Ease of doing business Current Affairs - 2020

India’s ranks 100th in World Bank’s Doing Business Report 2018

In World Bank’s recently released Doing Business (DB) Report 2018 titled as ‘Doing Business 2018: Reforming to Create Jobs’, India leapfrogged to 100th among 190 countries.

India has jumped over 30 ranks to attain 100th spot from 130th position in 2017 Ease of Doing Business Index. Its score also increased from 56.05 in 2017 to 60.76 in Doing Business 2018

Ease of Doing Business Index

The Ease of Doing Business Index assesses 190 economies and covers 10 indicators which span the lifecycle of a business. These 10 indicators are: Starting a business, Dealing with construction permits, Getting electricity, Registering property, Getting credit, Protecting minority investors, Paying taxes, Trading across borders, Enforcing contracts and Resolving insolvency. Each one of these indicators carry equal weightage.

India’s Performance

It saw the improvement in 6 out of 10 indicators. They are Resolving Insolvency, Paying Taxes, Getting Credit, Enforcing Contracts, Protecting Minority Investors and Construction Permits. India ranked 103rd in Resolving Insolvency indicator, 119th in Paying Taxes, 29th in Getting Credit, 164th in Enforcing Contracts, 4th in Protecting Minority Investors and 181st in Construction Permits.

Key Highlights of Report

India figures among top 10 countries Brunei Darussalam, Thailand, Malawi, Kosovo, Uzbekistan, Zambia, Nigeria, Djibouti and El Salvador that have marked an improvement this year. These 10 top improvers implemented 53 regulatory reforms making it easier for them to do business.

Europe and Central Asia regions continue to have highest share of economies implementing at least one reform as 76% of economies in the region implemented at least one business regulatory reform.

India is only country in South Asia and BRICS economies to feature among most improved economies of the DB Report this year. In South Asia region, India was top improver, but was ranked below Bhutan (75). Nepal (105), Sri Lanka (111), Maldives (136), Pakistan (147), Bangladesh (177) and Afghanistan (183) were ranked below India.

Odisha Government creating land bank for industrial allocation

The Odisha Government is creating 1.2 lakh acre land bank across state for allocation to industrial sector in order to avoid repeat of Posco fiasco.

The purpose of the land bank is to cut red tape and avoid local issues in the land acquisition process. Under it, state government is acquiring government land for industrial use.

Key Facts

The land bank is based on plug-and-play kind of model wherein facilities related to water, power, roads and all clearances are in place. The companies need to only make payment of base premium upfront for land and annual rent for rest of the 90 years lease period.

State government has created huge land bank and has identified areas across state to bring under one umbrella for industrial sector. Its land bank already has reached 57,655 acres. With creation of land bank, state industry department is looking for investment in various sectors including steel, aluminium, agro and food processing units, apparel, IT and plastic units to further create employment potential in the state.