India’s rank on ‘ease of doing business’ has worsened to 142nd position globally. It ranked 134th position on the rankings last year. PM Modi was concerned about it and had said earlier that India’s rank could be improved to the 50th position by easing making government regulations.
On ‘getting credit’, India ranks 36th while it is placed 7th in terms of ‘protecting minority investors’. In last year’s ranking, India was at 28th place in ‘getting credit’ category and 34th on ‘protecting investors’, says the report titled Doing Business 2015 which covers 189 countries. The World Bank report on overall rank takes into account factors like ’starting a business’ (158th rank), ‘dealing with construction permits’ (184), ‘getting electricity’ (137), registering property’ (121), ‘enforcing contracts’ (186), ‘trading across borders’ (126), ‘paying taxes’ (156) and ‘resolving insolvency’ (137).
Even though India made starting a business easier by considerably reducing the registration fees, the report says that it made it “more difficult by requiring a declaration before the start of business operations”.