The Department of Industrial Policy & Promotion (DIPP) has sought help from the World Bank to achieve its ambitious task of climbing into the top 30 of the World Bank's ease of doing business rankings in three years.
An eight-member World Bank team met with central and state government officials to identify what India needs to do more and with timelines after interaction with the stakeholders and took stock of progress on reforms related to construction permits in Mumbai and New Delhi, getting an electricity connection and doing business. The government looked at global best practices in key areas that could be adopted in India, signaling that enforcing contracts is a key area of concern for India.
India was ranked 142nd out of 189 countries - below Sri Lanka and Pakistan- in the World Bank's ease of doing business rankings benchmarked to June 2014. The list is based on 10 parameters such as starting a business, dealing with construction permits, getting electricity, paying taxes, enforcing contracts and resolving insolvency. With the exception of two parameters (getting credit and protecting minority investors), India does not feature in the top 100 in the remaining parameters.
The Commerce and Industry Ministry had earlier initiated an extensive survey on 'ease of doing business' in states with an objective to improving the business climate of the country, with the DIPP circulating a set of 285 questions to all the states in this regard. The DIPP had also circulated a document with recommendations for states on aspects critical to enabling ease of doing business.