Government needs to rationalise its taxation regime and ensure efficient as well as effective enforcement of laws to help improve India's Ease of Doing Business ranking, industry body CII said today.
The suggestions form part of an Action Plan submitted by CII to the government in this regard.
According to the recently released World Bank's Doing Business 2015 report, India is ranked very low at 142 out of 189 countries in the overall ease of doing business.
Other key recommendations include facilitating land acquisition process, streamlining investment approval and provision of utilities, creating an appropriate labour development ecosystem, creating appropriate skill development ecosystem and facilitate greater cross-border transactions.
CII also said it accepts the report only as indicative and is not overly perturbed about the fall in ranking, because the data used is up to May 30, 2014 whereas the wave of new policy reforms have cascaded after that.
The new Narendra Modi-led government took office only in the last week of that month.
CII Director General Chandrajit Banerjee said: "With government's reformative drive and resolve, scalable improvement in ease of doing business through the proposed Action Plan will enhance investment attractiveness of the Indian economy and help attain higher GDP growth and spur job creation in a sustainable manner."
CII said it has shared three reports with the government dealing with the existing best practices in states, an action plan for the central government on ease of doing business in India and recommendations to improve investment attractiveness.
