During an ease of doing business India meeting on Monday, PM Narendra Modi has set a target to bring India in the top 50 in the ranking of the Ease of doing business by the World Bank. PM Modi said that efforts are being made to double the size of the country’s economy to about $ 5,000 billion.
Efforts are Being Taken to increase the Country’s Economy
PM Modi said that the reforms will continue to make the work easier for the companies in the country and the processes will be further simplified. With this, he said that efforts are being made to increase the size of the country’s economy to $ 5,000 billion.
PM Modi said that it is the result of the continuous reforms that India’s position is getting accepted globally and international institutions, such as the International Monetary Fund (IMF), the World Economic Forum and the UNCTAD are also recognizing it.
India’s Jump in the Ease of Doing Business India Ranking
In 2014, when Narendra Modi became the Prime Minister of India, India was ranked 142 in the list of ease of doing business India list. Modi said that after the four years of reforms, India has taken a long jump. In the latest report by the World Bank, India has reached the 77th position in the list of 190 countries in terms of ease of doing business 2018. Last year, India was at the 100th position and 130th position in the previous year. Significantly, ease of doing business India rank in 2014 was 142 and ease of doing business 2018 India rank is 77. India has jumped 65 places in this ranking.
What is Ease of Doing Business?
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An index published by the World Bank, ease of doing business is an aggregate figure that defines ease of doing business in a country. The Ease of doing business India score is computed by aggregating the distance frontier. Frontier represents the highest performance of the indicator of all the economies which are included in the indicator.
All the scores of distance to frontier are aggregated which becomes the ease of doing business index. The indicators include getting tax construction permits, registration, tax payments mechanism, etc. All the countries are ranked as per the ease of doing business index.
How is Ease of Doing Business Ranking Decided?
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This report by the World Bank is prepared on the basis of ten standards. Topics such as starting a business, obtaining construction permission, obtaining electricity connections, getting business loans, paying taxes, foreign trade, implementation of the contract, and bankruptcy solutions are discussed.
New Zealand has been ranked first in the list by the World Bank followed by Singapore at 2, Denmark at 3, and Hong King at 4. America is at 8th rank and China is at 46th rank. Pakistan is at 136th rank.