A series of reforms will help India surpass China in World Bank's 'ease of doing business' ranking in the next two years, a research report by SBI said today.
India has jumped 30 places to rank 100th in the World Bank's latest report on ease of doing business released yesterday.
Among the BRICS countries, India is ranked 4th in ease of doing business index. Compared to China, which continues to be at 78 place for the second year, India's rank is better in four sub-indicators.
In fact, India's rank is much ahead in 'getting credit' and 'protecting minority investors' among the BRICS countries, SBI said its report 'Ecowrap'.
On the other hand, India lags significantly in 4-sub indicators, namely 'dealing with construction permits', 'registering property', 'enforcement of contracts' and 'resolving insolvency'.
As the Insolvency and Bankruptcy Code (IBC) is new, "we believe" going forward it will handle the default cases in a much better way and the results will show in the coming years of doing business indices, the report said.
The other sub-indicators will improve, as government is taking steps like single window system in Delhi and Mumbai for construction permits, setting up of commercial courts and benches for fast track contract enforcement, it said.
"Going forward, in the next two years India's rank may surpass China and South Africa in ease of doing business ranking of World Bank," the Ecowrap said.
In ease of doing business index, China ranks at 78, while Russia, Brazil and South Africa, are placed at 35, 125 and 82, respectively.
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