Brief

Less Burden, More Transparency, and Higher Quality : Electronic System for Business Safety Inspections in Peru

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collection.link.293
https://openknowledge.worldbank.org/handle/10986/24198
collection.name.293
Finance in Focus
dc.contributor.author
Barron, Manuel
dc.contributor.author
Bedoya, Guadalupe
dc.contributor.author
Garcia Montufar, Diego
dc.contributor.author
Goicoechea, Ana
dc.date.accessioned
2020-07-28T18:41:02Z
dc.date.available
2020-07-28T18:41:02Z
dc.date.issued
2020-07-21
dc.date.lastModified
2021-05-25T10:54:38Z
dc.description.abstract
Business safety inspections are commonly cited as one of the most important bureaucratic barriers to doing business around the developing world (World Bank 2019, 2020). In Peru, the business safety inspection system is characterized by low compliance with established norms, misaligned incentives and high transaction costs. These inefficiencies affect micro, small, and medium enterprises (MSMEs) disproportionally, as they do not have the resources or know-how to navigate the inspection procedures. MSMEs constitute 99.5 percent of firms, employ up to 89 percent of the population, and contribute up to 31 percent of gross domestic product (GDP) in the country (Ministry of Production 2017). Thus, the inefficiencies in the inspection system hamper the business environment, adversely affecting shared prosperity and economic growth. The World Bank Group is conducting a rigorous impact evaluation study in collaboration with the Ministry of Housing of Peru.1 Specifically, it will assess how the deployment of an electronic system for inspections, in combination with the improved monitoring of inspector performance and optimized firm auditing, can be used to address key constraints in the inspection system. This work will shed light on whether these mechanisms can reduce the compliance burden on firms by improving regulatory efficiency while also ensuring safety. In addition, it will provide evidence about how such systems could operate when implemented at scale. This note provides an overview of the policy problem that Peru faces, and describes the solutions to be tested. It then focuses on lessons from developing and implementing the electronic system to solve the policy problem, with an emphasis on those lessons related to the constraints and inputs to improving regulatory efficiency and accountability.
en
dc.identifier
http://documents.worldbank.org/curated/en/718401595482835441/Less-Burden-More-Transparency-and-Higher-Quality-Electronic-System-for-Business-Safety-Inspections-in-Peru
dc.identifier.uri
http://hdl.handle.net/10986/34227
dc.language
English
dc.publisher
World Bank, Washington, DC
dc.relation.ispartofseries
Finance, Competitiveness and Innovation in Focus;
dc.rights
CC BY 3.0 IGO
dc.rights.holder
World Bank
dc.rights.uri
http://creativecommons.org/licenses/by/3.0/igo
dc.subject
INFORMATION AND COMMUNICATION TECHNOLOGY
dc.subject
ACCOUNTABILITY
dc.subject
INSPECTION
dc.subject
COMPLIANCE
dc.subject
SAFETY INSPECTION
dc.title
Less Burden, More Transparency, and Higher Quality
en
dc.title.subtitle
Electronic System for Business Safety Inspections in Peru
en
dc.type
Brief
en
okr.date.disclosure
2020-07-23
okr.doctype
Publications & Research
okr.doctype
Publications & Research :: Brief
okr.docurl
http://documents.worldbank.org/curated/en/718401595482835441/Less-Burden-More-Transparency-and-Higher-Quality-Electronic-System-for-Business-Safety-Inspections-in-Peru
okr.googlescholar.linkpresent
yes
okr.identifier.doi
10.1596/34227
okr.identifier.externaldocumentum
090224b087be87a6_1_0
okr.identifier.internaldocumentum
32266873
okr.identifier.report
151049
okr.imported
true
en
okr.language.supported
en
okr.pdfurl
http://documents.worldbank.org/curated/en/718401595482835441/pdf/Less-Burden-More-Transparency-and-Higher-Quality-Electronic-System-for-Business-Safety-Inspections-in-Peru.pdf
en
okr.region.administrative
Latin America & Caribbean
okr.region.country
Peru
okr.topic
Information and Communication Technologies :: ICT Applications
okr.topic
Information and Communication Technologies :: Information Technology
okr.topic
Private Sector Development :: Private Sector Economics
okr.unit
Finance, Competitiveness and Innovation Global Practice

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