DHAKA, November 4, 2010 – Since 2005, business regulation has become more effective for entrepreneurs worldwide, with about 85 percent of the world’s economies making it easier for firms to operate, thanks to 1,511 improvements in business regulations. Bangladesh has moved up 4 places in Doing Business 2011 rankings, and now ranks 107 out of 183 countries, which is the largest improvement among the South Asia countries. This has been due to steady progress in reforms in two major areas: Starting a Business and Registering Property.
The Doing Business 2011: Making a Difference for Entrepreneurs finds that in Bangladesh business start-up was made easier by simplifying procedures and using automated systems such as eliminating the requirement to buy adhesive stamps and further enhancing the online registration system. The amendments of several laws in 2009-2010 has reduced property transfer costs and made it easier for entrepreneurs to register property.
"Facilitating the start-up of new businesses is critical for strong economic growth, and Bangladesh has made good progress in doing so. On average, now it takes 19 days to start a business while it took 44 days only a year ago. Further improvements in property registration and strengthening of contract enforcement would reduce costs, increase business confidence, and ultimately lead to more jobs and better livelihood." said Ellen Goldstein, Country Director, World Bank Bangladesh.
“Bangladesh has been recognized by the Doing Business 2010 report as one of the top ten reformers worldwide in starting a business. With the assistance of IFC, Bangladesh has made very significant improvements in the company registration process by using automated systems and simplifying procedures. Continued efforts in improving business processes are imperative to making further progress on its ranking in the next year’s report.” said Ian Crosby, Manager, Advisory Services Bangladesh
Doing Business 2011 finds that from June 2009 through May 2010, four of eight economies in South Asia reformed business regulation to expand opportunity for local firms. Since 2005, India has implemented 18 business regulation reforms in seven areas covered by Doing Business, creating more opportunities for local firms. Many of these reforms focused on technology—implementing electronic business registration, electronic filing for taxes, an electronic collateral registry, and online submission of customs forms and payments.
“New technology underpins regulatory best practice around the world,” said Dahlia Khalifa, an author of the report. “Technology makes compliance easier, less costly, and more transparent.”
Other economies in South Asia are also improving regulation with faster, transparent, electronic systems. Pakistan, the region’s highest-ranking economy on the regulatory ease of doing business (with a global ranking of 83 among 183 economies), reduced the time for exporting by improving electronic communication between the Karachi Port authorities and private terminals in the past year.
In the past year, governments in 117 economies worldwide carried out 216 business regulation reforms aimed at making it easier to start and operate a business, strengthening transparency and property rights, and improving the efficiency of commercial dispute resolution and bankruptcy procedures. More than half the policy changes eased business start-up, trade, and the payment of taxes.
The Doing Business 2011: Making a Doing Business 2011: Difference for Entrepreneurs is the eighth in a series of annual reports published by IFC and the World Bank.