey is subjected to several rounds of verification. The surveys are not a statistical sample, and the results are interpreted and cross-checked for consistency before being included in the report.
Results are also validated with the relevant government before publication. Respondents fill out written surveys and provide references to the relevant laws, regulations and fees, based on standardized case scenarios with specific assumptions, such as the business being located in the largest business city of the economy.
The data is collected directly from company registrars on the number of newly registered firms over the past seven years Good practices - Provide insights into how governments have improved the regulatory environment in the past in the areas measured by Doing Business Transparency in business regulation - Data on the accessibility of regulatory information measures how easy it is to access fee schedules for 4 regulatory processes in the largest business city of an economy For example, according to the Doing Business DB report, Canada ranked third on the first subindex "Starting a business" behind only New Zealand and Australia.
In Canada there is 1 procedure required to start a business which takes on average 5 days to complete. The official cost is 0. There is no minimum capital requirement.
By contrast, in Chad which ranked among the worst st out of on this same subindex, there are 9 procedures required to start a business taking 62 days to complete. A minimum capital investment of While fewer and simpler regulations often imply higher rankings, this is not always the case.
Protecting the rights of creditors and investors, as well as establishing or upgrading property and credit registries, may mean that more regulation is needed.
In most indicators, the case study refers to a small domestically-owned manufacturing company - hence the direct relevance of the indicators to foreign investors and large companies is limited.
DB uses a simple averaging approach for weighting sub-indicators and calculating rankings. A detailed explanation of every indicator can be found through the DB website, and a. Some caveats regarding the rankings and main information presented have to be considered by every user of the report.
Doing Business does not measure all aspects of the business environment that matter to firm or investors, such as the macroeconomic conditions, or the level of employment, corruption, stability or povertyin every country.
Doing Business does not consider the strengths and weakness neither of the global financial systemnor the financial system of every country. Doing Business does not cover all the regulation, or all the regulatory requirements.
Other types of regulation such as financial market, environment, or intellectual property regulations that are relevant for the private sector are not considered.
The Doing Business report is not intended as a complete assessment of competitiveness or of the business environment of a country and should rather be considered as a proxy of the regulatory framework faced by the private sector in a country.
The paper presented data on the regulation of entry of start-up firms in 85 countries covering the number of procedures, official time and official cost that a start-up must bear before it could operate legally.
The main findings of the paper were that: Countries with more democratic and limited governments have lighter regulation of entry. Also, Doing Business highlights every year the successful reforms carried out by each country.
Since The Regulation of Entry was published, Simeon Djankov and Andrei Shleifer have published eight other academic studies, one for each set of indicators covered by the report. InDoing Business covered regulations measured from June through May Over the previous decade, the reports recorded nearly 2, regulatory reforms implemented by economies.
Poland was the global top improver in the past year. It enhanced the ease of doing business through four institutional or regulatory reforms, making it easier to register property, pay taxes, enforce contracts, and resolve insolvency. Reform efforts globally have focused on making it easier to start a new business, increasing the efficiency of tax administration and facilitating trade across international borders.
Georgia was a new entrant to the top Philippines Soars 30 Notches in the IFC Doing Business Report reads The Philippines has moved up 30 places to No. from No. out of economies in the latest Ease of Doing Business Report released earlier today by the World Bank and International Finance Corporation.
Doing Business Understanding Regulations for Small and Medium-Size Enterprises Comparing Business Regulations for Domestic Firms in Economies.
Between June and June , the report, which measures economies worldwide, documented business reforms. Among reforms to reduce the complexity and cost of regulatory processes, those in the area of starting a business were the most common in /15, as in the previous year.
The report updates all indicators as of June 1, , ranks economies on their overall “ease of doing business”, and analyzes reforms to business regulation – identifying which economies are strengthening their business environment the most.
The World Bank report acknowledges the methodological challenges of such a large exercise. (File photo) The World Bank Group’s Doing Business report ranks India at out of countries, an improvement of 30 positions over last year’s ranking.
The report is compiled and published jointly by The World Bank and The International Finance Corporation. It is the 11th in a series of annual reports investigating the regulations that enhance business activity and those that constrain it.