EASE OF DOING BUSINESS: PROGRESS SO FAR & WAY FORWARD

Frictionless Frontiers: Digitizing Customs & Trade

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In the last decade, India has undertaken significant reforms to improve its business environment. Through policy initiatives, digitalization, regulatory simplification, and institutional reforms, the country has moved steadily toward creating a more conducive ecosystem for investors and entrepreneurs. These efforts were reflected in the global World Bank Doing Business rankings, where India improved dramatically from a low position in the early 2010s to becoming one of the fastest-improving economies.

Ease of Doing Business refers to the regulatory and policy environment that determines how easily entrepreneurs can start, operate, and expand businesses within a country.

It encompasses factors such as business registration, access to credit, taxation, contract enforcement, infrastructure, and regulatory compliance. A business-friendly environment encourages entrepreneurship, attracts foreign investment, generates employment, and accelerates economic growth.

India's progress in ease of doing business has been remarkable over the past decade. In 2014, India ranked 142nd among 190 economies in the World Bank's Doing Business rankings. Through a series of policy reforms and institutional changes, the country steadily climbed the rankings. It reached 100th position in 2018, 77th in 2019, and 63rd in 2020, becoming one of the top reformers globally.

The World Bank acknowledged India as one of the top ten global improvers for three consecutive years, highlighting the scale and speed of regulatory changes implemented by the government.

This improvement reflected progress across several indicators such as starting a business, obtaining electricity, paying taxes, resolving insolvency, and trading across borders. For instance, the time required to obtain electricity connections reduced significantly, resulting in a dramatic improvement in India's ranking in that category.