Nov 1, India rose 23 places to 77th in the World Bank's Ease of Doing Business Index for — up from th in and th inwhen it was ranked lower than Iran and Uganda. The two-year jump is the second largest for any country on the index, to the delight of Prime Minister Narendra Modi's government as it prepares for an election due to be held by next May.
India had slipped several notches in the ranking after the previous Manmohan Singh government imposed retrospective taxes on companies, a move that was criticized by foreign investors.
New Delhi [India]: World Bank CEO Kristalina Georgieva on Saturday lauded India’s progress in the ‘Ease of Doing Business’ report, as she highlighted that the jump made has been extraordinary. The World Bank’s ‘Doing Business — Reforming to Create Jobs’ report ranks countries based on a combined score on 10 parameters. 3 According to the report, India features among the top 10 countries that have shown a marked improvement this year in six out of 10 ‘Doing Business’ indicators. 4 This comes as a positive news. The Third Annual Doing Business in India Report: The UK Perspective The unprecedented place jump made by India in the World Bank’s Ease of Doing Business (EODB) rankings, from to.
Ease of doing business was mentioned five times in his speech that lasted nearly one-and-a-half hours. Jaitley said investors spent a large amount of time and resources in getting multiple permissions.
The government, he said, has recently launched an e-biz portal which integrates 14 regulatory permissions at one place to facilitate businesses. Jaitley said that the online central excise and service tax registration will be done in two working days.
The tax assessees will be allowed to issue digitally signed invoices and maintain electronic records. These measures will cut down on paper work and red tape, he added. He has also done away with the distinction between different types of foreign investments, especially foreign portfolio investment and foreign direct investment.
The budget also proposed to merge the Forward Market Commission, which regulates commodity markets, with the Securities and Exchange Board of India, the capital markets regulator. There are also proposals for speedy resolution of disputes with the introduction of a public contracts resolution of disputes bill to streamline the institutional arrangements.
It also proposes to bring in a bankruptcy code to facilitate easier exits by investors. For quick resolution of commercial disputes, the budget has proposed to set up exclusive commercial divisions in various courts in India.
The budget also proposes to defer general anti-avoidance rules GAAR provisions—intended to deter tax avoidance—by two years and increase the domestic transfer pricing threshold to Rs.
Companies welcomed the proposals.
Kiran Mazumdar-Shaw, chairperson of Biocon Ltd, said the success of these measures will depend on how well they are implemented. Overall, the budget is a clear roadmap for investment and growth.
But companies were not enthused.
Companies earning more than Rs. In a report, Deutsche Bank AG said on the revenue side, the phased cut in corporate income tax while eliminating exemptions starting from will have no revenue impact in Pawan Goenka, executive director at Mahindra and Mahindra Ltd, puts it more bluntly.
Bankruptcy law Jaitley has also proposed to introduce a new bankruptcy law. Diwanji said with lenders having the ability to appoint a liquidator who would act in the best interest of creditors, realizations would increase and there would be a real threat to defaulting borrowers.
However, the stringency and effectiveness of the law remains to be tested. Kaushal Sampat, president and managing director, India, Dun and Bradstreet, said the proposal to unveil a bankruptcy code would go a long way in improving the ease of doing business.
Ajay Singh, founder, SpiceJet Ltd, said the budget appears to lay a roadmap for lower taxes, simplification of process and ease of doing business and investment in infrastructure sector. What is there for investors?
Hinduja, global chairman, Hinduja Group, said the thrust towards infrastructure bodes well for the future of the economy. This is the third big attempt by the group to invest in India, after unsuccessful attempts in and Nitesh Mehta, executive director, Walker Chandiok and Co.
Llp, pointed out that the budget has cleared a major roadblock for the success of Real Estate Investment Trust REITs by amending the taxation rules for sponsors.
According to the current tax regime, the swap is not considered a taxable event but sponsors are subject to a higher rate of tax when such REIT units are sold.
Ajit Gulabchand, chairman and managing director, Hindustan Construction Co. Ltd, said the promise to create and deepen the debt bond market in India so that the private sector can raise long-term money is a step in the right direction, and addresses a long felt unfulfilled need.
Sasidhar, managing director, Krishnapatnam Port Co. Amrit Raj in New Delhi contributed to this story. Sun, Mar 01 The Third Annual Doing Business in India Report: The UK Perspective The unprecedented place jump made by India in the World Bank’s Ease of Doing Business (EODB) rankings, from to.
He added that if the issues of the report are resolved in a set time-frame, it would further facilitate ease of doing trade in India. While the DNB report emphasises strengthening port infrastructure, the shipping ministry is undertaking an ambitious Sagarmala project to promote port-led development.
India Business News: NEW DELHI: A survey on ease of doing business conducted by NITI Aayog and the IDFC Institute, which was released on Monday, created a flutter as the r.
New Delhi: India’s ranking in the World Bank ease of doing business survey for climbed a record 30 notches to as a range of regulatory and policy reforms put in place by the Union and state governments over . A World Bank report yesterday ranked India at out of country on the ease of doing business, up 12 places from nd rank last r-bridal.com | October 28, , IST BJP leader Arun Jaitley.
In India it has become hard to conduct business any way at all. It sits a lowly nd out of countries in the World Bank’s ease-of-doing-business rankings.