Ease of Doing Business: India

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[[Category:Name|Alphabet]]
 
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=Ease of business: Enforcing contracts=
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=Ease of business=
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==Enforcing contracts==
 
[http://epaperbeta.timesofindia.com//Article.aspx?eid=31808&articlexml=Tedious-legal-process-top-hurdle-to-ease-of-25052015017025 ''The Times of India'']
 
[http://epaperbeta.timesofindia.com//Article.aspx?eid=31808&articlexml=Tedious-legal-process-top-hurdle-to-ease-of-25052015017025 ''The Times of India'']
 
[[File: enforcing contracts india.jpg|Some facts; Graphic courtesy: [http://epaperbeta.timesofindia.com//Article.aspx?eid=31808&articlexml=Tedious-legal-process-top-hurdle-to-ease-of-25052015017025 ''The Times of India'']|frame|500px]]  
 
[[File: enforcing contracts india.jpg|Some facts; Graphic courtesy: [http://epaperbeta.timesofindia.com//Article.aspx?eid=31808&articlexml=Tedious-legal-process-top-hurdle-to-ease-of-25052015017025 ''The Times of India'']|frame|500px]]  
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Sources in the government acknowledge that there has been little progress on several of the proposals that have been discussed over the past year to improve India's ranking on enforcing contracts. And, it is unlikely that the IFC team misses that, making it tougher for India to make significant gains in the Ease of Doing Business Rankings, sources acknowledged.
 
Sources in the government acknowledge that there has been little progress on several of the proposals that have been discussed over the past year to improve India's ranking on enforcing contracts. And, it is unlikely that the IFC team misses that, making it tougher for India to make significant gains in the Ease of Doing Business Rankings, sources acknowledged.
=2013=
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=2013: 1Delhi easiest place to start a business in India: World Bank study==  
==Delhi easiest place to start a business in India: World Bank study==  
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PTI | Oct 30, 2013 [http://timesofindia.indiatimes.com/business/india-business/Delhi-easiest-place-to-start-a-business-in-India-World-Bank-study/articleshow/24931289.cms]
 
PTI | Oct 30, 2013 [http://timesofindia.indiatimes.com/business/india-business/Delhi-easiest-place-to-start-a-business-in-India-World-Bank-study/articleshow/24931289.cms]
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Overall, India's business environment has come for criticism on various issues in the past including in Vodafone tax dispute.
 
Overall, India's business environment has come for criticism on various issues in the past including in Vodafone tax dispute.
  
=2014:India Ranks 142=
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==2014:India Ranks 142 in the world==
 
[http://epaperbeta.timesofindia.com//Article.aspx?eid=31808&articlexml=Case-pendency-brings-India-down-on-WB-index-17012015015023 ''The Times of India'']
 
[http://epaperbeta.timesofindia.com//Article.aspx?eid=31808&articlexml=Case-pendency-brings-India-down-on-WB-index-17012015015023 ''The Times of India'']
  
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Just a few weeks ago, the Modi government had written to chief justices of all 24 high courts to ensure speedier settlement of commercial and other disputes for creating a conducive investment climate and success of `Make in India' campaign.
 
Just a few weeks ago, the Modi government had written to chief justices of all 24 high courts to ensure speedier settlement of commercial and other disputes for creating a conducive investment climate and success of `Make in India' campaign.
  
=2015=
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==2015: India jumps 12 places==  
==2015: Ease of Doing Business index==
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[http://epaperbeta.timesofindia.com/Article.aspx?eid=31808&articlexml=India-jumps-12-places-in-ease-of-biz-29102015025020 ''The Times of India''], Oct 29 2015
 
[http://epaperbeta.timesofindia.com/Article.aspx?eid=31808&articlexml=India-jumps-12-places-in-ease-of-biz-29102015025020 ''The Times of India''], Oct 29 2015
 
[[File: Ease of Doing Business in India and the world, 2015, 2016 ranks.jpg| Ease of Doing Business in India and the world, 2015, 2016 ranks; Graphic courtesy: [http://epaperbeta.timesofindia.com/Article.aspx?eid=31808&articlexml=India-jumps-12-places-in-ease-of-biz-29102015025020 ''The Times of India''], Oct 29 2015|frame|500px]]
 
[[File: Ease of Doing Business in India and the world, 2015, 2016 ranks.jpg| Ease of Doing Business in India and the world, 2015, 2016 ranks; Graphic courtesy: [http://epaperbeta.timesofindia.com/Article.aspx?eid=31808&articlexml=India-jumps-12-places-in-ease-of-biz-29102015025020 ''The Times of India''], Oct 29 2015|frame|500px]]

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Contents

Ease of business

Enforcing contracts

The Times of India

Some facts; Graphic courtesy: The Times of India

May 25 2015

Tedious legal process top hurdle to ease of doing biz

Sidhartha

The Narendra Modi administration's focus on ease of doing business is expected to help India report significant gains when the new rankings are released but enforcing contracts is one area where the government seems to have run up against legal hurdles, resulting in fewerthan-expected moves to simplify the cumbersome process. When it comes to enforcing contracts, India ranked a lowly 186th among 189 countries, with only Angola, Bangladesh and Timor-Leste placed lower.While officials say that the attitudes have a major role to play , experts reckon that the Indian legal process is long and cumbersome. World Bank arm International Finance Corp's Doing Business report measures the efficiency of the judicial system in resolving commercial disputes based on the time taken, the procedures involved and the cost incurred. On an average, it costs almost 40% of the claim, involves some 46 procedures and takes almost four years, 1,420 days to be precise, in Mumbai or Delhi. What's more, the Doing Business report has not recorded a single reform move in India for the last eight years.

As a result, when the government prepared a detailed blueprint for all parameters, eight steps were planned, beginning with commercial courts in Delhi and Mumbai ­ two centres which are studied by IFC team. But apart from the commercial courts and the recent Supreme Court order paving the way for the establishment of the National Company Law Tribunal, things have moved rather slowly . The moves to be initiated include enabling district courts to completely switch over to e-management of commercial cases, which includes e-filing of complaints, e-service of summons and availability of digitally signed judgments on the web. The plan also included sensitizing district courts about exploring mediation, arbitration and conciliation under section 89 of the Code of Civil Procedure.

Similarly , there should be a limited number of adjournments so that cases are decided in a shorter span of time.

Sources in the government acknowledge that there has been little progress on several of the proposals that have been discussed over the past year to improve India's ranking on enforcing contracts. And, it is unlikely that the IFC team misses that, making it tougher for India to make significant gains in the Ease of Doing Business Rankings, sources acknowledged.

2013: 1Delhi easiest place to start a business in India: World Bank study=

PTI | Oct 30, 2013 [1]

In the 'Ease of Doing Business' ranking of 189 economies, India has dropped from 131 spot to 134 position, while Singapore continues to remain at the top.

WASHINGTON: It is easiest to start a business in New Delhi within India, while Hyderabad is the fastest for closing an enterprise, says a World Bank study.

On the other hand, Kolkata is the toughest place for closing a business among 17 cities, while Bengaluru requires the maximum efforts to start a company, it says.

The city-wise details are part of separate 216-page report by World Bank and International Finance Corporation (IFC) on doing business in India, which was on Tuesday ranked 134th globally in terms of ease of doing business.

According to the report, it requires 32 days for starting a business in New Delhi, while it takes 40 days to register a company in Bengaluru. Besides, a total of 11 procedures (any interaction of the company founders with external parties such as government agencies, lawyers and auditors) is required to register a firm in New Delhi, while 13 procedures need to be followed in case of Bengaluru, the study said.

In terms of ease of doing business within India, New Delhi is followed by Patna, Jaipur, Hyderabad and Bhubaneshwar. When it comes to closing a business, Hyderabad is best place as it takes an average of seven years to wind up an enterprise, while Kolkata is the toughest place for closing a firm by taking an average of 10.8 years.

Among other top five cities, where closing a business is easy are Ludhiana, Mumbai, Ahmedabad and Bhubaneshwar.

In the 'Ease of Doing Business' ranking of 189 economies, India has dropped from 131 spot to 134 position, while Singapore continues to remain at the top.

The rankings are based on various parameters including starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency.

Overall, India's business environment has come for criticism on various issues in the past including in Vodafone tax dispute.

2014:India Ranks 142 in the world

The Times of India

Jan 17 2015

Pradeep Thakur

Ranks 142 on bank's ease of doing business list

Large pendency of cases in Indian courts and non-implementation of judicial reforms have been cited by the World Bank as one of the key reasons for India's low rank on the Bank's Index of `Ease of Doing Business'.India was ranked 142 among 189 countries last year. In a memorandum to the department of industrial policy and promotion (DIPP) under the commerce ministry, the World Bank suggested linking judges' appraisal with reduction of pendency in courts.Sources said the matter was discussed at a meeting organized by the DIPP recently to refine the performance evaluation system of judges to link their performance to the resolution of specific bottlenecks as suggested by the World Bank.

The DIPP is also coordinating implementation of the `Make in India' campaign of the Modi government.

Interestingly, the World Bank suggested that there was an urgent need for reforms in the system of performance appraisal of judicial officers in the country to bring about uniformity and infuse objectivity and standardization.

The Bank cited an example from Malaysia where implementation of a reform index for judges improved case disposal rates and reduced backlog by 50% in less than three years. Another exam ple was cited from the United Arab Emirates, where rewards were instituted for the best performers.

According to the memorandum, the liberal grant of adjournments was an often cited reason for delays in court proceedings in India. It recommended monitoring the number of times judges granted adjournments and the reasons for granting them. “This can be done through case management systems and linked to performance management evaluations,“ it said.

It asked the government to ensure that adjournments were not indefinite by setting a time limit.

Just a few weeks ago, the Modi government had written to chief justices of all 24 high courts to ensure speedier settlement of commercial and other disputes for creating a conducive investment climate and success of `Make in India' campaign.

2015: India jumps 12 places

The Times of India, Oct 29 2015

Ease of Doing Business in India and the world, 2015, 2016 ranks; Graphic courtesy: The Times of India, Oct 29 2015

India jumps 12 places in ease of biz

Turns around many years of decline in World Bank's ranking on reforms

India has jumped 12 places in the World Bank's Ease of Doing Business index on the back of reforms undertaken by the government to improve the investment climate. The country ranks 130 out of 189 economies in the world in this year's (2016) report (ranked 142 in Doing Business 2015), marking a significant shift in the trend after several years of decline in ranking. Under the new methodology , its rank has moved to 130 from 134 in the previous year. The Doing Business 2016: Measuring Regulatory Quality and Efficiency , released on Tuesday , captures reforms implemented in 189 countries between June 2, 2014 and June 1, 2015. In the global ranking stakes, Singapore retains its top spot. Joining it on the list of the top 10 economies with the most business-friendly regulatory environments are New Zealand, in second place; Denmark (3rd), Republic of Korea, Hong Kong SAR, China, UK, US, Sweden, Norway , and Finland. The report comes as a shot in the arm for the government battling to revive growth, attract investment and remove the regulatory and bureaucratic hurdles to business. The report highlights two reforms that India has imple mented during the past year. It was able to amend the Companies Act in just under six months and made starting a business easier by eliminating the minimum capital requirement and the need to obtain a certificate to commence business operations, saving entrepreneurs an unnecessary procedure and five days' wait time, the World Bank said. In both Delhi and Mumbai, the process for getting an elec tricity connection was made simpler and faster. “This year's improvement in ranking marks a significant shift in trend after several years of decline. With sustained reforms, India can make signi ficant improvements in its rankings in the next few years,“ said Onno Ruhl, World Bank country director in India. The report also highlights a number of reforms already underway in India, which were not fully felt by the majority of businesses by June 1, 2015 but will help India further improve its rank in the coming years. In particular, it notes India's efforts to streamline the process of obtaining a construction permit in Mumbai, and new systems for e-filing and e-payment of taxes. Ongoing efforts to introduce and enact the bankruptcy Code, movement on operationalizing commercial benches and courts in Delhi and Mumbai, efforts to introduce automation in judicial processes in courts, further digitization of land records, and integration of registration and mutation processes, and introduction and launch of National Single Window for trade may also help India improve its rank in future.

Financial transparency ratings

2015

The Times of India, Nov 04 2015

Dipak Dash


India betters financial transparency ratings

Jumps 13 spots in 2 years, now at 45th

India has made significant progress in the past two years in financial transparency . According to the global financial secrecy index (FSI) report released by Tax Justice Network (TJN), India ranked 45 in the list of 92 countries in 2015 in comparison to 32 in 2013, which is seen as a big jump. The ranking takes into account the processes put in place to bring transparency and reduce secrecy around financial dealings.

'Innovative' Index

2016

The Times of India, Aug 17, 2016

India has been ranked 66th in a list of most innovative economies, jumping 15 places from last year, according to a new UN report which calls for more transparent policies if the country aspires to become a global driver of innovation.

In the report by the UN World Intellectual Property Organisation (WIPO), India moved up 15 spots from 81st last year to 66th this year in the overall global rankings.

The Global Innovation Index 2016, released by the WIPO, Cornell University, and the multi-nation business graduate school INSEAD, said India ranks among the top 50 economies overall in two pillars: Market sophistication, 33, and Knowledge and technology out-puts, 43.

The country maintains stable or improved rankings across all pillars, with the most significant improvements in Human capital and research, up 40 spots and Busines sophistication, up 59 spots. Within Human capital and research, India data coverage increased, specifically in graduates in sciences and engineering, ranked eighth overall in 2016 while this was a missing value last year, affecting the jump in its ranking. India's ranking in the Business sophistication pillar is affected most by a substantial improvement in Knowledge workers, up 46 spots and Knowledge absorption, up 33 spots.

India also improves in the ranking of firms offering formal training by 56 spots to reach 42nd place. "Furthermore, India improves across all indicators within the Knowledge absorption sub-pillar and it turns in a solid performance in the GII (Global Innovation Index) model's newly incorporated research talent in business enterprise, where it ranks 31st," the report said.

However, India shows weakness in two sub-pillars of business environment, 117th, and education, 118th and within this has potential to improve in the the ease of starting a business and pupil-teacher ratio. "India has all the ingredients needed to become a global driver of innovation: A strong market potential, an excellent talent pool and an underlying culture of frugal innovation. Innovative countries have demonstrated the leverage of their cultural advantage to capture markets," the report said.

Similarly, India can build on its cultural bias of frugality and sustainability to capture markets not only within its shores but globally. "For this to happen India's industries need to have the hunger to be at the top of the value chain, its customers have to be more demanding, its policies have to be more transparent, and its talent pool has to get more hands-on experience while simultaneously growing to leverage the global talent pool," the report said. Stay updated on the go with Times of India News App. Click here to download it for your device.

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