Cut the Hype: Ease of Doing Business in India No Better Under Modi
India continues to rank low at 130th position in terms of ease of doing business, with the country seeing little or no improvement in dealing with construction permits, getting credit and other parameters.
In the World Bank's latest 'Doing Business' report, India's place remained unchanged from last year's original ranking of 130 among the 190 economies that were assessed on various parameters. However, the last year's ranking has been now revised to 131 from which the country has improved its place by one spot.
The government has been making efforts to further improve the ease of doing business and aims to bring the country in the top 50.
Expressing disappointment over no change in India's ranking in the World Bank's index on ease of doing business, Indian government regretted that the report did not take into consideration 12 key reforms undertaken by the government.
Shaktikanta Das, the Secretary of Economic Affairs, told CNBC said that while the World Bank is a reputed organisation, there’s a difference of opinions of the ranking methodology.
We deserve a higher ranking but World Bank is a repotted institution we respect their decision. We also have some concerns about certain methods of arriving at conclusion. For example, when we carry out reform, they wait for the reform to be fully grounded and take deep roots. This is a difference of opinion. We believe that when a reform is carried out some weightage needs to be given and the weightage can be increased as we fully implement the reforms.Shaktikanta Das, Secretary of Economic Affairs
When it comes to 'distance to frontier' – a measurement of the gap between an economy's performance and the best practice score of 100 – India's score has improved to 55.27 this year from 53.93 last year.
India is the only country for which the report has a box dedicated to its ongoing economic reforms.
The list of countries in the Doing Business 2017 is topped by New Zealand while Singapore is ranked second. It is followed by Denmark, Hong Kong, South Korea, Norway, the UK, the US, Sweden and former Yugoslav Republic of Macedonia.
Neighbouring Pakistan is ranked 144th on the list.
(With inputs from PTI)
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