As countries reform their business regulation, more businesses are starting up.
About the Top Reformers in 2006/2007, large emerging markets reforming fast; Egypt the top reforming country worldwide, while Singapore is #1 on the ease of doing business. Eastern Europe overtakes East Asia on ease of doing business. Highlights From Doing Business 2008 can be found in fifth annual report series issued by the World Bank and IFC.
Egypt tops the list of reformers that are making it easier to do business. It's reported that Egypt improved its position in the global rankings on the ease of doing business with reforms in five of the 10 areas studied. Singapore tops the aggregate rankings on the ease of doing business.
Besides Egypt, the other 10 reformers, in order, are listed as:
Croatia, Ghana, FYR Macedonia, Georgia, Colombia, Saudi Arabia, Kenya, China and Bulgaria.
Reformers made it simpler to start a business: increased access to credit, enhanced investor protections, strengthened property rights, eased tax burdens and expedited trade while reducing costs.
Doing business 2008 ranks 178 economies on the ease of doing business. The top 25, in order, are listed as: Singapore, New Zealand, the United States, Hong Kong (China), Denmark, the United Kingdom, Canada, Ireland, Australia, Iceland, Norway, Japan, Finland, Sweden, Thailand, Switzerland, Estonia, Georgia, Belgium, Germany, the Netherlands, Latvia, Saudi Arabia, Malaysia and Austria.
Italy ranks 53th, Turkey 57th, Greece 100th on the ease of doing business. As for the easiest place to do business, search the full listing here.
The rankings are based on 10 indicators of business regulation that track the time and cost to meet government requirements in business start-up, operation, trade, taxation and closure. The rankings do not reflect such areas as macroeconomic policy, quality of infrastructure, currency volatility, investor perceptions or crime rates.
The report finds that equity returns are highest in countries that are reforming the most. Investors are looking for upside potential, and they find it in economies that are reforming.
Large emerging markets are reforming fast: China, Egypt, India, Indonesia, Turkey and Vietnam all improved on the ease of doing business.
Eastern Europe has witnessed a boom in new business entry that rivals the rapid growth in East Asia in the past.
Higher rankings on the ease of doing business are associated with higher percentages women among entrepreneurs and employees. In the Democratic Republic of Congo, where women need their husbands' consent to start a business, they run only 18 percent of small businesses. In neighbouring Rwanda, which has no such regulations, women run more than 41 percent of small businesses.
*Source: Table taken from Doing Business-The World Bank Group.