India has been placed at 130th position among the 190 countries in the recently released World Bank’s ease of doing business index for the year 2017. This marginal improvement came on the back of slight improvement in four indicators — getting electricity, enforcing contracts, trading across borders and registering property. However, the index was released as part of the World Bank’s annual report Doing Business 2017: Equal Opportunity for All. Also this report had revised India’s rank to 131 from earlier 130th for the year 2016. Not only this, India has also 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.
“Our objective is that in the next 3-4 years, India must come in the top 30 countries as far as ease of doing business is concerned,” Amitabh Kant, CEO, Niti Aayog, had said in May, 2016.
How World Bank ranks countries?
The World Bank ranks countries on 9 parameters:
- Starting a business
- Dealing with construction permits
- Getting electricity
- Registering property
- Getting credit
- Protecting minority shareholders
- Paying taxes
- Enforcing contracts
- Trading across borders and resolving insolvency
Ease of Doing Business Index
- The ease of doing business index is prepared by World Bank Group.
- The index ranks economies from 1 to 189, with first place being the best.
- A high ranking means that the regulatory environment is conducive to business operation.
- The index averages the country’s percentile rankings on 10 topics covered in the World Bank’s Doing Business.