Indian economy may be shining and growing fast but India has still a long way to go to match the developed world. At least, World Bank and International Finance Corporation (IFC) feel this way. In the recently published “Doing Business 2007: How to Reform” report, India has been ranked 134 among 175 countries. You can easily imagine that Indian government is very unhappy with the report and has dismissed it. However, the only consolation for Indian economy is that last year its position was 138 and thus there was some improvement.
You can find some more information about doing business in India from this link. I am quoting from a report of Mumbai Mirror:
“An entreprenuer is expected to go through 11 steps over 35 days to launch a business in India, according to a finding of “Doing Business, 2007” by IFC, the private sector arm of the World Bank.
India is ranked 88th when it comes to starting a business, 155th in terms of dealing with license, 112th on employing workers, 10th on registering property, 65th in getting credit, 33rd in protecting investors, 158th in paying taxes, 139th in trading across borders, 173rd in enforcing contracts and 133rd in closing a business.”
Indian government needs to carry out more economic reforms and make doing business easier. Getting a trade license, opening a business, hiring and firing of workers- these issues need to be addressed more by the Indian government. It is a reality that companies will rush where they have the market and it is easier for them to operate their business. India is a very attractive market for any company and secondly India can also offer cheap labor. So, there is no reason that India should stay behind.
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