Singapore Retains World Bank Ranking, Coming in Second Place Behind New Zealand
Singapore in 2nd place and still going strong in its World Bank ranking as the second easiest place in the world to conduct business.
The city-state held strong to its ranking even with the tougher conditions fraught with tensions in trade. India and China were among the 10 countries on the list that had made vast improvements this year. China’s improvements come despite the bitter ongoing trade war with the United States.
Overview of the World Bank Ranking
China overtook France to take on the 31st spot in terms of “ease of doing business”. This new ranking means it moved up 15 spots from its previous position. Singapore in 2nd place means the country held on to its position while Hong Kong moved up a notch to 3rd place. South Korea remains the 5th easiest place in the world to conduct business. The World Bank placed the United States at the 6th position for ease of doing business. Georgia, Great Britain, Norway and Sweden rounded up the top 10 list respectively.
China and India Made Vast Improvements
Improvements in protection for minority investors and a stronger contract enforcing procedure were the reason why China made headway. By removing certain barriers that entrepreneurs faced, China paved the way for better tax revenue generation. India was on the list for “most improved” for the third time in a row, thanks to the ease of starting a business. Moreover, Indian abolished the need for filing fees and reduced the wait time for construction permits. This makes trade significantly easier.
Areas of Business Activity Assessed
Singapore in 2nd place held onto its position against the 10 areas of business activity surveyed by the World Bank. Areas for ease of doing business were assessed based on the following:
- Ease of obtaining construction permits
- Access to electricity
- Access to credit
- Tax payments
- Cross-border trade
- Contract enforcement
Singapore and other top performers were successful because of the sound business regulations in place. Their success is also attributed to the high level of transparency when conducting business. The World Bank’s report still found significant disparities between high-income and low-income economies. The disparities were apparent when it came to starting a new business venture.