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India up by four places in Ease of Doing Business :WB report

by IBNS 27 Oct 2015, 08:44 pm

New Delhi, Oct 28 (IBNS) India has climbed four places in the "Ease of Doing Business" rankings (2016) compiled by the World Bank.

According to reports, India has is now ranked 130th out of 189 countries in the ease of doing business. Last year, India ranked 142 on the list, but its rank was revised upwards to 134 based on a new methodology.

 The rankings are based on 10 indicators such as how easy it is to start a business and sometimes form the basis of foreign investments in a country. India has made rapid strides in the "days to start a business" moving from a ranking of 127 in 2014 to 29 this year, the World Bank said.

 India improved its ranking in the area of starting a business by 9 places to 155 this year, the World Bank said. In May 2015, the government eliminated the minimum capital requirement to start a business and also ended the requirement to obtain a certificate to commence business operations, which helped rankings, the World Bank said.

 The biggest improvement, however, was seen in the area of providing power to businesses, where India's ranking improved from 99 in 2015 to 70 in 2016, the World Bank said. .

The World Bank noted that India recorded the biggest increase in the distance to frontier (a measure of a country's absolute performance) score in South Asia since 2004. 

"More reforms are ongoing-in starting a business and other areas measured by Doing Business-though the full effects have yet to be felt," it said.