"SINGAPORE is the easiest country in the world to do business
in, while China is rapidly simplifying business procedures to keep
it ahead of India in the global rankings, the World Bank
said.
New Zealand is the second most business-friendly place, according
to the annual Doing Business report.
It ranked 175 economies in terms of regulations that enhance or
constrain business.
'Singapore became the most business-friendly economy in the world
in 2005/2006, as measured by the Doing Business indicators,' said
the report released ahead of the bank's joint meetings with the
International Monetary Fund (IMF) here next week.
New Zealand was in first place in the previous report.
Hong Kong was the other Asian economy in the top 10 list at fifth,
trailing third place the United States and fourth place
Canada.
Australia was the eighth easiest place in the world to transact
business in, better than its ninth-place finish previously.
Japan came in at number 11, improving one notch, while South Korea
remained in 23rd place.
The bank evaluated regulations facing investors in 10 categories,
which included starting a business, obtaining licences, employing
workers, registering property and investor protection.
It also reviewed regulations in credit, taxes, trading across
borders, enforcing contracts and closing a business. An economy's
average score determined its ranking.
For example, it takes only six procedures and six days to start a
business in Singapore, while the same process takes 12 steps and 97
days in Indonesia.
Within South-east Asia, Thailand was ranked the 18th business
friendly country ahead of Malaysia which came in at 25th.
Others fared poorly
Other South-east Asian economies, however, fared poorly in the
global rankings.
Vietnam was in 104th place, falling from 98, but the communist
nation still came in well ahead of the Philippines which was ranked
126th, down from 121, and just above the war-torn West Bank and
Gaza strip.
Indonesia was in 135th place, from a previous 131st, while Cambodia
was ranked 143rd and Laos was 159th, improving from its 164th
finish previously.
Timor Leste remained in the second-to-last place at 174, ahead only
of the Democratic Republic of Congo.
'Watch out, rest of the world: China is a top-10 reformer,' said
the report jointly published by the World Bank and the
International Finance.
'The government sped business entry, increased investor protections
and reduced red tape in trading across borders. China also
established a credit information registry for consumer loans. Now
340 million citizens have credit histories.'
India, the other emerging Asian giant, was in 134th place,
improving only four notches. It ranks behind Pakistan which was in
74th place, Bangladesh at 88th and Sri Lanka at 89th.
China fared better than India in terms of licensing regulations,
employing workers, registering property, trading across borders,
enforcing contracts and in closing a business.
But India scored better than China in terms of the ease in starting
a business, getting credit, protecting investors and tax payments.
-- AFP"
Straits Times Sept 9
