41444 COMPARING REGULATION DBusinreformoingess2007 IN 175 ECONOMIESHowto COMPARING REGULATION DBusinreform oingess2007 IN 175 ECONOMIESHow to A copublication of the World Bank and the International Finance Corporation © 2006 The International Bank for Reconstruction and Development / The World Bank 1818 H Street NW Washington, D.C. 20433 Telephone 202-473-1000 Internet www.worldbank.org E-mail feedback@worldbank.org All rights reserved. 1 2 3 4 5 09 08 07 06 A copublication of the World Bank and the International Finance Corporation. This volume is a product of the staff of the World Bank Group. The findings, interpretations, and conclusions expressed in this volume do not necessarily reflect the views of the Executive Directors of The World Bank or the governments they represent. The World Bank Group does not guarantee the accuracy of the data included in this work. Rights and Permissions The material in this publication is copyrighted. 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ISBN-10: 0-8213-6488-X ISBN-13: 978-0-8213-6488-8 E-ISBN: 0-8213-6489-8 DOI: 10.1596/978-0-8213-6488-8 ISSN: 1729-2638 Library of Congress Cataloging-in-Publication data has been applied for. Contents Doing Business 2007: How to Reform is the fourth in a series Overview 1 of annual reports investigating the regulations that enhance business activity and those that constrain it. Doing Business presents quantitative indicators on business regulations and the Starting a business 8 protection of property rights that can be compared across 175 Dealing with licenses 13 economies--from Afghanistan to Zimbabwe--and over time. Employing workers 18 Regulations affecting 10 areas of everyday business are measured: starting a business, dealing with licenses, employing Registering property 23 workers, registering property, getting credit, protecting Getting credit 28 investors, paying taxes, trading across borders, enforcing contracts and closing a business. The indicators are used to Protecting investors 33 analyze economic outcomes and identify what reforms have Paying taxes 38 worked, where and why. The methodology has limitations. Other areas important Trading across borders 43 to business--such as a country's proximity to large markets, Enforcing contracts 48 quality of infrastructure services (other than services related to trading across borders), the security of property from theft Closing a business 53 and looting, the transparency of government procurement, macroeconomic conditions or the underlying strength of References 58 institutions--are not studied directly by Doing Business. To make the data comparable across countries, the indicators Data notes 61 refer to a specific type of business--generally a limited liability Doing Business indicators 79 company operating in the largest business city. The methodology for 4 of the Doing Business topics Country tables 95 changed in this edition. For paying taxes, the total tax rate now includes all labor contributions paid by the employer and Acknowledgments 155 excludes consumption taxes. For enforcing contracts, the case study was revised to reflect a typical contractual dispute over the quality of goods rather than a simple debt default. For trading across borders, Doing Business now reports the cost associated with exporting and importing cargo in addition to the time and number of documents required. And for employ- ing workers, nonwage labor costs are no longer included in the calculation of the ease of employing workers. For these rea- sons--as well as the addition of 20 new economies--last year's rankings on the ease of doing business are recalculated using the new methodology and reported in the Overview. Overview In Bolivia 400,000 workers have formal jobs in the Many governments are taking action. Two hundred private sector--out of a population of 8.8 million. In and thirteen reforms--in 112 economies--were intro- India 30 million workers have such jobs--in a country duced between January 2005 and April 2006. Reformers of 1.1 billion people. In Malawi, 50,000 out of a popula- simplified business regulations, strengthened property tion of 12 million. In Mozambique, 350,000 in a country rights, eased tax burdens, increased access to credit and of 20 million. reduced the cost of exporting and importing. Reform can change this, by making it easier for Georgia is the top reformer, improving in 6 of the formal businesses to create more jobs. Women and 10 areas studied by Doing Business (table 1.1). It reduced young workers benefit the most. Both groups account the minimum capital required to start a new business for a large share of the unemployed (figure 1.1). Reform from 2,000 lari to 200 ($85). Business registrations rose also expands the reach of regulation by bringing busi- by 20% between 2005 and 2006. Reforms in customs and nesses and workers into the formal sector. There, workers the border police simplified border procedures. It took can have health insurance and pension benefits. Busi- 54 days to meet all the administrative requirements to nesses pay some taxes. Products are subject to quality export in 2004--it now takes 13. Georgia also amended standards. And businesses can more easily obtain bank its procedural code for the courts, introducing special- credit or use courts to resolve disputes. ized commercial sections of the courts and reforming FIGURE 1.1 the appeals process. The time to resolve simple commer- High unemployment among youth, especially females cial disputes fell from 375 days to 285. Unemployment rate (%) Georgia's new labor regulations help workers move FEMALE YOUTH ALL YOUTH to better jobs. The social security contributions paid by Middle East & North Africa businesses decreased from 31% of wages to 20%, mak- Latin America ing it easier for employers to hire new workers. Better & Caribbean collection of corporate taxes, which shot up by 300%, Eastern Europe & Central Asia more than made up for the loss in revenues. And Sub-Saharan Africa unemployment has fallen by 2 percentage points. OECD Romania is the runner-up, also with reforms in 6 of high income the 10 areas of Doing Business. It simplified the proce- South Asia dures for obtaining building permits and set up a single East Asia & Paci c office to process applications. Before, entrepreneurs had 0 5 10 15 20 25 to run around to 5 different agencies. The time required for obtaining construction documents fell by 49 days. Source: ILO (2005). To encourage businesses to hire first-time workers, DoINg BuSINESS 2007 Table 1.1 The top 10 reformers in 2005/06 Starting Dealingwith Employing Registering Getting Protecting Paying Tradingacross Enforcing Closinga Economy abusiness licenses workers property credit investors taxes borders contracts business Georgia 3 3 3 3 3 3 Romania 3 3 3 3 3 3 Mexico 3 3 3 China 3 3 3 3 Peru 3 3 3 3 7 France 3 3 3 3 3 Croatia 3 3 3 Guatemala 3 3 3 Ghana 3 3 3 Tanzania 3 3 3 3 Note: Economies are ranked on the number and impact of reforms. First, Doing Business selects the economies that reformed in 3 or more of the Doing Business topics. Second, it ranks these economies on the increase in rank in the ease of doing business from the previous year. The larger the improvement, the higher the ranking as a reformer. "X" indicates a negative reform. Source: Doing Business database. Romania adopted new labor regulation allowing term issue a tax registration number on the spot and stream- contracts to extend up to 6 years. It also eased trading lining company registration. And the corporate income across borders. After-clearance audits now enable cus- tax rate was cut from 33% in 2004 to 30% in 2005 and toms to quickly release cargo to importers, with the con- 29% in 2006. tainer contents verified after it reaches the warehouse. The time that traders need to satisfy all regulatory re- Africa is reforming quirements was cut in half, to 14 days. And the number Last year and the year before, Africa lagged behind all of export documents fell to 4, matching the EU average. other regions in the pace of reform. This year it ranks Mexico is third, with reforms in business entry, third, behind only Eastern Europe and Central Asia and protecting investors and paying taxes. A new securi- the OECD high-income countries (figure 1.2). Two- ties law defines for the first time the duties of company thirds of African countries made at least one reform, and directors, combining an obligation to "take care of the Tanzania and Ghana rank among the top 10 reformers. business as if it were your own" with a list of activities In Côte d'Ivoire registering property took 397 days that violate that duty. The law also increases scrutiny in 2005. Reforms eliminated a requirement to obtain the of related-party transactions. It requires full disclosure urban minister's consent to transfer property. Now it takes before any deal benefiting a company insider can take 32 days. Burkina Faso cut the procedures for starting a place. Other reforms cut the time to start a business in business from 12 to 8 and the time from 45 days to 34. Mexico City from 58 days to 27, by allowing notaries to Madagascar reduced the minimum capital for start-ups from 10 million francs to 2 million. Tanzania introduced FIGURE 1.2 Africa ranks third in reforms electronic data interchange and risk-based inspections at Countries that made at least one positive reform in 2005/06 (%) customs. The time to clear imports fell by 12 days. Gam- bia, Nigeria and Tanzania reduced delays in the courts. Eastern Europe & Central Asia 89 More improvements are under way, and these will OECD be reflected in the Doing Business indicators next year. high income 83 Sub-Saharan Benin, Burkina Faso, Cameroon, Gambia, Madagascar, Africa 67 Malawi, Mali, Mozambique, Niger, Nigeria and Zambia Middle East & North Africa 61 have all started to simplify business regulation. The easy Latin America reforms--what can be done by the stroke of a minister's & Caribbean 58 pen--are coming first. Small as these initial reforms may East Asia & Paci c 35 be, they can attract investors who seek the growth op- South Asia 25 portunities that will follow. India's economic boom may have started with just such reforms in the 1980s.1 Several African countries are more ambitious. Mau- Source: Doing Business database. ritius set a goal of reaching the top 10 on the ease of oVERVIEW doing business by 2009. It has targeted several areas of Singapore--where doing business is easiest reform: making labor regulation more flexible, reducing the burden of paying taxes and speeding business entry Singapore became the most business-friendly economy and property registration. One reform: starting in 2007 in the world in 2005/06, as measured by the Doing Busi- every business will receive a unique business registra- ness indicators (table 1.2). New Zealand is the runner- tion number, and entrepreneurs will no longer have to up. The United States is third. register in person for the income tax, value added tax, Some countries climbed far in the rankings on the customs and social security numbers. The aim is to have ease of doing business. Georgia ranked 112 in 2004. This data move around inside the government, not to have year it ranks 37. Mexico jumped 19 ranks, to 43. These entrepreneurs run around from one office to another. big changes show the gains possible when countries press on with reform every year. China, Eastern Europe--fast reformers But rankings on the ease of doing business do not Watch out, rest of the world: China is a top-10 reformer. tell the whole story. The indicator is limited in scope: The government sped business entry, increased inves- it covers only business regulations. It does not account tor protections and reduced red tape in trading across for a country's proximity to large markets, the quality borders. China also established a credit information of its infrastructure services (other than those related to registry for consumer loans. Now 340 million citizens trading across borders), the security of property from have credit histories. theft and looting, the transparency of government pro- Eastern Europe improved the most in the ease curement, macroeconomic conditions or the underlying of doing business. The desire to join the European strength of institutions.2 So while Namibia ranks close Union inspired reformers in Croatia and Romania. to Portugal on the ease of doing business, this does And Bulgaria and Latvia are among the runner-up not mean that businesses are just as eager to operate in reformers--economies that rank 11­15 on the list of top Windhoek as they are in Lisbon. Distance from large reformers--along with El Salvador, India and Nicaragua. markets and poor infrastructure--2 issues not directly Regulatory competition in the enlarged union added to studied in Doing Business--make Namibia a less attrac- the impetus for reform. tive destination for investors. The 3 boldest reforms, driving the biggest improve- Still, a high ranking on the ease of doing business ments in the Doing Business indicators: does mean that the government has created a regulatory · Mexico's increase in investor protections, in its new environment conducive to operating a business. Im- securities law. provements on the Doing Business indicators often proxy · Georgia's flexible labor rules, in its new labor code. for broader reforms to laws and institutions--whose ef- · Serbia's easing of exporting and importing fects go beyond the administrative procedures and the procedures, in its new customs code. time and cost to comply with business regulations. The most popular reform in 2005/06 was easing the What gets measured gets done regulations on starting a business. Forty-three countries In 2003 the donors to the International Development simplified procedures, reducing costs and delays (figure Association set targets for reducing the time and cost to 1.3). The second most popular was reducing tax rates start a business as conditions for obtaining additional and the administrative hassle that businesses endure grant money. Sixteen countries reformed business entry, when paying taxes. It is easy to understand why these reducing the time by 9% on average, and the cost by reforms top the list: elections can be won on the "more 13%.3 In 2004 the United States' Millennium Challenge jobs, lower taxes" platform. Account also introduced conditions for grant eligibility Several countries--including Bolivia, Eritrea, based on performance in the time and cost of business Hungary, Timor-Leste, Uzbekistan, Venezuela and start-up. Since then 13 countries have started reforms Zimbabwe--went backward. Venezuela made it more aimed at meeting the criteria. Burkina Faso, El Salvador, difficult for businesses to register property, get credit and Georgia and Madagascar have already met them. The trade across borders. The worst reform of the year took lesson: what gets measured gets done. place in Eritrea: in November 2005 the government sus- Publishing comparative data on the ease of doing pended all construction licenses and prohibited any pri- business inspires governments to reform. Since its start vate businesses from entering the construction sector. in October 2003, the Doing Business project has inspired DoINg BuSINESS 2007 FIGURE 1.3 213 reforms made business easier--25 made it more di cult Positive 43 reforms Antigua and Barbuda Armenia Azerbaijan Belarus Belgium Benin Bulgaria Burkina Faso China Croatia Czech Republic Egypt El Salvador Ethiopia Georgia Guatemala 26 Honduras India 24 Algeria Indonesia Armenia Ireland Armenia Azerbaijan Japan Australia Bulgaria Lao PDR Bosnia and Herzegovina China Lesotho Botswana Czech Republic Lithuania Central African Republic Denmark FYR Macedonia 17 Côte d'Ivoire Dominican Republic Madagascar Croatia El Salvador Mexico Armenia El Salvador France Micronesia Cambodia Ghana Georgia Morocco Canada Greece Honduras Mozambique France Guatemala India Netherlands Georgia Kuwait Israel Niger Germany Kyrgyz Republic Japan Peru Guatemala Mali Kazakhstan Portugal Kenya 8 Mauritania Kyrgyz Republic Russia Korea Mauritius Lao PDR Rwanda Latvia Argentina Morocco Mauritius Saudi Arabia Mali Australia Nicaragua Nicaragua Switzerland Moldova Georgia Nigeria Panama Syria Niger Greece Seychelles Peru Tanzania Romania Lithuania South Africa Romania Uganda Spain FYR Macedonia Spain Serbia Ukraine Ukraine Romania Swaziland Thailand Uruguay Vietnam Vietnam Tanzania Uruguay Starting a business Dealing with licenses Employing workers Registering property Getting credit Negative Palau Eritrea Bolivia FYR Macedonia Belarus reforms Swaziland New Zealand Djibouti Togo Hungary Timor-Leste Maldives Uganda Venezuela Norway Venezuela Serbia Zimbabwe Source: Doing Business database. or informed 48 reforms around the world. Mozambique costs more to start a business or register property in their is reforming several aspects of its business environment, city. There are no excuses. with the goal of reaching the top rank on the ease of To be useful for reformers, indicators need to be doing business in southern Africa. Burkina Faso, Mali simple, easy to replicate and linked to specific policy and Niger are competing for the top rank in West Africa. changes. Only then will they motivate reform and be Georgia has targeted the top 25 list and uses Doing Busi- useful in evaluating its success. Few such measures exist. ness indicators as benchmarks of its progress. Mauritius But this is changing. In several countries, such as Mali and Saudi Arabia have targeted the top 10. and Mozambique, private businesses now participate in Comparisons among states or cities within a country identifying the most needed reforms. Used to bottom are even stronger drivers of reform. Recent studies across lines, they bring a renewed focus on measurement. The 13 cities in Brazil and 12 in Mexico have created fierce culture of bureaucrats telling bureaucrats what's good for competition to build the best business environment.4 business is disappearing. Going with it is the aversion to The reason is simple: with identical federal regulations, measuring the results of regulatory reforms. mayors have difficulty explaining why it takes longer or oVERVIEW 31 Albania Algeria Antigua and Barbuda Belarus Bosnia and Herzegovina Bulgaria Czech Republic Egypt Estonia Ghana Guinea-Bissau 19 Hungary 18 India Cambodia Israel China Australia 15 Latvia Colombia Brazil Lesotho France Burundi China Lithuania Georgia Chad Colombia Mexico Ghana Croatia 12 Germany Moldova Hong Kong, China Denmark Hong Kong, China Montenegro India Dominican Republic Burundi India Morocco Jamaica Estonia Chile Israel Pakistan Jordan France France Mexico Paraguay Kenya Gambia Italy New Zealand Russia Nicaragua Georgia Korea Peru Rwanda Nigeria Guyana Latvia Poland Senegal Pakistan Italy Micronesia Romania Sierra Leone Romania FYR Macedonia Puerto Rico Sweden Sudan Serbia Nigeria Romania Tanzania Switzerland Syria Peru Serbia Tunisia Turkey Tanzania Rwanda Slovakia United Kingdom Yemen Togo Slovakia United States Protecting investors Paying taxes Trading across borders Enforcing contracts Closing a business Central African Republic Venezuela Peru Dominican Republic Uzbekistan Sri Lanka Uzbekistan How to reform But few countries have the opportunity (or feel the pressure) for a reform blitz. Instead, reformers must In the top reforming economies in the past 3 years, decide which reforms to tackle first. The 4 steps to suc- nearly 85% of reforms took place in the first 15 months cessful reform: of a new government. The message: for a government recently elected (as in Benin) or reelected (as in Colom- · Start simple and consider administrative reforms bia and Mexico), the time to push through ambitious that don't need legislative changes. reforms is at the start of its term. In the words of one · Cut unnecessary procedures, reducing the number reformer: "Reform is like repairing a car with the engine of bureaucrats entrepreneurs interact with. running--there is no time to strategize." · Introduce standard application forms and publish When the government succeeds in these early re- as much regulatory information as possible. forms, citizens start seeing benefits--more jobs, more · And remember: many of the frustrations for resources for health and education. The appetite for businesses come from how regulations are administered. The internet alleviates these further reforms grows. In Georgia and Romania--the frustrations without changing the spirit of the countries that have moved up fastest in the Doing Busi- regulation. ness rankings--reformers took on simultaneous reforms in several areas at the start of their mandate. DoINg BuSINESS 2007 Table 1.2 Rankings on the ease of doing business 007 2006 007 2006 007 2006 rank rank Economy rank rank Economy rank rank Economy 1 2 Singapore 0 58 Kiribati 119 113 Iran 1 NewZealand 1 56 Slovenia 10 115 Albania 3 UnitedStates 57 Palau 11 122 Brazil 4 Canada 82 Kazakhstan 1 119 Suriname 6 HongKong,China 70 Uruguay 1 120 Ecuador 5 UnitedKingdom 78 Peru 1 134 Croatia 7 7 Denmark 60 Hungary 1 125 CapeVerde 8 9 Australia 7 72 Nicaragua 1 121 Philippines 9 8 Norway 8 95 Serbia 17 127 WestBankandGaza 10 10 Ireland 9 61 SolomonIslands 18 132 Ukraine 11 12 Japan 70 64 Montenegro 19 124 Belarus 1 11 Iceland 71 75 ElSalvador 10 135 Syria 1 14 Sweden 7 65 Dominica 11 126 Bolivia 1 13 Finland 7 63 Grenada 1 129 Gabon 1 16 Switzerland 7 66 Pakistan 1 130 Tajikistan 1 15 Lithuania 7 74 Poland 1 138 India 17 17 Estonia 7 67 Swaziland 1 131 Indonesia 18 19 Thailand 77 68 UnitedArabEmirates 1 133 Guyana 19 18 PuertoRico 78 73 Jordan 17 139 Benin 0 20 Belgium 79 76 Colombia 18 143 Bhutan 1 21 Germany 80 77 Tunisia 19 136 Haiti 22 Netherlands 81 79 Panama 10 137 Mozambique 23 Korea 8 69 Italy 11 156 Côted'Ivoire 31 Latvia 8 80 Kenya 1 150 Tanzania 25 Malaysia 8 83 Seychelles 1 142 Cambodia 26 Israel 8 85 St.KittsandNevis 1 141 Comoros 7 27 St.Lucia 8 87 Lebanon 1 140 Iraq 8 24 Chile 87 86 MarshallIslands 1 152 Senegal 9 28 SouthAfrica 88 81 Bangladesh 17 151 Uzbekistan 0 30 Austria 89 89 SriLanka 18 146 Mauritania 1 29 Fiji 90 104 KyrgyzRepublic 19 148 Madagascar 32 Mauritius 91 84 Turkey 10 157 EquatorialGuinea 33 AntiguaandBarbuda 9 94 FYRMacedonia 11 154 Togo 37 Armenia 9 108 China 1 147 Cameroon 47 France 9 102 Ghana 1 145 Zimbabwe 34 Slovakia 9 91 BosniaandHerzegovina 1 161 Sudan 7 112 Georgia 9 97 Russia 1 166 Mali 8 35 SaudiArabia 97 96 Ethiopia 1 155 Angola 9 38 Spain 98 101 Yemen 17 149 Guinea 0 45 Portugal 99 100 Azerbaijan 18 158 Rwanda 1 36 Samoa 100 90 Nepal 19 164 LaoPDR 39 Namibia 101 93 Argentina 10 170 Niger 62 Mexico 10 92 Zambia 11 153 Djibouti 42 St. Vincent and the Grenadines 10 88 Moldova 1 159 Afghanistan 41 Mongolia 10 98 Vietnam 1 171 BurkinaFaso 40 Kuwait 10 99 CostaRica 1 144 Venezuela 7 43 Taiwan,China 10 105 Micronesia 1 165 Egypt 8 44 Botswana 107 103 Uganda 1 160 Burundi 9 71 Romania 108 109 Nigeria 17 162 CentralAfricanRepublic 0 48 Jamaica 109 111 Greece 18 163 SierraLeone 1 46 Tonga 110 106 Malawi 19 167 SãoToméandPrincipe 50 CzechRepublic 111 107 Honduras 170 168 Eritrea 49 Maldives 11 110 Paraguay 171 169 Congo,Rep. 59 Bulgaria 11 118 Gambia 17 172 Chad 52 Oman 11 116 Lesotho 17 173 Guinea-Bissau 51 Belize 11 117 Morocco 17 174 Timor-Leste 7 53 PapuaNewGuinea 11 123 Algeria 17 175 Congo,Dem.Rep. 8 54 Vanuatu 117 114 DominicanRepublic 9 55 TrinidadandTobago 118 128 Guatemala Note: The rankings for all economies are benchmarked to April 2006 and reported in the Country tables. Rankings on the ease of doing business are the average of the country rankings on the 10 topics covered in Doing Business 2007. Last year's rankings are presented in italics. These are adjusted for changes in the methodology, data corrections and the addition of 20 new economies. See the Data notes for details. Source: Doing Business database. oVERVIEW 7 FIGURE 1.4 How El Salvador reformed business start-up 2003 2004 2005 2006 MAR · · · · · · · · · · · MAR OCT · · JAN High-level officials expand 1. Registry documents internal processes, plans simpli cation reform to other agencies involved in business start-up 2. Registry sta implement new processes, receive training Registry moves Registry receives 3. Technical secretary of the presidency creates reform committee to new offices ISO certification Staff measure response times, meet weekly to discuss results 4. Committee decides to create a one-stop shop 5. Committee develops moving plans, publicity materials Cost-savers: delegates bring computers from their agencies 6. All relevant agencies assign delegates to one-stop shop Time-savers: old forms revised to show what not to fill out 7. Delegates take position in registry building One-stop shop operational 8. Actors posing as clients test new procedures 9. President and vice president host 2 launch events Client surveys ensure efficient service Source: Doing Business database. El Salvador did all these things. In 2 years it reduced payment of duties without any additional paperwork. the time to start a business from 115 days to 26--with New technologies can also simplify interactions be- no changes to the law (figure 1.4). The reform started in tween entrepreneurs and the tax authority. Madagascar 2003 in the company registry, which had set the goal of computerized tax declarations in October 2005. Now if becoming the first registry in Latin America to earn an there is no change in information submitted previously, ISO certification. The staff developed time-and-motion a business can file the same declaration again--with the studies of all transactions and cut unnecessary steps. click of a button. The benefit: the time to comply with Customer surveys ensured timely feedback. In 18 months tax regulations fell by 17 days. Croatia simplified its tax start-up time dropped to 40 days, and the share of satis- forms, cutting out 8 pages of tax returns in the process. fied customers rose from 32% to 87%. In a second round The time to comply with tax regulations fell by 5 days. of reforms staff from the Ministries of Finance and Labor and the social security institute were transferred Make it easier for all businesses to the company registry. Entrepreneurs can now register Whatever reformers do, they should always ask the ques- with all 4 agencies in a single visit. tion, "Who will benefit the most?" If reforms are seen Pakistan followed a similar track. It introduced a to benefit only foreign investors, or large investors, or new customs clearance process that allows importers to bureaucrats-turned-investors, they reduce the legitimacy file cargo declarations before goods arrive at the port. of the government. Reforms should ease the burden on Now it takes 19 days to import goods--from the conclu- all businesses: small and large, domestic and foreign, sion of a sales contract to the arrival of the goods at the rural and urban. This way there is no need to guess warehouse. In 2004 it took 39 days. Jamaica introduced where the next boom in jobs will come from. Any busi- software that detects whether a cargo document is in- ness will have the opportunity to thrive--whether it's complete and calculates the customs duties to be paid. In making movies in Lagos, writing software programs in Ghana new technology links customs with several com- Bangalore or transcribing doctors' notes in Belize City. mercial banks so that customs officers can confirm the Notes 1. Rodrik and Subramanian (2005). 2. Next year's Doing Business will expand the scope of indicators to cover the quality of business infrastructure and possibly transparency in government procurement. 3. These targets were replaced with soft targets in the following round of grants. An opportunity to inspire further reforms was missed. 4. FIAS (2006a, 2006b). 8 DoINg BuSINESS 2007 Starting a business Portugal was the top reformer in business entry in in Syria and $124,464 in Saudi Arabia, few entrepreneurs 2005/06. While a year ago starting up took 54 days, can afford to register. Many turn to informality. today a business can begin operating in 8. "I spent weeks If it is easy to set up a business, more businesses reg- going from one bureaucrat to another, begging for a ister. Five times as many businesses register annually in stamp here and a signature there. Just to get the company El Salvador since its reforms. New entry jumped by 78% name approved took 15 days. And then there was the after reforms in FYR Macedonia, 55% in Georgia, 25% notary, the company registry, tax agency, social security in Lithuania and 16% in Uganda. and others," recalls José, an entrepreneur in Lisbon. Enticing enterprises into the formal economy has 2 No longer. benefits. First, formally registered businesses grow larger. Forty-three countries made it easier to start a busi- In a recent study on informality in São Paulo entrepre- ness in the past year. More reforms took place in Africa neurs said they could double operations after registering.1 than ever before. Ten African countries reformed, led by The reason? They would be able to supply larger custom- Burkina Faso and Madagascar. In contrast, in 2004 only ers and export directly. And they would have no fear of Côte d'Ivoire and Nigeria made entry easier. The up- harassment by government inspectors or the police--and swing is sorely needed--6 of the 10 most difficult places no need to pay them bribes. Second, formally registered to start a business are in Africa (table 2.1). enterprises pay taxes, adding to government revenues.2 The recent pick-up in reform shows that what gets measured gets done. The United States' Millennium Challenge Account sets explicit targets on the time and Table 2.1 Where is it easy to start a business--and where not? cost to start a business: to qualify for its grants, coun- Easiest Rank Most difficult Rank tries must do better on both measures than the median Canada 1 Tajikistan 1 eligible country. Reforms in Burkina Faso, El Salvador, Australia Haiti 17 Georgia and Madagascar all met the targets. NewZealand Eritrea 18 Reformsalsobrokesomelong-standingtaboos.Seven UnitedStates Togo 19 countries (China, Georgia, Japan, Lao PDR, Madagascar, HongKong,China Angola 170 Micronesia and Morocco) reduced or eliminated the Ireland Yemen 171 minimum capital requirement--more than in the previ- Romania 7 Congo,Dem.Rep. 17 PuertoRico 8 WestBankandGaza 17 ous 5 years combined. Other countries still justify capital UnitedKingdom 9 Chad 17 requirements as protecting creditors. But this makes little Jamaica 10 Guinea-Bissau 17 sense. For capital requirements to reduce the risks for Note: Rankings are the average of the country rankings on the procedures, time, cost and paid-up creditors, shouldn't they differ by a company's size and in- minimum capital for starting a business. See the Data notes for details. Source: Doing Business database. dustry? And with capital requirements as high as $58,422 STARTINg A BuSINESS 9 Who is reforming? In Portugal, now one of the fastest economies for start- Table 2.2 up (table 2.2), an entrepreneur using the new fast-track Who regulates business start-up the most--and who the least? Procedures(number) service simply chooses a preapproved name from the Fewest Most registry's website, then goes to the one-stop shop to register the company. The registry deals with tax, so- Australia Azerbaijan 1 Canada Bolivia 1 cial security and labor registration and publishes the NewZealand Belarus 1 incorporation notice on the Ministry of Justice website. Afghanistan Venezuela 1 Standard articles of association make the application fast Denmark Brazil 17 and error-free--with no need for a notary. More and Finland Guinea-Bissau 17 more businesses are taking advantage of the new service. Sweden Paraguay 17 Belgium Uganda 17 Within a year the number of companies using it rose Ireland Chad 19 from 12 a day to 75. Norway EquatorialGuinea 0 Reforms picked up more in Africa than in any other region in 2005/06. Madagascar reduced the minimum Time(days) capital requirement by 80% and sped registration by re- Least Most locating a legal clerk to the one-stop shop. The improve- Australia Angola 1 ments placed Madagascar among the top 10 reformers Canada EquatorialGuinea 1 (figure 2.1). Burkina Faso combined the professional Denmark Venezuela 11 Iceland SãoToméandPrincipe 1 license, company, tax and social security registrations UnitedStates Brazil 1 at a single access point--cutting the time to start a busi- Singapore Congo,Dem.Rep. 1 ness by a fourth. Ethiopia and Uganda sped company PuertoRico 7 LaoPDR 1 registration. Benin and Niger lifted the requirement for France 8 Haiti 0 entrepreneurs to prepay taxes before starting operations. Jamaica 8 Guinea-Bissau Portugal 8 Suriname 9 Mozambique and Tanzania simplified their business licensing regimes. Nigeria now allows entrepreneurs to Cost(%ofincomepercapita) verify the availability of company names online. Lesotho Least Most cut time by introducing a single form for value added Denmark 0.0 Yemen 8.0 and income tax registration. And Rwanda scrapped a NewZealand 0. Cambodia . law, originally adopted by King Leopold of Belgium Ireland 0. Togo .7 during colonial times, that allowed only 1 notary in the UnitedStates 0.7 Guinea-Bissau 1. Sweden 0.7 Gambia 9.1 entire country. Now 33 notaries are working throughout UnitedKingdom 0.7 WestBankandGaza .7 the country, reducing start-up delays. PuertoRico 0.8 Niger 1.8 Singapore 0.8 Congo,Dem.Rep. 81.1 FIGURE 2.1 Canada 0.9 Angola 8.7 Top 10 reformers in business start-up Finland 1.1 SierraLeone 1,19. Average improvement 2005 Top Paid-in minimum capital 11% Most %ofincomepercapita US$ 2006 reformers Portugal Timor-Leste 7 ,000 Japan 34% 33% Egypt 9 8,8 Madagascar Niger 778 1,87 FYR Macedonia Jordan 8 1,10 57% China Georgia Guinea-Bissau 1,09 1,8 Ireland SaudiArabia 1,07 1, Lao PDR Ethiopia 1,08 1,7 Morocco WestBankandGaza 1,890 18,008 El Salvador Yemen , 1,9 Syria , 8, Procedures Time Cost Minimum capital Note: Sixty-four countries have no minimum capital requirement. Source: Doing Business database. Source: Doing Business database. 10 DoINg BuSINESS 2007 FIGURE 2.2 Big improvements in China and India Table 2.3 Single access points--a popular reform in 2005/06 Requirements for starting a business 89 Created single access point 1104 BurkinaFaso,Croatia,ElSalvador,Guatemala,Lithuania, 73.7 FYRMacedonia,Portugal,Ukraine Simplified tax registration Armenia,Benin,Bulgaria,India,Lesotho,Lithuania,Tanzania,Uruguay 2004 48 49.5 Abolished or reduced minimum capital requirement China,Georgia,Japan,LaoPDR,Madagascar,Micronesia,Morocco 2006 35 35 Sped registration through institutional reforms 15.9 Belarus,Ethiopia,Honduras,Mexico,Russia,Rwanda,SaudiArabia 213 9.3 NONE Cut stamp duty or capital tax China India China India China India Belgium,Ireland,Netherlands,Switzerland,Syria Time Cost Minimum capital Simplified document requirements at registry (days) (% of income (% of income per capita) per capita) Azerbaijan,Egypt,Indonesia,LaoPDR,Niger Source: Doing Business database. Streamlined licensing procedures Mozambique,Peru,Tanzania Made registration administrative China and India both cut business start-up to 35 AntiguaandBarbuda,CzechRepublic,FYRMacedonia,Uganda days (figure 2.2). India simplified a complex tax regis- Source: Doing Business database. tration system, more than halving start-up time. China amended its company law, reducing the minimum capital requirement by 70% and eliminating substantive from 12 to 10, the time from 40 days to 26. Honduras cut review at the registry. Elsewhere in East Asia, Indonesia 18 days from the process by delegating company registra- continued to speed the approval process at the Ministry tion to private chambers of commerce. Guatemala linked of Justice, cutting weeks from the time for start-up. commercial, tax and social security registration. Mexico Countries in Europe focused on cutting costs or sim- allows entrepreneurs to obtain the tax registration num- plifying registration. Ireland and the Netherlands abol- ber through the notary at the time of incorporation--sav- ished capital taxes. Switzerland eliminated stamp duties ing 3 weeks. The municipality of Lima, in Peru, now for the first 1,000,000 of start-up capital. Belgium halved grants a municipal license in a week rather than a month. start-up cost by abolishing the registration fee--and also Uruguay merged tax and social security registration. piloted online registration. Georgia reduced its minimum Four reforms took place in the Middle East and capital requirement by 90%. FYR Macedonia, another top North Africa. Morocco lowered the minimum capital 10 reformer, made registration administrative rather than requirement to 67% of income per capita. Syria reduced judicial and combined company, tax and social security the stamp duty from 1.5% of start-up capital to 0.5%. registration. Time dropped from 48 days to 18. Ukraine Egypt cut cost by 30% by lowering registration fees and introduced a one-stop shop for new business registration. publishing the incorporation notice at the registry rather Lithuania created a virtual one (table 2.3). than in the government gazette. Saudi Arabia simplified El Salvador led the reforms in Latin America for the procedures at the Ministry of Commerce and cut time second year in a row. It reduced the number of procedures from 64 days to 39. How to reform ministrative registry. Bulgaria did the same in April 2006, For a government that has just come to power on a re- despite fierce opposition from the judiciary. Honduras form platform, here's how to start: change the company and Italy transferred registration from judges to private law. Eliminate the minimum capital requirement, make chambers of commerce. Bosnia and Herzegovina, the business registration administrative rather than judicial Czech Republic, Romania and Slovakia left registration in and allow registration notices to be published online or the courts but shifted responsibility for it from judges to at the registry. legal clerks. Business start-up takes 20 days more on average Here is how Serbia did it. The government decided where judges have to approve the applications. Serbia that radical reform was better than wrestling with the ex- and Uganda avoided these delays by creating a new ad- isting system. The reform took nearly 2 years to complete, STARTINg A BuSINESS 11 starting in January 2003 with a seminar on business reg- administrative reforms first: cut unnecessary proce- istration in countries of the European Union (figure 2.3). dures, create a one-stop shop for business registration, It faced fierce opposition from the judiciary, an 8-month introduce standard application forms and a single busi- hiatus after the assassination of Prime Minister Zoran ness identification number and move any tax payments Djindjic and technical difficulties just before the new ad- to after the business has started operations. ministrative registry opened. But it succeeded. Portugal followed this track and reformed in 5 In May 2004 parliament passed a law to create the months. As soon as the new government came into new registry. Registration was simplified, and agencies power in March 2005, it formed a working group in the linked through a central electronic database. The regis- Ministry of Justice. The aim was to reduce the number try no longer has the authority to check the authentic- of approvals and government visits in business start-up ity of data or to refuse registration if the application is as much as possible. A new law was drafted in 3 months complete. A "silence is consent" rule ensures automatic and approved by the government on June 30, 2005. No registration within 5 days. parliamentary approval was needed because the law As soon as the law came into force, the focus shifted concerned only company matters, not the courts. A to training and publicity. The registry's director, named week later the law was signed by the president and pub- in July 2004, became the spokesperson in the publicity lished in the gazette. On July 13 it became effective. The campaign. By January 2005, when the registry opened, registry's software was upgraded while the law was being everyone knew about it. New registrations increased by drafted. And because the system is now simpler, staff 43% in the first year. needed little training. By August the fast-track system Slovakia took a different approach, reforming in was operational. The cost of the reform was $350,000. steps. In October 2003--in time for its entry into the Creating one-stop shops for company registration European Union the following year--Slovakia passed the was the most popular reform in 2005/06. Eight countries Act on the Commercial Register, transferring registration --Burkina Faso, Croatia, El Salvador, Guatemala, Lithu- from judges to court clerks. Standard documents and clear ania, FYR Macedonia, Portugal and Ukraine--combined filing procedures replaced substantive review by judges. company, tax and social security registration in one And Slovakia did not stop there. In July 2004 it cut the building. Another 15 had created one-stop shops be- statutory time limit for issuing a trade license from 15 days tween 2003 and 2005. to 7. In October 2004 it amended the commercial code to But one-stop shops are not enough. Many other clarify grounds for rejecting registration applications. And procedures may be required before a business can legally in January 2005, by amending its tax administration and operate--such as obtaining documents and having them value added tax acts, it simplified tax registration. Three notarized, depositing initial capital or registering for years after the commercial register act was adopted, open- social security. Even in Portugal an entrepreneur needs ing a business takes 25 days rather than 103. to complete 5 procedures on top of visiting the one-stop Reformers who want to start simple could consider shop. In Burkina Faso it is 7, in FYR Macedonia 9. One- FIGURE 2.3 How Serbia reformed company registration 2003 2004 2005 JAN · · · · · · · · · · · JAN · · · · · · · · · · · JAN 1. Government establishes reform committee March 12, 2003: Prime Minister Djindjic assassinated 2. Core working group drafts new law 3. Reformers consult with gov't and business experts Courts oppose changes 4. Government adopts reform principles 5. Secretariat of Legislation approves draft law 3-month delay 6. Ministries of Finance and Justice approve draft law during summer holidays 7. Government adopts draft law Legislative activities cease during extraordinary elections, change in government 8. Draft law submitted to parliament New registry up and running 9. Parliament adopts new law 10. Publicity campaign; training for sta on new procedures Source: Doing Business database. 1 DoINg BuSINESS 2007 FIGURE 2.4 Easier start-up--more new rms, less corruption New rms as a share of total registrations (%) Perceived corruption 10 High 5 Low 0 Lower Higher Lower Higher Countries ranked by cost to register a business, quintiles Countries ranked by procedures to register a business, quintiles Note: Relationships are signi cant at the 5% level. Source: Doing Business database, World Bank Group Entrepreneurship database, Kaufmann, Kraay and Mastruzzi (2005). stop shops work best when other start-up procedures are vertise the changes and monitor their effect on new cut or simplified. registrations. Most reformers are bad marketers. So, El Salvador cut the time to start a business--with few entrepreneurs know how much easier registration no changes to the law. The reform started in 2003 in has become. El Salvador first established a one-stop shop the company registry with a single goal: to become the in 1999, but local entrepreneurs thought it was only for first registry in Latin America to earn an ISO certifica- foreigners. A lesson was learned. The second time around tion. The staff developed time-and-motion studies of reformers staged 2 "ribbon cutting" events with President all transactions and cut unnecessary steps. Customer Antonio Saca and Vice President Ana Escobar. The media surveys ensured timely feedback. In 18 months start-up coverage ensured that everyone knew about the new sys- time dropped to 40 days and the share of satisfied cus- tem when it opened in January 2006. tomers rose to 87%. Finally, reformers best stick to one principle-- But reformers went even further, transferring staff simplify. Cumbersome entry procedures mean more from the Ministries of Finance and Labor and the social se- hassle for entrepreneurs and more corruption, particu- curity institute to the company registry. Entrepreneurs now larly in developing countries (figure 2.4).3 Each proce- registerwithall4agenciesinasinglevisitandcanopentheir dure is a point of contact--an opportunity to extract a business in 26 days--down from 115 before the reform. bribe. The cost of such systems is the forgone jobs that Whatever reforms are made, reformers should ad- new firms would have created.4 Notes 1. Bertrand and others (2006). 2. Djankov and others (2002). 3. Svensson (2005). 4. Klapper (2006). 3 Dealing with licenses Inspecting the quality of construction is necessary to started. Consider the daunting task of obtaining a con- protect those who will live or work in a building. Gov- struction permit in Mozambique, where building regula- ernments have been concerned with such protection for tions date to the 1880s: it takes 13 procedures involving centuries. Records of Socrates' house, built in the 4th 9 agencies and 5 separate inspections. century BC, show the inspection requirements of his Doing Business looks at licensing in the construction day: "The builder shall set the joints against each other, industry, since it is among the largest sectors in every fitting, and before inserting the dowels he shall show the economy and there is a clear rationale for regulating architect all the stones to be fitting, and shall set them it. But the same problems occur in other sectors too. true and sound and dowel them with iron dowels, two In Kenya the government is evaluating licenses in all dowels to each stone..."1 business sectors. In 2005 it initiated a review of 1,347 There is a tradeoff between the safety that licenses business licenses and permit requirements. So far, 118 create and their cost--both to entrepreneurs and to licenses are proposed for elimination. By the end of 2007 the government. In 70 countries obtaining a construction another 700 are to be simplified and 320 abolished. Prob- permit takes longer than the actual construction. Many of lems remain. Some ministries did not submit lists of all these are in Africa, which accounts for 5 of the 10 countries the licenses they regulate and the related fees. And the new where it is most difficult to build legally (table 3.1). business regulation bill is awaiting parliamentary approval. Where procedures are complicated and the time Persistence will pay off. Consider what a study of and cost to get licenses are great, few formal projects get permits in France suggests about the potential gains from reducing burdensome licensing regulation.2 In Table 3.1 Where is building a warehouse easy--and where not? 1974 the Ministry of Industry issued a regulation to pro- Easiest Rank Most difficult Rank tect small shopkeepers against competition from chain St.VincentandtheGrenadines 1 Guatemala 1 stores. Zoning permits were issued at the discretion of Japan Guinea 1 municipal councils. Few such permits were given. Had Thailand Iran 17 this regulation not been introduced, employment in the Belize BurkinaFaso 18 formal retail sector could be 10% higher today. MarshallIslands Egypt 19 Denmark Croatia 170 Besides creating more jobs, cutting red tape can St.KittsandNevis 7 Zimbabwe 171 provide the resources to improve public services. Sweden Singapore 8 Tanzania 17 spends 8% of its budget on regulating business, the United Maldives 9 Eritrea 17 St.Lucia 10 Timor-Leste 17 Kingdom 10% and the Netherlands 11%. Cutting red tape Note: Rankings are the average of the country rankings on the procedures, time and cost to build by 15% would free resources equal to around half the pub- a warehouse. one country (Afghanistan) is missing data. See the Data notes for details. lic health budget in these countries.3 It would also reduce Source: Doing Business database. the costs to businesses of complying with regulation. 1 DoINg BuSINESS 2007 Who is reforming? projects and a 45-day limit for larger ones. The building In 2005/06, 17 countries made it easier to comply with design still needs approval from 5 separate agencies: the building requirements or simplified their business licens- municipal, district governor, local land management, ing regimes. Most reforms took place in rich countries-- urban planning and construction offices. The old rules in Canada, France, Germany, Korea and Spain--and in allowed these departments up to 60 days to issue approv- Eastern Europe and Central Asia--in Armenia, Georgia, als. The new regulation cuts this to 14 days. Latvia, Moldova, Romania and Ukraine. Nine countries reduced the number of licenses. In Georgia made the most extensive reforms, ranking Germany simpler construction no longer requires a per- as the top reformer for the second year in a row. Building mit. Instead, the builder only notifies the municipality permits are now issued at a single office, which consoli- when construction starts. Inspectors show up at the site dates approvals of construction projects by the Ministry once the project has begun. Time to comply with licens- of Culture, the Ministry of Environment and the water, ing and permit requirements fell from 165 days to 133. electricity and telecommunications authorities. Shorter In France the number of licenses required for construc- time limits were imposed for issuing permits. Several tion projects was reduced from 11 to 3. And a month of procedures were abolished, including approval from the delay was cut by requiring the building inspectorate to sanitary inspector before construction starts and permis- visit and issue a declaration of work completion within 3 sion from the archaeology bureau. As a result the number months. Elsewhere in Europe, Spain no longer requires of procedures to fulfill all requirements to construct a an installation license on top of the building license, cut- warehouse fell from 29 to 17, and the time from 285 days ting 1 procedure. It also adopted a "silence is consent" to 137 (figure 3.1). It is now as easy to comply with build- rule, setting the maximum time for approval at 90 days. ing regulations in Tbilisi as it is in Hong Kong (China). Countries in Eastern Europe and Central Asia also One of the most popular reforms in 2005/06 was simplified the permitting process. Romania cut the to introduce statutory time limits for issuing licenses number of forms required for building permits and (table 3.2). This makes it easier for builders to plan simplified the filing of technical documents. It also set their projects--hiring workers, contracting with suppli- up a single office for processing applications for building ers, arranging for credit lines with a bank. And it puts permits. The time required to obtain permits fell by 49 pressure on bureaucrats to be efficient. In Canada, for days. Armenia simplified approval procedures. Before, example, the province of Ontario revised its building builders needed approvals from both the mayor and the code to mandate a 15-day limit for the review of build- municipality to start construction. Now they need only ing permits. The time to complete all the paperwork for a permit from the mayor. The process can be completed building a warehouse fell from 87 days to 77. within 112 days, more than 2 months faster than in 2005. Cambodia also introduced deadlines, imposing a Costs dropped by 15%, from $730 to $633. 30-day limit for issuing construction permits for smaller Mali, where costs are among the highest in the world FIGURE 3.1 Big improvements in Georgia Table 3.2 Time to build a warehouse (days) Reducing licenses--the most popular reform in 2005/06 2005 Reduced number of licenses and permits 250 Armenia,France,Georgia,Germany,Kenya,Latvia,Moldova,Spain,Ukraine 200 Introduced statutory time limits for issuing a license Time cut from 285 days to 137 Cambodia,Canada,Germany,Guatemala,Mali,Ukraine,Vietnam 150 2006 Standardized application documents Procedures cut Canada,Georgia,Romania 100 from 29 to 17 Limited inspections 50 Canada,Mali,Niger 0 Computerized licensing process 1 Procedures 29 Korea,Moldova Source: Doing Business database. Source: Doing Business database. DEALINg WITH LICENSES 1 Table 3.3 FIGURE 3.2 Who regulates licensing the least--and who the most? Longest delays in South Asia Procedures(number) Time to build a warehouse (days) Eastern Fewest Most Sub- South Saharan Europe & Central Asia Asia Denmark 7 China 9 Middle East Latin Africa America 243 245 253 NewZealand 7 Guinea 9 & North East Asia Africa & Caribbean Vanuatu 7 Egypt 0 & Paci c 207 212 Grenada 8 CzechRepublic 1 OECD 195 high income Sweden 8 BurkinaFaso 151 MarshallIslands 9 Kazakhstan St.Lucia 9 Taiwan,China Thailand 9 Turkey France 10 Moldova Ireland 10 SierraLeone 8 Time(days) Source: Doing Business database. Least Most Korea Nepal Finland Suriname 1 (table 3.3), was the main African reformer in construction Belize Cameroon licensing. A new decree capped the time for issuing building UnitedStates 9 Brazil 0 permits to 20 days from the application. Inspections now Denmark 70 Nigeria take place after construction is complete. Previously, 2 sepa- St.KittsandNevis 7 BosniaandHerzegovina 7 rate "certificates of compliance" were required for inspection Micronesia 7 Zimbabwe 81 SolomonIslands 7 Russia 1 and fire safety before construction had even started. The St. Vincent and the Grenadines 7 Côted'Ivoire 9 reforms cut delays by 41 days. Canada 77 Iran 8 No reforms took place in South Asia, the region with the longest delays (figure 3.2). And in 2 countries, Cost(%ofincomepercapita) Timor-Leste and Eritrea, construction licenses are no Least Most longer issued. Since January 2006 the government of Palau .8 Zambia 1,7 Timor-Leste has refused to grant any new licenses for TrinidadandTobago 9.9 Mali 1,81 construction firms. The reason given: too many busi- St. Vincent and the Grenadines 10. Serbia 1,97 nesses already operate in the construction sector. In Thailand 11.1 Congo,Dem.Rep. ,8 Mauritius 1.7 BosniaandHerzegovina , September 2005 the Eritrean government imposed price Australia 1.8 Guinea-Bissau , and profit controls on construction businesses, because CzechRepublic 1. Niger ,987 "most of the houses that have been built during the past St.KittsandNevis 1. Tanzania ,797 few years have inflated prices based on speculation."4 Iceland 1.7 Montenegro ,89 Soon after, the Department of Infrastructural Services UnitedStates 1.0 Burundi 8,808 suspended all construction licenses and prohibited any private businesses from entering the construction sector. Source: Doing Business database. The decree was signed "Victory for the masses." 1 DoINg BuSINESS 2007 How to reform did both. The government targeted a widely publicized It is easier to create new regulations than to remove old 25% reduction in the administrative burden by the end ones. Most countries, particularly developing ones, have of 2006. The minister of finance takes responsibility for amassed too many license and permit requirements. achieving the target and delivers a progress report to Many of them are contradictory. Some are pointless. For parliament every 6 months. Uncooperative ministries example, why does Kenya require permits to purchase may see their budget cut. An independent agency, the onion seeds or licenses to rent out bicycles? Even for a Advisory Board on Administrative Burden (ACTAL), simple commercial or industrial business, 72 countries was established to monitor progress and publicize its always require a business license on top of regular com- findings. The estimated savings from streamlining tax re- pany registration (figure 3.3). quirements alone are $600 million. ACTAL also vets new Countries may do well to review all their business regulatory proposals before they reach parliament--to licensing regulations every decade, to discard obsolete stop creeping reregulation, a common problem.5 ones and simplify others. Australia has the best such Whatever reformers do, they should involve the pri- system in place. Another approach, pioneered in Swe- vate sector. Businesses know which licensing regimes are den in the 1980s, is to conduct a one-time review of all most onerous, with the biggest costs and bureaucratic licenses. The default action: eliminate a license unless it hassle. These would be a good place to start. can be justified before a set deadline. Last year Moldova To ease the work of construction businesses, re- reviewed 1,130 ministerial decrees, amending about 400 formers can introduce "silence is consent" rules for issu- and eliminating another 150. Ukraine reviewed almost ing building licenses. Once the deadline for reviewing a 1,000 licenses and eliminated half. Georgia cut licenses license application has passed, the business can automat- from 909 to 144 (figure 3.4). ically start operations. Spain introduced a silent consent Reducing licensing requirements demands action rule for construction licenses in 2005. And 7 of the top by many ministries. Here are 2 ways to make this hap- 10 countries on the ease of licensing have such rules. pen. First, make an agency with direct authority over all Another reform that can smooth the licensing of ministries responsible for the reform. The best choice construction projects: adjusting licenses and inspections is the ministry of finance or the prime minister's office, to the size and nature of the project. Smaller projects since ministries respond best when their budgets depend could receive less scrutiny, lowering compliance costs on it. Second, commit to a target reduction in the ad- and allowing regulators to focus their energy on more ministrative costs of issuing and regulating licenses, and complex projects. Korea and Lao PDR implemented set up a measuring system to ensure that it is achieved. such reforms in 2006. Korea exempted small construc- This captures the attention of businesses and bureaucrats tion projects from the requirement to apply for an alike and holds regulators accountable. advance building permit. Lao PDR transferred the au- The Netherlands, with the best such reform yet, thority for issuing building permits for small projects to FIGURE 3.3 FIGURE 3.4 Unnecessary licensing requirements in poor countries Big cuts in licensing requirements Countries requiring business license for general activities (%) Reduction in the number of licenses in 2005/06 (%) OECD high income 13 9.0 12.0 Eastern Europe 33.2 & Central Asia 14 45.8 49.0 Middle East & North Africa 29 84.2 Latin America & Caribbean 55 Sub-Saharan Africa 56 South Asia 63 East Asia & Paci c 65 15 43 50 Kenya Moldova Korea Mexico Ukraine Georgia RICH MIDDLE POOR (ongoing) (ongoing) INCOME Source: Doing Business database. Source: Doing Business database, Jacobs and Astrakhan (2006). DEALINg WITH LICENSES 17 district construction management offices. and instituted examinations for new police. For governments that want to reduce corruption in Something that does not work: increasing inspec- construction licensing and inspections, here are several tors' salaries in the hope that this will curb bribe taking. tips. First, allow for some rotation of inspectors so that In OECD countries inspectors receive between 125% and businesses don't get cozy with a regular visitor to their 150% of the average manufacturing wage. This ratio can premises. Second, require annual disclosure of income be taken as a guide in developing countries too. If sala- and assets for all employees of the inspectorate. Inspec- ries are lower, inspectors and licensing officials may not tors whose finances reveal unofficial sources of income have enough to provide for their families. Taking bribes can be charged with fraud. Third, set up a hotline to hear would come naturally. But paying more than 150% of the complaints about the work of the inspectorate. Follow average manufacturing wage is unlikely to reduce bribes. up on the complaints and report back, including on any Businesses that knowingly disregard safety rules can actions taken. Cambodia set up such a service in 2006. offer bribes that far exceed an official's salary. Finally, have the national inspectorate conduct random This is the case in rich countries too. In the United checks of the work of local inspectors. This would pro- States the average salary of inspectors at the Occupa- vide more incentive to work by the rules. tional Safety and Health Administration is $60,000. There is one hitch: what if the managers of the li- Surely a business could cover up shoddy construction censing agency and the inspectorate are also corrupt? In by paying a bribe larger than that. Sometimes this does this case penalties for taking bribes need to come from happen--but rarely. What businesses fear are criminal the top of the government. One recent success occurred investigations and prison time. Hotlines, random checks in Georgia in 2004: perceptions of corruption in the road and disclosure of financial information are ways to keep police fell drastically after the new government fired the this fear high and prevent bad behavior. entire management team and all the heads of local units Notes 1. Emporia, Department of Inspections (2006). 2. Bertrand and Kramarz (2002). 3. Data for Sweden are from NNR (2005); those for the United Kingdom, from British Chambers of Commerce (2005); and those for the Netherlands, from the Danish Commerce and Companies Agency. 4. Eritrea, Department of Infrastructural Services (2005). 5. Ladegaard (2005). 18 DoINg BuSINESS 2007 Employing workers In Venezuela workers fear promotion. A recent law pro- labor regulations. Yet in 2006 it made hiring and firing hibits businesses from firing anyone who earns less than even more difficult. A new decree requires employers 1.5 times the minimum wage. Creative employers have to get the permission of workers before firing them. No found a way around this--they promote workers, give workers are being fired as a result, but few new workers them higher wages and then fire them. are hired either. But many small businesses cannot afford this tactic. Employment regulations are designed to protect Ignacia runs a dairy business in Caracas with 20 work- workers from arbitrary, unfair or discriminatory actions ers. A shift in demand toward organic products means by their employers. These regulations--from manda- that she needs only 15. "If I could release 5 workers tory minimum wage, to premiums for overtime work, now, within a year I could purchase new machines and to grounds for dismissal, to severance pay--have been start selling organic food. Then I could expand to serve introduced to remedy apparent market failures. In ad- other customers and hire a dozen new workers. But the dition, the International Labour Organization has es- current law doesn't allow any of this. I am not hiring tablished a set of fundamental principles and rights at anyone." Unemployment in the country is rising. work, including the freedom of association, the right to Bolivia is among the countries with the most rigid collective bargaining, the elimination of forced labor, the abolition of child labor and the elimination of discrimi- FIGURE 4.1 Rigid employment regulation, more informality nation in hiring and work practices. Informal sector (share of GDP) Beyond these regulations and principles, govern- ments struggle to reach the right balance between labor Greater market flexibility and job stability. Most developing countries err on the side of excessive rigidity, to the det- riment of businesses and workers alike. But businesses find ways around rigid employment regulations. The less flexible the regulations, the more businesses hire workers informally, pay them lower wages and avoid Lesser providing health insurance and social benefits (figure 4.1).1 Those whom employment regulation is supposed Easiest Most di cult Countries ranked by ease of employing workers, quintiles to protect are hurt the most. Women are 3 times as likely as men to be hired informally. And where parents fail to Note: Relationships are signi cant at the 1% level and remain signi cant when controlling for income per capita. find decent employment, children often turn up in the Source: Doing Business database, Schneider and Klinglmair (2004). workplace. EMPLoYINg WoRKERS 19 Who is reforming? allowed in a year. The Kyrgyz Republic shortened notice Eight countries made their labor laws more flexible in periods. Armenia eliminated the priority rules for 2005/06. Eastern Europe and Central Asia reformed the dismissal and reduced severance payments. But it also most--4 countries enacted new labor codes and a fifth restricted term contracts to fixed term tasks, reducing introduced amendments to the current law. the flexibility of hiring. With unemployment around 15% and many jobs Labor laws in rich economies, already among the in the informal sector, Georgia undertook the most far- most flexible, continue to evolve (table 4.2). In 2005 reaching reform of labor regulation. A new law eases Australia eliminated restrictions on night and weekend restrictions on the duration of term contracts and the work and strengthened workers' ability to negotiate their number of overtime hours and discards the premium re- own wages with employers. The Australian Industrial quired for overtime work. It also eliminates the require- Relations Commission lost its wage setting powers. ment to notify and get permission from the labor union Greece loosened restrictions on overtime. Introduced 5 to fire a redundant worker. The new law provides for 1 month's severance pay, replacing complex rules under Table 4.2 which required notice periods depended on senior- Who regulates employment the least--and who the most? ity and the manager had to write long explanations to Rigidity of employment index (0­100) labor unions and the Ministry of Labor. Together, these Least Most changes brought Georgia into the top 10 economies on HongKong,China 0 EquatorialGuinea the ease of employing workers (table 4.1). Maldives 0 SãoToméandPrincipe 7 MarshallIslands 0 Tanzania 7 FYR Macedonia followed a similar path. A new Singapore 0 Congo,Rep. 9 labor code extends the maximum duration of term UnitedStates 0 CentralAfricanRepublic 7 contracts from 36 months to 48 and reduces both the Australia Bolivia 7 notice period and the severance pay for dismissal due to Canada Venezuela 7 economic downturns. The law also allows businesses to Jamaica Guinea-Bissau 77 Palau Niger 77 use 150 hours of overtime in a year, at normal wages. NewZealand 7 Congo,Dem.Rep. 78 And it scraps earlier regulations offering numerous perks to trade union leaders, including longer vacations Firing cost(weeksofsalary) and guaranteed wages during strikes. Least Most Other Eastern European and Central Asian coun- MarshallIslands 0 EquatorialGuinea 1 tries also made regulations more flexible. Romania Micronesia 0 Ecuador 1 permitted term contracts to extend up to 6 years. NewZealand 0 Argentina 19 Palau 0 Mozambique 1 Lithuania increased the number of overtime hours PuertoRico 0 Ghana 178 Tonga 0 SriLanka 178 UnitedStates 0 Zambia 178 Table 4.1 Where is it easy to employ workers--and where not? Italy Egypt 18 Romania SierraLeone 9 Easiest Rank Most difficult Rank Australia Zimbabwe MarshallIslands 1 Greece 1 Nonwage labor cost(%ofsalary) UnitedStates Angola 17 Least Most Singapore Niger 18 1,including: CzechRepublic Tonga Paraguay 19 Bangladesh 0 Hungary Maldives Congo,Dem.Rep. 170 Botswana 0 Slovakia Georgia SierraLeone 171 Cambodia 0 Brazil 7 Palau 7 EquatorialGuinea 17 Comoros 0 Belarus 9 Uganda 8 Guinea-Bissau 17 Ethiopia 0 Ukraine 9 Australia 9 Bolivia 17 Lesotho 0 Italy NewZealand 10 SãoToméandPrincipe 17 Maldives 0 China Suriname 0 France 7 Note: Rankings are the average of the country rankings on the difficulty of hiring, rigidity of hours, Tonga 0 Belgium difficulty of firing and cost of firing indices. See the Data notes for details. Source: Doing Business database. Source: Doing Business database. 0 DoINg BuSINESS 2007 years earlier, these restrictions had aimed at encouraging Table 4.3 employers to hire new workers rather than extend the Easier dismissal rules--the most popular reform in 2005/06 hours of existing ones. But this backfired: some com- panies--especially those in the apparel industry, where Decreased mandatory notice period or severance pay Argentina,Georgia,FYRMacedonia demand fluctuates with seasonal fashions--promptly moved their factories to Bulgaria and FYR Macedonia. Reduced work hour restrictions or overtime cost The change was reversed. Australia,Georgia,Greece,Lithuania Not a single African country reformed (table 4.3). Made fixed term contracts more flexible This is despite Africa's having the most rigid labor regu- Romania,Vietnam lations and more than 90% of its workers in informal Removed procedural requirements for redundancy employment. Zimbabwe is one example. Although the Georgia labor law provides for 4 months' severance pay, newly created retrenchment boards, given authority by recent Source: Doing Business database. regulation, have introduced higher payments--up to 3­6 months' salary for each year of service. This means of them a lump sum equal to 4­10 years' salary. Instead, that Tawanda, a restaurant owner who needs to dismiss Tawanda abandons the business and flees to Malawi, 3 workers because of a drop in demand, must pay each leaving the workers with no severance at all. How to reform FIGURE 4.2 Africa makes it hard to employ workers On paper Malawi and Mozambique appear to have Di culty of employing workers stricter worker protections than Sweden and Switzer- land (figure 4.2). Yet labor regulation in Africa and in East Asia & Paci c many other developing countries applies to only a select OECD high income minority, since few workers have formal jobs. In Malawi Latin America 50,000 workers have formal jobs in the private sector & Caribbean --out of a population of 12 million. In Mozambique Middle East & North Africa 350,000 workers are in the formal private sector--in a Eastern Europe & Central Asia country of 20 million people. Others are unemployed or South Asia work informally. They have no legal protections. Sub-Saharan "Labor reforms are among the easiest to introduce... Africa when they go backwards," says Alberto, an entrepreneur MOST FLEXIBLE MOST RIGID from Peru. "Making laws more flexible is the hard part." Source: Doing Business database. More flexible labor rules expand the reach of regulation, by bringing more jobs into the formal economy. But tions to the Czech Republic. When a new government few countries make such reforms. Colombia and several came into power in November 2002, it introduced more OECD countries adopted reforms early in the term of flexibility. Paradoxically, it was the rigidity of the previ- new governments. And countries in Eastern Europe and ous code that made large reform possible. Central Asia simplified labor regulations the most in the In 2001 FYR Macedonia had the highest officially past 4 years. Slovakia was the top reformer in the world recorded unemployment rate in the world, at 37%. Youth in 2003, Serbia in 2004, FYR Macedonia and Romania unemployment stood at 66%. Strict regulations made in 2005. In this period 15 countries in the region carried any dismissals subject to approval by the labor unions. out reforms that made labor laws more flexible. When a new government came into power the following It wasn't always smooth. Reforms took place in the year, labor market regulation was its main priority for face of rapidly rising unemployment, and they some- reform. The reform was driven by the labor minister. An times went awry. In 2001 Slovakia adopted a labor code entrepreneur himself, he reckoned that creating new jobs that made it nearly impossible to fire workers. The aim was possible only if regulations were made more flexible. was to protect existing jobs in formerly state-owned He was right--and 25,000 new jobs were created. enterprises. But employers responded by moving opera- But in developing countries reform is stalled. Half- EMPLoYINg WoRKERS 1 FIGURE 4.3 hearted attempts often lead to more confusion. Take Flexible labor laws, low unemployment in Denmark Malawi. Its Labor Act of 2000 requires employers to pay Unemployment rate (% of total labor force, 2004) both severance and a full pension to every dismissed 12 employee. In February 2004 the labor minister issued Spain an amendment allowing employers to pay either sever- 10 Greece Germany France ance or the pension, whichever is higher. The aim was Finland to reduce the cost for businesses and encourage job 8 Italy Belgium creation. But the amendment was revoked a year later. Sweden Portugal The result: courts overflowing with cases of employees 6 Denmark suing for back severance or pension payments. Other Austria 4 United Kingdom Ireland countries are not even contemplating reforms because critics denounce them as reducing worker protections. 2 This disregards reality--most people work informally, 10 20 30 40 50 60 70 Rigidity of employment index (0­100) beyond the reach of labor laws. Source: Doing Business database, World Bank (2006b). One way to make labor reform in poor countries more palatable: combine it with temporary public works programs that can provide employment for those with- temporarily subsidizing workers who find employment out jobs. These can involve building roads, schools, in private enterprises. Monitoring is then the task of the hospitals--but also constructing irrigation canals for employer, who also provides training and the possibility farmers or planting trees for soil conservation. The first of a permanent job. such program was introduced nearly 200 years ago, in In middle-income countries reformers might intro- 1834, under England's Poor Law Amendment Act.2 More duce unemployment insurance in place of rigid dismissal than 100 countries have used them since, including the rules. This shifts the focus of regulation from protecting United States and much of Europe during the Depres- jobs to protecting workers--by helping them deal with sion of the 1930s. This is where donors can provide sup- moving to new jobs. Reform could start with modest port--to ease the adjustment after reforms. benefits and simple rules. Jordan and Lebanon limit In developing countries public works programs have their severance requirements to 1 month's wages per 4 benefits. First, they may reach everyone--whether pre- year of service. The Chilean reform of 2002 introduced viously in the formal or informal sector. Alternatives savings accounts: the employee pays 0.6% of gross wages such as unemployment insurance or active labor market and the employer pays 2.4%, with two-thirds going to programs extend only to workers who have lost formal an individual account and a third to a common fund. jobs.3 Second, the programs are good at targeting the Severance pay was cut from 30 days to 24 for each year poor, since they can locate in areas of higher unemploy- worked. Unemployed Chilean workers receive benefits ment. In a recent study of 122 poverty reducing pro- for 5 months. The payments are progressively reduced grams, public works programs like Argentina's Trabajar each month, to encourage searching for another job. and India's Maharashtra Employment Guarantee Scheme Among rich countries Denmark has the best exam- rank highest in reaching the needy.4 In Trabajar, a pro- ple of flexible labor regulations, a generous system of un- gram started in Argentina in 1996, 82% of the recipients employment benefits and active labor market programs. of jobs had fallen under the poverty line before enroll- Since its reforms in the mid-1990s Denmark has enjoyed ing.5 Third, such programs require little administrative one of the lowest unemployment rates in the OECD, at capacity, because candidates self-select. And finally, they 4.7%, along with one of the shortest average spells in can provide much-needed infrastructure. unemployment in Europe (figure 4.3). This is the Rolls- Reformers who resort to public works programs Royce of social security programs, requiring enormous should be aware of their main weakness: Public money monitoring capacity. If you have dirt roads, don't try it. can easily be wasted because of corrupt or inefficient A lesson for all reformers--market your goals. management. This is likely even if the program is run by Making labor regulations more flexible is about creating local communities. A recent study of 600 road projects jobs, but the message is often lost in bad marketing. Op- in Indonesia estimates 28% waste when central auditing ponents of flexible employment laws pit business against is not present.6 For this reason many countries introduce workers. It is a simple trick to stall reforms. Rigid regula- such programs in the private sector--for example, by tion indeed benefits a select group of incumbent workers, DoINg BuSINESS 2007 but it shuts out others from a job in the formal sector altogether. And when someone loses a job, it is harder to find a new one. The best protection for workers is to make labor rules flexible so that the economy will have more jobs in the formal sector--and transitions from one job to another are easy. Notes 1. Botero and others (2004). 2. Himmelfarb (1984). 3. Vodopivec (2006). 4. Coady, Grosh and Hoddinott (2004). 5. Subbarao (2003). See also Haddad and Adato (2001). 6. Olken (2005). 23 Registering property Only 1 in 10 properties is officially registered in reformers cut registration time by 23% and cost by 38%. Tanzania. Rashid, a local entrepreneur, explains why: Three of the most difficult countries in which to register "The Lands Registry has archaic files and cannot cope property in 2004--Côte d'Ivoire, Nigeria and Tanzania with the mass of records and transactions. Property titles --were among the top reformers (figure 5.1). are not located in good time, and the whole transfer pro- Still, registering property is much harder than it cess gets inordinately delayed . . . and in many instances need be in many countries. In Uzbekistan an entrepre- the registrars are not available to execute documents." neur must complete 12 procedures, wait 97 days and On average, it takes 10 procedures and 123 days to reg- pay 10.5% of the property value to transfer title. The ister property in Dar es Salaam. The good news is that Maldives does not allow companies to transfer property the process got cheaper in 2005, with the stamp duty at all. In Timor-Leste property cannot be officially trans- lowered from 4% of the property value to 1%. ferred. In the Marshall Islands only one property has Reform is gaining momentum in other countries been registered--and that took 2 years and numerous too. Twenty-four countries made it easier to register disputes. It is one of the world's most difficult countries property in 2005/06--up 50% from the year before. in which to register property (table 5.1). Most reforms made the process cheaper. Six countries The more difficult property registration is, the more sped procedures at the registry. On average, the top 10 assets stay in the informal sector. But informal titles FIGURE 5.1 Top 10 reformers in registering property Table 5.1 Where is registering property easy--and where not? Average improvement Easiest Rank Most difficult Rank 2005 Top 9% reformers NewZealand 1 Uganda 1 2006 Nigeria Armenia Bangladesh 17 23% Greece Lithuania SierraLeone 18 38% Côte d'Ivoire Kyrgyz Republic SaudiArabia Afghanistan 19 Croatia Slovakia Nigeria 170 Armenia Norway Guinea-Bissau 171 Guatemala Sweden 7 Maldives 17 Nicaragua Iceland 8 MarshallIslands 17 Ghana UnitedArabEmirates 9 Micronesia 17 Tanzania UnitedStates 10 Timor-Leste 17 Procedures Time Cost Note: Rankings are the average of the country rankings on the procedures, time and cost to register property. See the Data notes for details. Source: Doing Business database. Source: Doing Business database. DoINg BuSINESS 2007 cannot be used as security in obtaining loans. And with- up to 47% higher investment when properties are for- out formal title, property values are lower and property mally registered.2 Research in Peru documented a 60% owners invest less.1 A recent study in Argentina found increase.3 Who is reforming? reform, to 182,000 francs in May 2006. Still, much remains to be done in Africa. With the In 2004 transferring title in Nigeria required 21 proce- share of properties formally registered across the con- dures, 274 days and 27% of the property value in fees. tinent estimated at only 2%, few people benefit from The biggest bottleneck was the requirement to obtain administrative improvements. Expanding the coverage consent from the governor of Lagos for any property of registration requires properties to be included in the transfer, a relic from military rule that cost 6 months land cadastre in the first place. and 10% of the property value. Bribery was rampant and In Latin America, El Salvador digitized and re- many transactions occurred informally. structured its registry--reducing delays by 19 days. Reforms began after a new governor was elected. It Guatemala cut time in half after simplifying registration took 3 years to see results. The registry digitized most of procedures and hiring more staff. Brazilian entrepre- its records, trained staff and started periodic evaluations neurs can now obtain online clearance from the workers of the speed of registrations. Five fees were consolidated fund and the tax authority to sell property. Nicaragua cut into one, and requirements to obtain tax clearances and the transfer tax to 1% of the property value. inspections were eliminated. Fee schedules and docu- Eastern Europe and Central Asia continued to mentation requirements were published in the media. reform. Croatia reduced delays by 18 months and the The time to register property fell from 274 days to 80 backlog of unissued titles by 36% by computerizing the (figure 5.2). Registrations jumped by 90%, though from registry and making the process administrative (previ- a small base. The next step is to eliminate the require- ously a judge was also involved). Romania gave nota- ment for the governor's consent. ries electronic access to the registry, reducing time by Eleven other African countries also improved prop- 20 days. Bosnia and Herzegovina lowered the transfer erty registration in 2005/06, making Africa the fastest- tax by 1% of the property value. And in Armenia new reforming region (figure 5.3). The Central African Re- regulation allows entrepreneurs to pay the stamp duty public, Ghana, Mauritania, Mauritius, Seychelles and directly to the notary, rather than making an extra trip Tanzania lowered taxes and fees, cutting overall costs by to the bank. a third on average. Administrative improvements at reg- Rich countries expanded their use of the Internet in istries reduced the time to obtain titles in Botswana and property registrations. Germany now allows online ap- Mali. As a result Mali saw monthly revenue on land sales plications for titles. In Portugal entrepreneurs can obtain triple--from 67,000 francs in August 2005, just after the tax clearances online. And a new law in Spain requires FIGURE 5.2 FIGURE 5.3 Registering property in Nigeria--faster African countries made registering property easier Time to register property (days) Number of reforms in 2005/06 Sub-Saharan 2005 Africa 250 12 Botswana 200 Central African Republic Time cut from Côte d'Ivoire 150 274 days to 80 Ghana Eastern Mali 100 2006 Latin Europe & Mauritania OECD America & Central Asia Mauritius 4 50 Procedures cut Middle East high income Caribbean Nigeria from 21 to 16 & North Africa 3 3 Armenia Seychelles 2 Bosnia and South Africa 0 Australia El Salvador Herzegovina 1 Procedures 21 Kuwait Greece Guatemala Croatia Swaziland Morocco Spain Nicaragua Kyrgyz Rep. Tanzania Source: Doing Business database. Source: Doing Business database. REgISTERINg PRoPERTY notaries to use online procedures; as a result delays have Table 5.2 Lower cost to register--the most popular reform in 2005/06 dropped by more than 30%. Some countries cut costs. Greece slashed the transfer tax from 10% of the property Decreased taxes or fees value to 1%, while Australia abolished its 2.25% vendor Australia,BosniaandHerzegovina,CentralAfricanRepublic,Ghana, duty (table 5.2). Greece,KyrgyzRepublic,Mauritania,Mauritius,Morocco,Nicaragua, Nigeria,Seychelles,SouthAfrica,Tanzania In the Middle East and North Africa, Kuwait and the United Arab Emirates introduced new technolo- Sped procedures in the registry Botswana,Croatia,ElSalvador,Kuwait,Mali,Nigeria gies in their registries and trained staff in managing workflow, cutting delays by 33% and 27%, respectively. Computerized the registry, made online procedures possible Morocco halved its transfer fee. Croatia,ElSalvador,Guatemala,Spain Four countries made registering property more Combined and eliminated procedures difficult. Venezuela introduced additional clearances, Armenia,Côted'Ivoire,Nigeria adding procedures and delays. Togo now requires docu- mentation to prove nationality, adding a month to an Source: Doing Business database. already grueling 7-month process. To reduce corruption at the registry, Uganda requires all payments to be made FYR Macedonia property owners must now pay taxes at at a bank instead--and is now among the 10 countries the municipality rather than the revenue office, adding with the largest number of procedures (table 5.3). In 30 days of delay. How to reform fueling corruption. "My title came back with 18 signatures of approval on it, and I had to pay almost as many people It is easier to register property in New Zealand than to make sure I got it," said a Gambian entrepreneur. anywhere else in the world. The entire process can be Another simple reform is to cut costs. Reform oppo- completed in 2 online procedures at a cost of 0.1% of the nents argue that high fees and transfer taxes are needed property value. Lawyers certify land transfer documents to meet government revenue targets. Yet cutting costs for their clients and submit them electronically for regis- often increases revenues, as shown by reforms in India tration. Confirmation is returned within minutes. and Mali.5 High costs encourage informal transactions It wasn't always that way. In 1995 the registry's and underreporting of property values. Governments paper records required 30 kilometers of shelving and lose revenue, and property owners lose security of title. were growing by 1 kilometer a year. The reform started With costs amounting to more than 10% of the property shortly after with the merger of the land titling office value in 42 poor countries, titling programs have little and the Department of Lands and Survey Information. chance of success. As soon as a newly titled property Title certificates were digitized between 1997 and 2002, changes hands, it quickly slips back to informal status. at a cost of $90 million. In 2002 the Land Transfer Act, The desire to formalize land titles is what motivated then 50 years old, was amended to allow online titling. Georgia to reform. Like other former Soviet Union Use is still not universal: by the end of 2005 about half of states, Georgia struggled in the transition from govern- formal land transactions were fully electronic. A new law ment ownership of land. The post-Soviet government mandates that all transactions be handled electronically created a department of land management, tasked with by July 2008.4 reforming the land cadastre and property registration. It The easiest way to follow New Zealand's lead--even took 6 years to produce a proposal. Several study visits to without the large and time-consuming investment in the best-functioning property registries around Europe technology--is to cut unnecessary procedures. Côte provided ideas. But the proposal was promptly shelved d'Ivoire is one example. A requirement to obtain the by (then) President Eduard Shevardnadze, on grounds urban minister's consent for every property transaction that state interests were insufficiently protected. resulted in year-long delays. In 2005 a reformist minister Enter a new government--with reform of land eliminated the requirement, slashing the time required to administration as part of its election platform. In just 4 obtain title from 397 days to 32. Several other countries months, between February and June 2004, a new land have similar consent requirements (figure 5.4). They law was passed and a new registry established. Both were serve no purpose other than delaying registration and based on the previously shelved proposal. Procedures DoINg BuSINESS 2007 Table 5.3 Who regulates property registration the least--and who the most? Procedures (number) Time (days) Cost (%ofpropertyvalue) Fewest Most Least Most Least Most Norway 1 Afghanistan 11 Norway 1 Bosnia & Herzegovina 1 Bhutan 0.0 Burundi 17.9 Sweden 1 Swaziland 11 NewZealand Angola SaudiArabia 0.0 Senegal 18.1 Netherlands Eritrea 1 Sweden Gambia 71 Kiribati 0.1 Cameroon 18.7 NewZealand Greece 1 Thailand Rwanda 71 Slovakia 0.1 Mali 0.7 Oman Uzbekistan 1 Lithuania Ghana 8 NewZealand 0.1 Comoros 0.8 Thailand Ethiopia 1 Armenia Slovenia 91 Belarus 0.1 Nigeria 1. UnitedKingdom Uganda 1 Iceland Croatia 99 Azerbaijan 0. Chad 1. Vanuatu Brazil 1 SaudiArabia Bangladesh Russia 0. Zimbabwe .0 Iceland Algeria 1 Netherlands Kiribati 1 Switzerland 0. Congo,Rep. 7. Singapore Nigeria 1 Taiwan,China Haiti 8 Palau 0. Syria 7.9 Source: Doing Business database. were simplified and the transfer tax eliminated. The time the 60 peasant uprisings in the preceding 2 centuries--in to register fell from 39 days to 9. Germany alone. These days, fights between landowners Reducing corruption was also a priority in the (including the state) and informal squatters continue to Georgian reforms. To attract capable staff, salaries were dominate the news in some African and Latin American increased 20-fold. A bonus scheme was introduced, countries. enabling staff to double their pay if their unit outper- Honduras is one example of reform motivated by formed others on growth in registrations and customer the many land disputes that arose because of lack of satisfaction. An extensive recruitment campaign ensured formal titles. Before the reforms an estimated 70% of that qualified candidates came forward. By the end of the 2.6 million properties were not legally registered. 2004 the registry was operational. The registry and the In 2003 the government presented its plans to trans- Ministry of Justice then led a public information cam- form the system. In 2004 a new property law created an paign to encourage owners to register their property administrative registry outside the judiciary, which was (figure 5.5). In January 2005, just after the new regis- considered corrupt and inefficient. Once the agency try was established, 519 properties were registered in started work, cadastral data were integrated with prop- Tbilisi. By December registrations topped 11,000. The erty information. Between 2004 and 2005 the number of fees allow the registry to be self-financed and to invest new titles increased by 160%. in new technology. Whatever the motivation for reform, the social Peru's reform was motivated by the government's problem it addresses is clear: without the ability to determination to give equal opportunity to women and FIGURE 5.4 poor people to own land. The reforms ran from 1999 to Obtaining government consent--a big bottleneck 2004--based on earlier pilots in 1992­93--with the goal Time to register property (days) of increasing access to formal titles among the urban Time to poor. A new registry was established, along with a new obtain approval cadastre. The new agency replaced 14 others that had Gabon 21 60 -- Total time previously dealt with registration. The time to formal- Papua ize a title went from 6 years to 1 month. More than 1.3 New Guinea 35 72 million titles were issued, two-thirds of them to women. Nigeria 66 80 Most people who received formal title now also found Lesotho 75 101 jobs outside the home. Before, an adult had to stay at Malawi 90 118 home and guard the property against intruders. Children often ended up with informal jobs to help their family.6 Gambia 365 371 Disputes over landownership often end up in revolts. Bangladesh 60 425 Many people know about Thomas Muentzer's peasant Source: Doing Business database. uprising in 1525 and its bloody end. But few know about REgISTERINg PRoPERTY 7 FIGURE 5.5 How Georgia reformed property registration 2004 2005 2005 JAN · · · · · · · · · · · JAN · · · · · · · · · · DEC 1. President Saakashvili comes to power on reform platform 2. Gov't adopts law to move SDLM to Ministry of Justice Liquidation of SDLM begins 3. Gov't adopts law centering land administration in NAPR 4. NAPR begins physical operations 5. SDLM records transferred to NAPR Changes in leadership at Ministry of Justice and NAPR delay sta recruitment for 8 months 6. Bureaus of Technical Inventory closed, records go to NAPR 7. NAPR recruits sta , SDLM employees reapply for jobs 8. Gov't adopts law to set time limits and fees on registration Time and cost to register decrease 9. Gov't adopts law to clarify procedures and documents 10. Extensive publicity campaigns at each step of reorganization Note: SDLM is the Georgian State Department for Land Management, and NAPR the National Agency of Public Registry. Source: Doing Business database. legally own land, some people are denied opportunities registration requirements goes a long way toward re- that others have. This is not based on their ability or ducing inequality in economic opportunities. It is what willingness to work, but on antiquated and often corrupt many urban and rural poor people need. Governments government policies. Reforming land laws and related would be wise to oblige. Notes 1. Deininger (2003). 2. Galiani and Schargrodsky (2006). 3. Field (2005). 4. Burns (2005). 5. Data for India are from the Maharashtra Ministry of Finance; those for Mali, from Direction Nationale des Domeines et du Cadastre in Bamako. 6. Field (2003). 8 DoINg BuSINESS 2007 Getting credit Governments often come up with strange ways to increase A more effective way to improve access to credit is access to finance for small businesses. "In my country to increase information about potential borrowers' credit- access-to-credit programs only improve access for those worthiness and make it easy to create and enforce collateral who run them," says a businesswoman from Cambodia. agreements. Twenty-six countries made such reforms in Regulations in Benin, India and Syria cap the interest 2005/06. Sixteen established or upgraded credit regis- rates that banks can charge. And laws in Bolivia, Mali tries to give lenders better information on borrower risk. and the United Arab Emirates exempt real estate and Nine reformed collateral laws, allowing businesses to use business equipment from seizure as collateral to cover a more types of assets as collateral and creditors to enforce bad debt, giving bankers few incentives to lend. claims faster and cheaper--often without resorting to The rationale for such arrangements is that bor- the courts. France introduced both types of reforms. rowers need protection. But high-risk borrowers--most Lenders look at the borrower's credit history and start-ups and small firms--will not get loans when collateral when extending loans. Where credit registries interest rates are capped or collateral enforcement is and effective collateral laws are lacking--as in most poor restricted. If borrower protections are too strong, banks countries--banks make fewer loans (figure 6.1). Credit will invest their money in government securities or lend to the private sector averages 14% of national income to large businesses with which they do repeat business. in the 10 economies ranking at the bottom on how well FIGURE 6.1 Stronger legal rights, more information sharing--more credit Private credit as a share of GDP Private credit as a share of GDP More More Less Less Lower Higher Lower Higher Countries ranked by strength of legal rights index, quintiles Countries ranked by depth of credit information index, quintiles Note: Relationships are signi cant at the 5% level and remain signi cant when controlling for income per capita. Source: Doing Business database, IMF International Financial Statistics database (2006). gET TINg CREDIT 9 collateral laws and credit registries facilitate credit Table 6.1 markets (table 6.1). In the top 10, credit tops 120% of Where is getting credit easy--and where not? national income. Easiest Rank Most difficult Rank Improving credit information and laws to create and enforce collateral--both in and out of bankruptcy--is UnitedKingdom 1 Comoros 1 HongKong,China Congo,Dem.Rep. 17 not just about strengthening the rights of creditors. It Australia Egypt 18 benefits deserving borrowers just as much, by increasing Germany Eritrea 19 their chances of getting credit.1 And it boosts productiv- Malaysia Guyana 170 ity and growth, by shifting capital to the best business NewZealand Rwanda 171 ventures. The gains are large. In Bangladesh nearly half Ireland 7 Timor-Leste 17 the poor people who received credit escaped poverty, but Canada 8 LaoPDR 17 Singapore 9 Afghanistan 17 only 4% of those without credit did.2 Some of the effect UnitedStates 10 Cambodia 17 may be due to differences in education and landowner- Note: Rankings are based on the sum of the strength of legal rights index and the depth of ship, but a large role remains for improving access to credit information index. See the Data notes for details. finance for creditworthy entrepreneurs. Source: Doing Business database. Good collateral laws also keep bank portfolios healthy. In countries where few types of assets can be larger than business credit, at $2 billion. The advantage used as collateral or the cost of creating collateral is high, of consumer loans is that borrowers do not have to entrepreneurs resort to consumer loans. In Mexico, for pledge assets to get the money. The problem with these example, consumer loans are now growing 8 times as loans is that if the economy slows, many will turn bad fast as business loans. The stock of consumer lending and banks will have nothing to cover their losses. exceeds $25 billion. In Peru consumer credit is now Who is reforming? consumer consent for giving data to credit bureaus and implemented a new data verification procedure so that France was the top reformer in 2005/06, with improve- borrowers can check their credit histories. El Salvador's ments in both collateral laws and credit information. A new consumer protection law also guarantees consum- new collateral law unified regulations, allowed enforce- ers access to their credit data (figure 6.3). Financial ment of collateral out of court and set up a unified regis- institutions in Costa Rica are now required to consult try of movable property, to open in 2007. Businesses can the credit bureau before granting loans. A new law in now pledge all types of assets as collateral--present and Honduras makes credit data available for 5 years. The future. Reforms in the public registry expanded coverage credit bureau law in Ecuador makes data available for 6 to 1 million new businesses by lowering the minimum loan cutoff from 76,000 to 25,000. Table 6.2 Another 16 countries reformed their credit infor- Who has the most credit information--and who the least? mation systems in 2005/06. New private credit bureaus Borrowerscoveredasashareofadults launched in Bulgaria, Georgia, Kazakhstan and Nica- Most (%) Least (%) ragua. Mauritius--the sole reformer in Africa--set up Argentina 100 Chad 0.18 a public credit registry. New consumer credit bureaus Australia 100 Algeria 0.1 opened in China and Israel, with Israel's among the top Canada 100 Ethiopia 0.1 10 in coverage (table 6.2). The Czech Republic established Iceland 100 Nepal 0.1 a private credit bureau for nonbank institutions (such as Ireland 100 Kenya 0.1 trade creditors and utility companies) and linked it with Israel 100 Burundi 0.1 the bank bureau. Thailand's 2 national credit bureaus NewZealand 100 Yemen 0.08 Norway 100 Nigeria 0.0 merged. And competition in Mexico's credit information Sweden 100 Georgia 0.0 market intensified as a third bureau opened. UnitedStates 100 Guinea 0.0 The biggest trend in credit-related reforms was Note: The rankings reflected in the table include only countries with public or private credit updating credit information laws, especially in Latin registries (122 in total). Another 53 countries have no credit registry and therefore no coverage. America (figure 6.2). The Dominican Republic abolished Source: Doing Business database. 0 DoINg BuSINESS 2007 FIGURE 6.2 FIGURE 6.3 Most reforms were in Eastern Europe and Latin America Expanding credit information Share of positive reforms Depth of credit information index (0­6) 2005 2006 Sub-Saharan Dominican Republic Africa El Salvador South Asia Middle East & North Africa Honduras Nicaragua Eastern Europe & OECD Thailand Central Asia high income Kazakhstan Bulgaria China East Asia Georgia & Paci c Algeria Latin America Mauritius & Caribbean 0 1 2 3 4 5 6 Source: Doing Business database. Source: Doing Business database. years; in Lithuania, for 7 years; in Poland, for 5. France, Germany, Italy and Portugal also expanded the Governments in the Middle East and North Africa amount of data available in credit reports. Hungary and increased their support for the establishment of private Italy moved in the other direction, restricting the range credit bureaus. Egypt's central bank revised the banking of data providers to the registry. secrecy law to allow the opening of the country's first Indonesia and Pakistan now record all loans in private bureau. Kuwait's central bank stopped circulat- their credit registries, expanding coverage of borrowers ing to large banks the list of loans in default, doubling by 5 and 18 times, respectively. Previously, both had a the number of inquiries to the private bureau. Algeria high minimum loan threshold for coverage. Uruguay created a registry on unpaid debt that can be accessed by also reduced its minimum loan threshold, increasing private businesses. coverage of borrowers by 5%. Several economies broadened the scope of credit re- Ten countries made it easier to create and enforce ports (table 6.3). The Dominican Republic, Hong Kong collateral. Peru went the furthest, allowing businesses to (China) and Romania now offer more information on use more types of assets as collateral and to enforce such outstanding loans and on-time payments. Australia, the collateral outside the courts. This reform faced opposi- Dominican Republic, Honduras and Portugal allowed tion from notaries, but the government persevered. As a bureaus to use public sources of credit information, such result the time and cost to enforce a collateral agreement as court files. Public credit registries in Austria, Belgium, are expected to fall by three-quarters. Several other countries also expanded the range Table 6.3 of assets that can be used as collateral. Denmark in- More credit information--the most popular reform in 2005/06 troduced a floating charge, allowing businesses to use a changing pool of assets as collateral. Now there is no Introduced or revised law for credit bureaus Algeria,DominicanRepublic,ElSalvador,Honduras,Nicaragua,Panama, need to amend the agreement every time assets enter Romania,Thailand,Uruguay or leave the pool. Under the old rules businesses had Established new credit registry to continually revise collateral agreements to reflect the Bulgaria,China,CzechRepublic,Georgia,Israel,Kazakhstan,Mauritius,Nicaragua day's inventory. The reforms moved Denmark into the Made enforcement of collateral out of court possible top 10 on strength of legal rights. Armenia,France,India,KyrgyzRepublic,Peru,Serbia Making out-of-court enforcement possible was the Expanded set of information collected in the credit registry most popular reform to collateral laws, as in the Kyrgyz Algeria,France,Romania,Thailand,Uruguay Republic and Serbia. Armenia encouraged enforcement Established collateral registry out of court by removing the requirement that agree- Azerbaijan,France,Japan,LaoPDR,Peru ments to use this procedure be made only after debtors Expanded the range of assets that can be used as collateral default. India's supreme court upheld the right of banks Denmark,France,LaoPDR,Peru to take possession of collateral without court involve- Source: Doing Business database. ment. A simple notice to the debtor is now sufficient to gET TINg CREDIT 1 obtain payment in at least half of defaults. The reform Table 6.4 also introduced time limits on initial judgments and Who has the most legal rights for borrowers and lenders-- and who the least? appeals in collateral enforcement cases. Strengthoflegalrightsindex(0­10) Three countries made getting credit more difficult. Most Least In 2004 Belarus allowed creditors to enforce collateral HongKong,China 10 Belarus agreements out of court. But a new law passed in 2005 UnitedKingdom 10 Burundi makes such enforcement impossible and also restricts Albania 9 China who can pledge collateral--placing Belarus among the Australia 9 EquatorialGuinea bottom 10 countries on legal rights for borrowers and NewZealand 9 LaoPDR lenders (table 6.4). Burundi stopped giving out informa- Singapore 9 Madagascar Slovakia 9 Egypt 1 tion on outstanding loans, though a new database on Denmark 8 Rwanda 1 loan defaults is still running. And Venezuela halted the Ireland 8 Afghanistan 0 sharing of credit data altogether. Malaysia 8 Cambodia 0 Note: See the Data notes for details on the index. Source: Doing Business database. How to reform the new instruments are now widely used. In Panama An ambitious reformer would allow a broad range of initial proposals to reform the credit information law assets to be used as collateral and a broad range of loans included a requirement to erase a record of defaults as and types of information to be provided to the credit soon as the debts are repaid. Later consultations with registry. That may sound like a lot to ask, but Slovakia lenders, the private credit bureau and consumer groups did it. As part of its reform in 2002, Slovakia permitted eliminated that requirement and led to a law that permits borrowers to use all movable assets as collateral--pres- broad sharing of information and strong consumer rights ent and future, tangible and intangible. Since then more (figure 6.4). than 70% of new business credit has been secured by For those with no appetite for pushing laws through movables and receivables. And the Banking Act is now parliament, much can be done with administrative re- being amended to make rules on submitting data to the forms. A place to start is to unify credit registries across credit registry more flexible. types of loans and unify collateral registries geographi- Some countries go halfway and get little out of it. In cally and across types of assets. France is doing just that. 1997 Panama introduced a floating charge over an entire Until 2005 France operated local collateral registries business, but only for assets located outside the country. that specialized in pledges over shares, bank accounts, And enforcement remains a long and costly court pro- receivables or equipment. If a creditor in Paris needed to cess. Paraguay allows borrowers to pledge inventory, but check information on a borrower from Lyon, a trip was only if it consists of mining or industrial products--and required. With recent reforms, this is changing. each item must be listed individually. Micronesia intro- Other rich countries also need reform: Austria, Ger- duced a new collateral law last year--but it still lacks a many and Switzerland lack unified collateral registries. functioning collateral registry, so the law has no effect on Another 32 countries require multiple registrations, in- lending. Brazil's laws on credit information give borrow- cluding Cameroon, Colombia and Ecuador. The solution: ers the right to inspect their data, but they still restrict create a unified registry of movable property charges in- the sharing of positive information on repayments and dexed by the names of the debtors. In 2005 Peru passed outstanding loans. legislation that will result in a unified registry of movable Legal reforms work best when lenders contribute property, while Azerbaijan introduced a unified regis- to the drafting. Lawyers may miss what matters to try of charges over immovable property. Spain unified business. In Mexico, for example, the 2000 reforms in- its registries in 1998. Eastern European countries-- troduced two new types of collateral, but banks didn't Bulgaria, Hungary, Moldova, Romania--have led the use them because recovery was limited to the value of way in such reforms. The most efficient registries do not the collateral (and not the value of the loan). Banks require legal review or authentication of filings, which successfully lobbied to remove the legal constraint, and stalls the registration process. DoINg BuSINESS 2007 FIGURE 6.4 How Panama reformed the credit information law 2005 2006 2006 MARCH · · · · · · · · · JAN · · · MAY 1. Industry assessment of credit market shows need for reform Proposal would delete data as soon as defaults are settled. Credit bureau jumps in to steer reform in right direction 2. Legislator submits draft bill on new credit information law Sponsoring legislator elected president of assembly's commerce commission 3. Credit bureau works with legislator to re ne proposal 4. New draft bill submitted to national assembly Broad media coverage of credit conference the day before legislative debate 5. Consulting sessions with banks and ministries Presentation by international credit bureau wins support among stakeholders 6. Supporters lobby and educate legislators during recess National assembly approves 7. National assembly resumes and approves law law after 2 debates 8. Law 14 of May 18, 2006, published and promulgated 94 press releases issued; 80% of radio stations cover the reform; educational booths set up in malls Source: Doing Business database. Unifying credit information registries across types crease access to credit. There are enough failed subsidy of loans is a similar task. This is easily done in public schemes around to show otherwise. Before being closed credit registries running separate databases for out- in 2005, Mexico's Banrural, which subsidized loans for standing loans, loan defaults and checks, as in Algeria, farmers, lost $20 million a month. Every dollar of loans Burundi and the West African Monetary Union. Mo- cost 30 cents to process, and more than 45% of loans rocco is a recent reformer: its banking law allows the were nonperforming. Worse, the continued subsidies merger of databases and even the outsourcing of their kept out sound lending from private banks. management to private contractors. Lebanon is in the Problems with access to credit usually lie in a lack of process of merging separate databases. credit information and weak collateral laws. Reformers And a warning: don't think that subsidies will in- may address those first. Notes 1. Djankov, McLiesh and Shleifer (forthcoming). 2. Grameen Bank (2004). 33 Protecting investors Aisha Al Hamra is the owner of a food processing busi- small shareholders. As a result local investors are more ness in Dar es Salaam, Tanzania. She needs $8 million likely to hand over their money. to buy trucks and warehouse equipment. A bank loan Financial markets can prosper where laws regulate would charge 20% annual interest and require $15 mil- self-dealing--the use of corporate assets for personal lion in collateral--which Aisha doesn't have. A better gain--and punish looting by corporate insiders. Both choice would be to sell shares in her company to local extensive disclosure requirements and court access for investors, eliminating the need for collateral and giving investors are associated with larger stock markets (figure her cash to buy the trucks. But first she must convince 7.1).1 Where laws fail to stop self-dealing, ownership those investors that she won't run off with their money. concentration is higher because having a majority stake Regulations can help Aisha by requiring companies is the only way to prevent being cheated. to report on their operations and allowing investors to New Zealand tops the Doing Business investor pro- vet managers' decisions that involve large amounts of tection ranking again this year, scoring 29 of 30 possible money. Tanzania revised its Companies Act in 2005--for points (table 7.1). Singapore comes in second. Protecting the first time since 1929--to give investors greater investors against self-dealing is just one corporate gover- protections. The new law requires better disclosure of nance issue, but it is the most important one in developing company activities and codifies directors' duties toward countries. Most other issues in investor protection--such FIGURE 7.1 Better investor protection--more listed rms and higher market capitalization Number of listed rms Market capitalization to GDP Higher Higher Lower Lower Weakest Strongest Weakest Strongest Countries ranked by strength of investor protection index, quintiles Countries ranked by strength of investor protection index, quintiles Note: Relationships are signi cant at the 5% level and remain signi cant when controlling for income per capita. Higher values on the strength of investor protection index indicate greater protection. See the Data notes for details. Source: Doing Business database, World Bank (2006b). DoINg BuSINESS 2007 FIGURE 7.2 Table 7.1 Where are investors protected, and where not? Rich countries protect investors the most Most protected Rank Least protected Rank Strength of investor protection index (0­10) NewZealand 1 Albania 1 OECD high income 6.0 Singapore Gambia 1 East Asia 5.3 HongKong,China Rwanda 1 & Paci c Malaysia Venezuela 17 South Asia 5.0 Canada Djibouti 18 Latin America & Caribbean 5.0 Ireland Swaziland 19 Eastern Europe Israel 7 LaoPDR 170 & Central Asia 4.8 UnitedStates 8 Vietnam 171 Middle East & North Africa 4.3 UnitedKingdom 9 Tajikistan 17 Sub-Saharan 4.0 SouthAfrica 10 Afghanistan 17 Africa Note: Rankings are on the strength of investor protection index. Two countries are missing 4 5 6 data. See the Data notes for details. Note: Higher values indicate greater investor protection. See the Data notes for details. Source: Doing Business database. Source: Doing Business database. as writing management contracts that provide incentives Developing countries rely more on public regulators for optimal investment decisions--arise in rich countries. than private lawsuits to enforce investor rights. This is Management of state-owned enterprises, another problem because court rules are often lacking and investors don't not discussed here, arises mostly in developing countries. bother using them. For example, Cambodia's laws offer Across the sample, rich countries provide more investors multiple avenues of redress against company protection against self-dealing (figure 7.2). They have directors, but no access to company documents to help stronger disclosure requirements for related-party trans- prove their cases. Public enforcement is also deficient, actions--those between a director or controlling share- though investors may have at least some chance to holder and the company, like the example considered protect their money. Often government inspectors can by Doing Business. And investors can rely on private obtain files--from tax offices, banks or business partners enforcement--hiring lawyers and going to court--to --that private lawyers cannot. protect their money. Who is reforming? external experts. And in case greater disclosure fails Fifteen economies reformed their investor protections to prevent abuse, the law increases criminal penalties in 2005/06 (table 7.2). Both rich and poor economies against directors. Mexico's ranking on the Doing Business reformed, benefiting investors in every region. strength of investor protection index leapt 92 places after Mexico was the top reformer in investor protections the reform, from 125 to 33. in 2005/06. "We had a saying: rich businessmen, poor Other reformers made company finances more companies," says one investor. Indeed, corporate insid- transparent. Tunisian lawmakers required companies ers could--and did--run companies as they pleased. A to open their books to shareholders, providing access new securities law changed that. The law defines for the to financial statements and prohibiting company loans first time the duties of company directors, combining an to directors, managers and their families. New amend- obligation to "take care of the business as if it were your ments also require auditors to immediately inform the own" with a specific list of activities that violate that stock exchange regulator about any transaction that duty. This approach eliminates loopholes in the previous may hurt the interests of investors. Tunisia passed these regulations and gives a guide for judges with its specific provisions as part of its bid to complete an association bans on corporate misbehavior. agreement with the European Union. The Mexican law also increases scrutiny of related- China also improved investor protections against party transactions. It requires full disclosure before any related-party transactions. Amendments to the Company deal benefiting a company insider can occur. In addi- Act obligate companies with multiple owners to get ap- tion, management must obtain a fairness opinion from proval for such transactions from the various sharehold- PRoTECTINg INVESToRS Table 7.2 Greater disclosure--the most popular reform in 2005/06 on the extent of director liability index. This imbalance unnerves investors--especially foreign ones, who are Increased disclosure requirements used to challenging improper behavior in the courts. Mexico,Peru,Poland,Romania,Sweden,UnitedKingdom Several countries in Europe aligned their regulations Made it easier to sue directors with EU directives. Poland, for example, replaced its se- Germany,India,Mexico,Tanzania curities law with 4 new acts that more closely track EU Opened company books for shareholder inspection regulations. Among other things, shareholders holding China,HongKong(China),Tunisia 5% of a company's shares can now ask external auditors Regulated approval of related-party transactions to investigate suspicious business activities. Poland also Israel,NewZealand simplified its stock market listing requirements. In re- Centralized financial market regulation in one agency sponse, 27 new companies listed in 2005, infusing more Colombia than $1.5 billion in new capital into the Polish market.2 Source: Doing Business database. In comparison, only 3 new companies listed in 2004-- for $212 million. Germany dropped its shareholding ers. (Stock exchange rules already required this for listed requirement for bringing derivative suits from 10% to companies.) Yet more remains to be done: investors who 1%. And the Czech Republic--adopting the EU takeover vote against a transaction cannot later sue for the damage directive--introduced regulatory review of share offers it may cause. As a result China has a perfect score on the where majority owners buy out small investors at preset extent of disclosure index, but scores only 1 of 10 points prices (otherwise known as "squeeze-outs"). How to reform with its enforcement agencies. Reformers transferred su- Financial crises allow governments to address regulatory pervision of listed companies from the Ministry of Com- problems ignored in good times. After the stock market merce to an independent Securities and Exchange Com- crash of 1929, investors rewarded reforms of U.S. securi- mission. Specialized bankruptcy courts were established ties markets with years of growth. "There was a consensus to expedite the resolution of financial distress. That was that for the economy to recover, the public's faith in the followed by new company and securities regulations.4 capital markets needed to be restored," states the country's An institute of directors was created to train company Securities and Exchange Commission.3 Reform increased directors on their role and responsibilities. The market the potential liability of company directors, which is still rebounded quickly. among the highest in the world (table 7.3). Thailand didn't stop there. Reform continues with Thailand responded to the 1997 financial crisis with stronger incentives--including tax breaks and favorable several regulatory and institutional reforms, starting publicity--for companies with better investor protections.5 Table 7.3 Who protects investors the most--and who the least? Extent of disclosure Extent of director liability Ease of shareholder suits Most Least Most Least Easiest Most difficult Bulgaria Afghanistan Cambodia Swaziland Kenya Afghanistan China Albania Canada Timor-Leste NewZealand Cambodia France Guinea-Bissau Israel Zimbabwe Colombia Croatia HongKong,China LaoPDR Malaysia Afghanistan HongKong,China Syria Ireland Maldives NewZealand Dominican Republic Ireland Guyana Malaysia Micronesia Singapore MarshallIslands Israel Morocco NewZealand Palau Trinidad and Tobago Micronesia Mauritius Rwanda Singapore Sudan UnitedStates Palau Poland SaudiArabia Thailand Switzerland HongKong,China Tajikistan Singapore Djibouti UnitedKingdom Tajikistan SouthAfrica Vietnam UnitedStates Iran Source: Doing Business database. DoINg BuSINESS 2007 FIGURE 7.3 How Mexico reformed investor protections 2003 2004 2005 2005 · · · JAN · · · · · · · · · · · JAN · · · · · · · · · · · · JAN · · · · · · · · · · DEC 1. Min. of Finance and securities regulator (CNBV) create reform team Enron scandal in the U.S. provides political opportunity for reform 2. Reform team drafts new securities law 3. Internal discussions within Min. of Finance and CNBV to nalize draft law 6-person team is shielded from 1st draft distributed during summer congressional break 4. Private sector representatives review proposed law internal politics while drafting 5. Reform team and private sector lawyers meet weekly to revise law 2nd draft distributed at Christmas congressional break 6. Second version of proposed law distributed, debated 7. Government presents draft law to congress 8. Supporters lobby for passage Finance minister speaks out against amendments that would dilute the new regulations. 9. Congress debates and passes law Amendments fail. 10. 150+ meetings with accountants, regulators and lawyers to discuss reforms Source: Doing Business database. Not every country uses such opportunities well. evening for 5 months," said one reformer. "The lawyers Lack of enforcement powers was the main weakness that helped us write a law that met our goals and was work- surfaced in Malaysia after the 1997 crisis. Yet 5 govern- able for the private sector. By the end, the lawyers were ment agencies still regulate the capital market: the secu- using `we' when discussing the law: `we intended this,' or rities commission, central bank, companies commission, `we used this language because....'" foreign investment committee and the Ministry of Trade A second factor for success was giving legislators and Industry. This setup creates confusion about who time to get familiar with the likely benefits of the new is supposed to do what. The result? Regulators aren't law. Reformers educated legislators during congressional aggressive about addressing potential violations, and a holidays, giving them months to debate the new ideas perception lingers that they aren't enforcing the law.6 (figure 7.3). It shouldn't take a financial crisis to improve inves- Colombia provides another example of learning tor protections. Governments lacking corporate scandals from others. Reformers there recently consolidated reg- in their countries can draw on problems elsewhere to ulatory powers into a single and more powerful agency, catalyze reform. The Enron and Parmalat scandals trig- inspired by reforms in Japan and the United Kingdom. gered regulatory activity around the world because they The securities regulator was merged with the banking exposed weaknesses in markets previously considered and insurance regulators to form a financial market examples of sound regulations. Canada, India and Japan authority. The motivation was an increased number of passed reforms inspired by the U.S. Sarbanes-Oxley rules without the associated capacity to enforce them. Act. "Only regulate that which you can supervise," advises Top reformer Mexico also used the U.S. experience one Colombian reformer. to push through regulatory reforms. In 2004 its Min- There is a lot to learn from reform initiatives in istry of Finance introduced a new securities law rather other countries--including about what doesn't work. Re- than revise the existing company law. That approach forms to increase investor protections became a global limited opponents of reforms to those fearing broader phenomenon after the East Asian financial crisis and ownership and increased financial disclosure. In con- the recent corporate scandals in Europe and the United trast, revising the company law would have galvanized States. But some reforms are more popular than they de- opposition from notaries and other legal professionals serve to be. One is the adoption of a "comply or disclose" who benefit from the restrictions that the law imposes policy for companies to meet a stock exchange's corpo- on who can certify company documents. rate governance standards. Companies that do not adopt The new securities law passed, helped by 2 fac- all the standards must declare so, and why, to investors. tors. The first was the inclusion of the private sector in The idea is to prevent problems by raising accountability its drafting. Private lawyers and government officials without significantly increasing the cost of compliance. formed a working group to reconcile their differences But that hardly ever works. Typically, companies file dis- over the proposed changes. "We met every Thursday closures that say "too costly to comply" or "not sufficient PRoTECTINg INVESToRS 7 information." These disclosures are rarely reviewed, even in advanced markets like the United Kingdom's. While costs are low, so are benefits. Vibrant stock markets are not the only reason to in- troduce stronger investor protections. Tanzania started reforms of investor protections as part of a larger initia- tive to reduce corruption and create an "integrity envi- ronment" that inspires the trust needed to do business.7 Such an approach bolsters investor confidence in local business and government alike. Notes 1. La Porta, López-de-Silanes and Shleifer (2005) and Djankov, La Porta, López-de-Silanes and Shleifer (2005). 2. Ernst & Young (2005) and World Bank (2005b). 3. SEC (2006). 4. Thailand Investment Service Center (2004). 5. Strong market incentives to depress disclosure and gov- ernance are cited as contributing factors to the country's financial collapse in 1997 (Alba, Claessens and Djankov 1998). 6. World Bank (2005a). 7. Sitta (2005). 8 DoINg BuSINESS 2007 Paying taxes No one likes paying taxes, but some like it less than oth- as taxes, 125 payments should be made and 208 days ers. "Tax evasion is a national sport in Bolivia. People spent preparing, filing and paying taxes--if businesses avoid paying taxes because rates are high, the adminis- comply. Most companies can't afford to declare all their tration is complex and their tax money is wasted," says output, and 42% of business activity is unrecorded. José, a businessman in La Paz--where a company must To comply with tax regulation, businesses in the 175 pay 80% of its profits, spend 189 days and make 41 pay- economies covered by Doing Business submit, on aver- ments a year to comply with tax regulation, making it age, 35 pages of tax returns a year--equivalent to 200,000 one of the world's most burdensome tax systems (table trees a year, even after accounting for the few countries 8.1). One would think large revenues are collected and where business taxes can be filed electronically.2 In Cam- used for public projects. Yet Bolivia is among the bot- eroon the average annual tax return for businesses is 172 tom 10 economies in global rankings of education and pages. In Ukraine, 92. In the United States, 64. infrastructure quality.1 Governments impose taxes to finance public ser- Other countries have similar shortcomings. In Mau- vices. But taxes must first be collected, and high tax rates ritania a company has to pay 104% of its profits, spend do not always lead to high tax revenues. Between 1982 122 days and make 61 payments a year to comply with and 1999 the average profit tax rate worldwide fell from tax regulation. In Belarus 186% of profits are to be paid 46% to 33%, while profit tax collection rose from 2.1% to 2.4% of national income.3 This outcome was achieved Table 8.1 because more businesses entered the formal economy Where is it easy to pay taxes--and where not? and because tax exemptions and other tax incentives Easiest Rank Most difficult Rank were reduced or eliminated. Maldives 1 Bolivia 1 Reducing tax rates has been a trend in Eastern Ireland Venezuela 17 Europe and Central Asia. Most reformers--Armenia, Oman China 18 Bulgaria, Estonia, Kazakhstan, Slovakia, Russia--have UnitedArabEmirates Algeria 19 seen tax revenues rise. The larger is the share of informal HongKong,China Congo,Rep. 170 business activity before reform, the higher is the revenue SaudiArabia CentralAfricanRepublic 171 growth after. Switzerland 7 Colombia 17 Singapore 8 Mauritania 17 There is more to collecting taxes than higher or St.Lucia 9 Ukraine 17 lower rates. Complicated tax systems lead to high eva- NewZealand 10 Belarus 17 sion even when rates are low. Although taxes in Peru are Note: Rankings are the average of the country rankings on the number of payments, time and low by Latin American standards, evasion is a problem total tax rate. See the Data notes for details. because it takes 74 days and 53 payments to fulfill tax Source: Doing Business database. requirements. In Brazil the average business spends 455 PAYINg TAXES 9 FIGURE 8.1 Burdensome taxes, and still poor public services Overall infrastructure quality Quality of education system High High Low Low Easier More di cult Easier More di cult Countries ranked by ease of paying taxes, quintiles Countries ranked by ease of paying taxes, quintiles Note: Relationships are signi cant at the 1% level and remain signi cant when controlling for income per capita. Source: Doing Business database, WEF (2005). days a year to comply with taxes--because there are, on $16 million. Few cases of kleptocracy match that of average, 55 changes to tax rules a day.4 Being up to date former Indonesian President Suharto, who is accused of on tax law isn't easy. siphoning off $400 million from the country's accounts. Businesses are more willing to pay taxes if they see Simplifying the tax regime by reducing tax rates that the money is used to improve public services. Yet and eliminating exemptions is the main way to reduce many developing countries with high tax rates fail to im- corruption in tax administration. Georgia--the top prove business infrastructure or education and training reformer in paying taxes in last year's report--has seen --two things that employers care about (figure 8.1). a drastic fall in perceived corruption of tax officials. In Instead, a lot of money goes into sustaining inefficient 2005 only 11% of surveyed businesses reported that state-owned enterprises or simply disappears into per- bribery was frequent, down from 44% in 2002. That was sonal bank accounts. the sharpest drop in perceived corruption among the In Comoros the government recently arrested the 27 transition economies.5 Romania, the other large re- former finance and justice ministers and charged them former in 2004, and Slovakia, the main reformer in 2003, with embezzling $350,000. In Ethiopia a former prime also saw falls in perceived corruption: from 14% to 8% of minister is serving an 18-year sentence for embezzling surveyed businesses and from 11% to 5%, respectively. Who is reforming? Dominican Republic increased its profit tax and intro- duced a new asset tax. Sri Lanka reintroduced a stamp Thirty-five countries reformed their corporate tax sys- duty, raised its profit tax and levied a new tax on profits. tems in 2005/06. Thirty-one reduced the tax burden on And Uzbekistan introduced a 1% tax on turnover, which businesses by cutting tax rates or reducing administra- outweighed reductions in corporate and labor taxes. tive hassles. Four increased it. Yemen was the top reformer in 2005/06: after it Reducing the profit tax was by far the most popular eliminated its production tax, the total tax that busi- change, with 23 reformers (table 8.2). Albania, Egypt, nesses would pay fell from 170% to 48% of profits. Before Mexico and Morocco adopted new tax codes. Bosnia the reforms, businesses paid a 10% production tax on and Herzegovina and India shifted from sales to value their sales. When they sold products to other businesses, added taxes, which are harder to evade. Egypt, Ghana another 10% was paid. So every time products changed and Lithuania cut the number of taxes. hands, tax was paid on tax. By the time products reached The Central African Republic, the Dominican Repub- consumers, the hidden turnover taxes could reach 151% lic, Sri Lanka and Uzbekistan introduced new and higher of profits. The reforms replaced the production tax with taxes. The Central African Republic raised its minimum a 5% sales tax, levied on final consumers. corporate income tax from 2% of turnover to 10%. The Senegal, the runner-up in reforms, consolidated taxes 0 DoINg BuSINESS 2007 Table 8.2 FIGURE 8.2 Reducing tax rates--the most popular reform in 2005/06 Highest taxes in Africa Reduced profit tax rates Total tax rate (% of pro t) Other taxes Albania,Algeria,AntiguaandBarbuda,CzechRepublic,Egypt,Estonia, 80 Labor taxes Sub-Saharan Ghana,Guinea-Bissau,Hungary,India,Israel,Lesotho,Mexico,Moldova, Pro t taxes Eastern Africa Montenegro,Pakistan,Paraguay,Rwanda,Senegal,SierraLeone,Sudan, Europe & Switzerland,Turkey 60 Central OECD Latin America Asia Reduced number of taxes Middle East South high East Asia income & Caribbean Belarus,Egypt,Ghana,Lithuania,Russia,Yemen & North Asia 40 Africa & Paci c Revised tax code Albania,Egypt,Mexico,Morocco Introduced value added tax 20 BosniaandHerzegovina,India Introduced electronic filing 0 Bulgaria,Latvia Source: Doing Business database. Source: Doing Business database. for small businesses, eliminated exemptions for large ones its transport tax from 4% to 3%. Georgia and Lithuania and cut the profit tax from 33% to 25%. Elsewhere in abolished road taxes altogether. Africa, Ghana reduced its corporate income tax rate from Two reforms occurred in Latin America. Paraguay 32.5% to 28% in 2005 and to 25% in 2006. It also phased lowered its corporate tax by 10 percentage points. out its reconstruction levy. Guinea-Bissau cut its profit tax Mexico went beyond changing tax rates and simplified from 39% to 25%. Four other African countries also low- its tax code, eliminating some exemptions and reducing ered their profit taxes. These are much-needed reforms, as required paperwork. Africa is the region with the highest tax rates (figure 8.2). Business taxes are traditionally low in the Middle The most reforms happened in Eastern Europe and East and North Africa because many governments collect Central Asia, where 13 countries had tax reforms. The large revenues from oil. Still, Egypt and Morocco consoli- main motivation was competition among neighboring dated their tax regulations and simplified filings. Algeria countries to attract investors. Albania introduced a new cut its corporate income tax from 30% to 25%, and Israel tax code, reducing its corporate income tax from 23% to started a gradual reduction from 34% to 25% by 2010. 20%. Belarus cut its turnover tax from 3.9% to 3.0%, and How to reform 3,000 in all. Businesses can file and pay taxes electroni- cally. As a result 2 million Egyptians filed taxes in 2005, The boldest reform is to simplify tax law so that every double the number in 2004 (figure 8.3). business faces the same tax burden--with no exemp- If radical changes are not feasible, reforms can be tions, tax holidays or special treatment for large or phased in. In 2005 Estonia, Ghana, Israel, Mexico and foreign businesses. Many tax laws start that way. But Paraguay introduced gradual reforms. For example, when hard times come and governments need revenue, Ghana cut its corporate tax rate by 4.5 percentage points tax rates are often raised. This is unpopular, and large or in 2005 and by another 3 points in 2006. This way the well-connected businesses usually obtain special treat- government can defuse lobbying. This was learned the ment. Soon the tax law becomes riddled with exceptions, hard way: Ghana tried to introduce a value added tax generally at the expense of small businesses, which have in 1995, only to withdraw it 2 months later after public the least ability to lobby. Often they are pushed into the demonstrations scared reformers. It took 4 more years informal sector. for its eventual introduction. Few reformers dare eliminate exemptions. Egypt Good reforms go beyond reducing corporate taxes.6 is an exception: since 2005 all businesses have paid a Argentina's profit tax is 9% of total taxes, while social se- 20% profit tax--rather than 32% or 40%, depending curity contributions paid by employers account for 26% on the sector. All sector-, location- or business-specific and turnover and financial transaction taxes for almost tax holidays and exemptions were eliminated, about 62%. And the profit tax is just 1 of 34 required pay- PAYINg TAXES 1 FIGURE 8.3 How Egypt created a at pro t tax 2005 2006 · · · · · · · JAN · · · · · · · · · · · JAN 1. New reform-minded cabinet takes o ce Cabinet sets customs and tax reform as the major priorities 2. Government announces intention to change tax code Media campaign informs the public about new law 3. Cabinet approves new law 4. Government sends law to parliament Little opposition, except from bene ciaries of tax breaks under old system 5. Private sector review and public discussion of new law New law takes e ect, 6. Parliament approves new law retroactive for all of 2005 7. Law becomes e ective and corporate income tax drops to 20% O cials trained on new audit and record system Source: Doing Business database. ments. Simplifying the other 33 payments spread over days. Croatia simplified its tax forms, cutting 8 pages of 11 separate taxes would go a long way toward reducing tax returns and shortening the time required to comply the tax burden on businesses. Latvia is another example: with tax regulations by 5 days. social security and other labor contributions account for Consolidating taxes is also a worthwhile reform. For 66% of the tax burden, profit taxes for 21%. Around the example, most countries have more than one labor tax, world, profit taxes account for an average of 36% of the yet such taxes are typically based on gross salaries. Why tax burden on businesses.7 Profit taxes account for only not unify them? Tax offices can then distribute the rev- 4 of 35 business tax payments (figure 8.4). enues among government agencies. Slovakia did just that: Good reforms also go beyond reducing tax rates its single social contribution tax funds health insurance, (figure 8.5). Making electronic filing and payment avail- sickness insurance, old age pensions, disability insurance, able to businesses is a start. In Madagascar tax declara- unemployment benefits, injury insurance, guarantee in- tions were computerized in October 2005. If there is surance and reserve fund contributions. In many coun- no change in the information submitted previously, a tries social security agencies would be reluctant to part business can file the same declaration again with the with their powers--especially if there is a chance that tax click of a mouse. This innovation is especially important offices won't give them their share of revenues. To gain for compliance with labor taxes, where the information their trust, an automatic separation of revenues can be submitted by small businesses changes less often. As a introduced so that there is no room for discretion. result the time needed to comply with taxes fell by 17 Small businesses have a particularly hard time dealing FIGURE 8.4 FIGURE 8.5 Pro t taxes--less than half the tax burden worldwide Paying taxes takes longest in Latin America Share of tax burden # Number of payments Other taxes 16.8 OECD 17 125 high income 15 203 Time (hours per year) Middle East & North Africa 30 237 East Asia Labor tax 17.6 120 & Paci c 30 290 South Asia 30 305 14 Sub-Saharan Pro t tax 19.3 Africa 41 330 84 4 Eastern Europe & Central Asia 48 423 Total Number of Time Latin America tax rate payments 41 431 (hours per year) & Caribbean (% of pro t) Source: Doing Business database. Source: Doing Business database. DoINg BuSINESS 2007 Table 8.3 Who makes paying taxes easy--and who does not? Payments(numberperyear) Time(hoursperyear) Total tax rate(%ofprofit) Fewest Most Least Most Lowest Highest Maldives 1 Jamaica 7 Maldives 0 Azerbaijan 1,000 Maldives 9.3 Tajikistan 87.0 Afghanistan Bosnia and Herzegovina 7 United Arab Emirates 1 Vietnam 1,00 Vanuatu 14.4 Mauritania 104.3 Norway Montenegro 7 Singapore 0 Bolivia 1,080 SaudiArabia 14.9 Argentina 116.8 Hong Kong, China DominicanRepublic 87 St.Lucia 1 Taiwan,China 1,10 United Arab Emirates 15.0 Uzbekistan 122.3 Sweden KyrgyzRepublic 89 Oman Armenia 1,10 Oman 20.2 Belarus 186.1 Mauritius 7 Romania 89 Dominica Nigeria 1,10 Samoa 22.1 Central African Rep. 209.5 Portugal 7 Congo,Rep. 9 Switzerland 8 Belarus 1,188 Zambia 22.2 Congo, Dem. Rep. 235.4 Spain 7 Ukraine 98 NewZealand 70 Cameroon 1,00 Cambodia 22.3 SierraLeone 277.0 UnitedKingdom 7 Belarus 1 SaudiArabia 7 Ukraine ,18 Mauritius 24.8 Burundi 286.7 Ireland 8 Uzbekistan 10 Ireland 7 Brazil ,00 Switzerland 24.9 Gambia 291.4 Source: Doing Business database. with multiple tax payments. Why not help them by mak- ing their business forms shorter? This is what Brazil did. Notes In 2001 it introduced the Simples system, which allows 1. WEF (2005). for 1 monthly tax payment for businesses with annual 2. A grown tree produces, on average, 80,500 sheets of revenues below $1.1 million. The payment covers 8 taxes, paper. There are about 500 million formal businesses in including 4 federal and state consumption taxes, 2 profit the world. taxes, 1 labor tax and 1 municipal tax. Opinion surveys 3. Hines (2005). have found that nearly 90% of businesses think highly of 4. Folha de São Paulo, "País edita 55 normas tributaries por this reform--emboldening the government to plan more dia," May 7, 2006. ambitious reforms to collect taxes electronically. These 5. World Bank (2006a). are needed--it takes larger businesses 455 days to comply 6. Desai, Foley and Hines (2004). with taxes, the longest in the world (table 8.3). 7. See also PricewaterhouseCoopers (2005). 43 Trading across borders Tradecosts--delays,documentsandadministrativefees-- January 2005 and April 2006 the time needed to comply continue to slow business in many developing countries. with export-related requirements fell by nearly 1.5 days "My cargo of copper wire was held up in Durban, South worldwide (figure 9.1). The largest drop--by 3 days on Africa, for a week," says Michele, a Zambian trader. "The average--occurred in Eastern Europe and Central Asia. port authorities required proof that the wooden pallets on This despite more detailed inspections and additional which the wire was loaded were free of pests. After some paperwork required by new security regulations. days the Ministry of Agriculture's inspector checked that Yet progress is uneven. Trading across Europe is be- the wood was fumigated, for a $100 fee." coming seamless, thanks to the European Union and related The good news: as more products move interna- free trade agreements. Many of the top 10 economies on the tionally, so do new technologies that reduce trade costs. ease of trading are European (table 9.1). Colombia, Nicara- Electronic filing of cargo documents has reduced delays gua and other Central American countries are reforming in many ports. Software that works in Hamburg or Syd- fast too, energized by free trade pacts with the United States. ney can also be used in Baku and Colombo. Regional Several African countries have also made big improve- trade agreements have brought with them simpler cus- ments. Still, businesses in some African and South Asian toms and transit forms, uniform across several countries. economies are hampered by long delays in complying with The speed of trading is now greater than ever: between trade-related regulations (figure 9.2). FIGURE 9.1 Export delays drop worldwide Table 9.1 Where is trading easy--and where not? Reduction in time to export (days) Easiest Rank Most difficult Rank 2005 0.2 HongKong,China 1 Congo,Rep. 1 0.6 Latin Finland Mali 17 0.8 America & OECD Caribbean Denmark Zimbabwe 18 1.2 East Asia high Middle East& Paci c income 1.4 Singapore Uzbekistan 19 1.8 & North WORLDWIDE Norway Zambia 170 Africa REDUCTION Sub-Saharan Estonia Burundi 171 2.3 Africa Germany 7 Kazakhstan 17 South Asia Canada 8 KyrgyzRepublic 17 2006 3.1 Sweden 9 Niger 17 Eastern UnitedArabEmirates 10 Rwanda 17 Europe & Central Asia Note: Rankings are the average of the country rankings on the documents, time and cost required to import and export. See the Data notes for details. Source: Doing Business database. Source: Doing Business database. DoINg BuSINESS 2007 FIGURE 9.2 Longest export delays in Africa and South Asia Trade costs increase domestic prices and restrict businesses from exporting abroad. One recent study Time to export (days) Sub-Saharan estimates that each day a product is delayed in transit Africa Eastern South reduces trade by at least 1%.1 Another shows that reduc- 40 Europe & Asia Middle East ing trade costs by 50% could increase global trade in Central & North Asia 34 manufacturing by up to $377 billion a year and triple the Latin East Asia Africa America & Paci c 27 29 benefits for consumers from tariff reductions.2 A third & Caribbean 24 study estimates that Bangladesh's garment exports could 22 earn 30% more if inefficiencies at the port of Chittagong OECD high income were resolved.3 11 Source: Doing Business database. Who is reforming? rations before shipments arrive and to pay tariff and port In 2005/06, 19 economies made it easier to trade across fees electronically. Risk management techniques are now borders. Serbia was the top reformer, reducing the time used for choosing which containers to inspect. A pilot to fulfill all administrative requirements for exporters run between April 2005 and January 2006 trained staff by 21 days and for importers by 32 days (figure 9.3). and the main traders. The Karachi container terminal A new customs code was adopted, allowing electronic has since moved fully to the new system. filing of cargo declarations. Risk management software Reforms have also allowed traders in Colombia, was introduced for customs inspection. Physical in- Kenya, Syria and Tanzania to submit customs declara- spection of cargo dropped from 100% of shipments to tions before the goods arrive at the border (table 9.2). 8%. And a border cooperation agreement, signed with Clearances have sped up by 12 days in Tanzania, 3 days Albania, Croatia and Hungary, introduced uniform in Kenya, 2 days in Colombia and a day in Syria. "Before customs forms. you were at the mercy of customs officials, but now I Pakistan is the runner-up in reform. It now takes 19 don't see them face-to-face so I don't pay bribes," says a days to import--from the conclusion of a sales contract Kenyan trader. to the arrival of goods at the warehouse. In 2004 it took The benefits of electronic filing depend on how 39 days. The improvement comes from a new customs many related procedures are automated. Jamaica intro- clearance process that allows traders to file cargo decla- duced software that detects whether a cargo document is FIGURE 9.3 Serbia--top reformer in trade Table 9.2 Risk-based inspections--the most popular reform in 2005/06 Time to import (days) 2005 Applied risk management techniques 40 China,Colombia,Ghana,HongKong(China),India,Jamaica,Kenya, Nigeria,Pakistan,Romania,Serbia,Syria,Tanzania Days for customs inspection and clearance cut from 7 to 2 Introduced or improved electronic data interchange systems 30 Time reduced China,Colombia,France,Ghana,HongKong(China),Jamaica,Kenya, Nigeria,Pakistan,Serbia,Syria,Tanzania Days for assembling and from 44 days to 12 processing documentation 20 Introduced customs administration reforms cut from 30 to 6 Cambodia,Georgia,HongKong(China),Jordan,Kenya,Nigeria, 2006 Pakistan,Romania,Syria 10 Implemented border cooperation agreements China,HongKong(China),Kenya,Nicaragua,Romania,Serbia,Tanzania 0 Improved infrastructure and interagency cooperation at the ports 1 Procedures 6 China,Colombia,Jordan,Kenya,Nigeria,Togo Source: Doing Business database. Source: Doing Business database. TRADINg ACRoSS BoRDERS incomplete and calculates the customs duties to be paid. cargo takes 2 days, and terminal handling another 7. In In China new software permits the release of cargo from Gambia these activities take 5 days; in Singapore, half a bonded warehouses before payments are transferred, day. To reduce delays, Kenya installed new cranes at the based on the importer's past payment record. India, port of Mombasa. Nigeria introduced competition at its Korea, Serbia and Taiwan (China) are all introducing container terminals by signing concession agreements mechanisms that expedite the release of cargo from with 3 private businesses. Brazil, China and Colombia customs. In Ghana new technology links customs with made large investments in port infrastructure. several commercial banks so that customs officers can Congestion at ports increases costs as well as delays. confirm the payment of duties without the need for In 2006 port congestion surcharges ranging between additional paperwork. $60 and $500 per 20-foot container are imposed on Several reformers adopted risk management tech- traders in Ashdod (Israel), Chittagong (Bangladesh), niques and after-clearance audits. These allow countries Cotonou (Benin), Dakar (Senegal), Lagos (Nigeria), to target customs inspections to higher-risk cargo. In Latakia (Syria) and Luanda (Angola). Traders used to Tanzania more than 90% of cargo is now risk-assessed face a similar burden at the Jordanian port of Aqaba. No before it arrives at Dar es Salaam. In Nicaragua new risk longer: new investment in port infrastructure made it management techniques have reduced physical inspec- possible to abolish the $150 congestion surcharge. tions to less than 10% of shipments. After-clearance Cooperation between economies in simplifying and audits introduced in Egypt, Jordan and Romania have then unifying border requirements has also reduced allowed customs to quickly release cargo to importers, delays. In 2005 Honduras and Nicaragua cut the waiting with the container contents verified after it reaches the time at their shared border in half. Before, traders had warehouse. to go through inspections on both sides of the border; Many other countries reduced port congestion, a now the mutual recognition of inspections ensures that common reason for delays at the border. Take the port a single inspection suffices. A harmonized document for of Pointe-Noire, in the Republic of Congo: arriving trade between China and Hong Kong (China) reduced ships wait 8 days before entering a berth, unloading the paperwork by 60%. How to reform its proposed customs code, a customs officer would If a country wants to become a favored destination for no longer have to distinguish containers of cocoa from trade, it could start by reducing the number of its tariff those of chocolate, but only to identify the products as bands. This is what Estonia did in 1996, 1 of 3 economies agricultural or not. in the world to abolish all tariffs (the others are Singa- But tariff reforms are difficult. Lobbying groups pore and Hong Kong, China). Estonia also ranks in the get involved, to argue for reducing their own tariffs or top 10 on the speed of trading across borders. Similar FIGURE 9.4 reforms took place in Egypt in 2004. Customs estab- Too many tari bands in some developing countries lished a single window for trade documentation and merged 26 approvals into 5. The number of tariff bands Number of tari bands, 2005 was cut from 27 to 6. In Georgia a draft customs code Morocco 41 awaiting approval by parliament suggests only 2 tariff Lesotho 37 bands (down from the current 32): 0% on manufactured India 22 goods and 8% on agricultural imports. Paraguay 22 Cutting the number of tariff bands is one of the best Zimbabwe 18 ways to reduce corruption in customs. An estimated Vietnam 16 70% of the bribes paid to customs officials exchange Tunisia 15 hands when a trader wants to get a lower tariff band.4 Philippines 14 There is no corruption at customs in Hong Kong (China) Cape Verde 12 because there is no such "arbitrage." With fewer tariff Jamaica 11 bands, it also takes less time for customs officials to com- Source: World Trade Organization, World Integrated Trade Solution database. plete inspections and paperwork. If Georgia adopted DoINg BuSINESS 2007 for keeping those on their foreign competitors high. Estonia and 105 days in Iraq (table 9.3). And governments often claim that reform would lead Such indicators identify bottlenecks and help ad- to a loss of revenues. The first thing a reformer needs to dress them. They also can serve as a basis for bonuses, check is the amount of revenues under the existing rules. with border officials receiving extra pay based on the In Georgia this is a small amount--in 2005, less than speed of clearing goods. A word of caution: several 3.5% of the budget. In Egypt before the 2004 reform, it countries have introduced a measurement scheme only was about 5%. The reason: many goods came into the 2 to find strong resistance (and subversion) from staff. countries as contraband, to avoid the high tariffs. Customs officials do not like to have their performance In other countries, such as in Africa, this share is measured, especially if they don't work hard. larger. There, moving to fewer tariff bands--while keep- Reforms shouldn't stop at the border crossing. "Our ing the same average tariff rate--would still be a big im- road was rendered impassable by rain 3 times, causing provement. There is no reason why Lesotho should have 37 tariff bands and Cape Verde 12 (figure 9.4). The second thing a reformer can do is establish a Table 9.3 Who makes exporting easy--and who does not? set of performance indicators for how rapidly goods are processed at the border. The Tanzanian tax authority Time(days) started an annual exercise of random checks across bor- Least Most der points. In August 2005 the average time to process Estonia LaoPDR documents for imports, from arrival to entry into the Denmark Azerbaijan 9 Germany BurkinaFaso 9 country, was 8 days, 23 hours across seaports; 6 days, 15 HongKong,China Eritrea 9 hours across airports; and 3 days, 9 hours across land Lithuania Tajikistan 7 crossings.5 In August 2006 the exercise was repeated to Singapore Angola 7 monitor the pace of improvements. Thailand recently set Sweden Burundi 80 a target of 1 day for clearance at customs. Canada 7 Chad 87 Finland 7 Kazakhstan 9 Measuring the time it takes for customs to clear Norway 7 Iraq 10 goods is not enough. Other agencies are also involved in inspecting goods or approving documents as cargo Documents(number) crosses borders. For example, the police usually check Fewest Most drivers' identification, the phytosanitary authority in- HongKong,China Congo,Rep. 1 spects all goods, and ministry of agriculture officials Canada Ecuador 1 check goods for pest control and contagious diseases. The Denmark LaoPDR 1 time a trader spends with all these agencies needs to be Kiribati Sudan 1 Tanzania Uganda 1 monitored too.Once this is taken into account, exporters Austria Kazakhstan 1 spend 3 days dealing with administrative requirements in Finland Rwanda 1 France Tajikistan 1 FIGURE 9.5 Better roads, more trade Germany Djibouti 1 Norway Zambia 1 Implied growth in trade with Africa from improved roads (%) Cost(US$percontainer) Swaziland 450 Least Most Zambia 560 Tonga Kazakhstan ,780 China Mongolia ,007 Benin 570 Israel 0 Congo,Dem.Rep. ,10 Malawi 750 NewZealand Zimbabwe ,17 Singapore 8 Guyana ,0 Gabon 1,670 UnitedArabEmirates 9 Burundi , Fiji 18 Mauritania ,7 Niger 2,480 Finland 0 Rwanda ,80 Kenya 3,040 Gambia Gabon ,000 HongKong,China Tajikistan ,00 Source: Buys, Deichmann and Wheeler (2005). Source: Doing Business database. TRADINg ACRoSS BoRDERS 7 delays of up to 4 hours. The Cameroonian government 400% on average if the road network was upgraded.7 has grappled with the problem by erecting a series of Similar investment could increase trade in southern barriers that stop heavy trucks from passing while it is Africa by up to 300%, and several times more for some pouring. Early on the second evening we met a locked countries (figure 9.5). barrier in the middle of the forest. It was dark and the But better roads cost money--money that many man with the keys wasn't there. He returned shortly developing countries don't have. Upgrading roads (from before midnight. It didn't matter anyway: early the next gravel or dirt to asphalt) takes an estimated $125,000 per morning a driver coming in the opposite direction told kilometer in Africa. Maintaining existing roads requires us that the bridge ahead had collapsed," says a beer dis- another $5,000 per kilometer.8 tributor in Douala.6 A recent study estimates that trade In some cases there are private firms willing to make among West African countries could expand by up to these investments. Where investment is risky, donors can provide the needed finance. Projects can be designed as output-based aid, where a private investor builds the Who makes importing easy--and who does not? road according to specifications (quality of road surface, length of route) and then gets paid. In this way risk is Time(days) shared: production risks are borne by the private inves- Least Most tor, while country risk and expropriation risk are taken Singapore Kazakhstan 87 Denmark Afghanistan 88 by the donor. Estonia Niger 89 HongKong,China Congo,Dem.Rep. 9 Germany Rwanda 9 Notes Sweden Chad 111 Finland 7 Burundi 1 1. Djankov, Freund and Pham (2006). Norway 7 KyrgyzRepublic 17 2. Dennis (2006). Kiribati 8 Iraq 1 Netherlands 8 Uzbekistan 19 3. Asian Development Bank (2003). 4. See also Fisman and Wei (2004) for a study of tariff eva- Documents(number) sion in trade between China and Hong Kong (China). Fewest Most They find that a 1-percentage-point increase in the tariff rate in China is associated with a 3% increase in tariff HongKong,China Kazakhstan 18 evasion. This evasion takes place through misclassifica- Kiribati KyrgyzRepublic 18 tion of imports to lower-taxed categories. Denmark Uzbekistan 18 Finland CentralAfricanRepublic 19 5. Tanzania Revenue Authority (2005). Sweden Côted'Ivoire 19 6. The Economist, "The Road to Hell Is Unpaved," December Canada Iraq 19 19, 2002. Ireland Niger 19 7. Buys, Deichmann and Wheeler (2005). Netherlands Uganda 19 8. Buys, Deichmann and Wheeler (2005) and Heggie and Norway Zambia 19 Vickers (1998). UnitedKingdom Rwanda 0 Cost(US$percontainer) Least Most Singapore Niger , Tonga 0 Congo,Dem.Rep. ,08 China 7 Tajikistan ,0 UnitedArabEmirates 98 Guyana , Finland 0 Burundi ,70 HongKong,China Mauritania ,7 Malaysia 8 Uzbekistan ,970 Iceland Gabon ,01 Norway 8 Rwanda ,080 Gambia 9 Zimbabwe , 8 DoINg BuSINESS 2007 Enforcing contracts Enforcing a simple commercial contract in India takes transactions take place, and those that do generally in- 56 procedures and almost 4 years. "We do not have any volve a small group of people who are linked through lawsuits pending--we simply avoid the courts. By the kinship, ethnic origin or previous dealings. Businesses time the judge decides the case, the defendant's assets that have little or no access to courts must rely on social have disappeared. In the end the only ones gaining from networks to decide whom to do business with. In some lawsuits are the lawyers," says Sriram, a beverage manu- countries industry associations provide mediation ser- facturer in Mumbai. Foreign investors share this view: vices. But these are not binding, so nothing prevents one fewer of them set up shop in India than in any other party from pretending to go along, then refusing to com- large emerging economy (figure 10.1). ply. Credit bureaus help too--but many small countries Sriram is not alone. Enforcing a commercial con- like Lesotho and Suriname don't have one. tract in Djibouti takes 59 procedures and almost 3.5 Efficiency and fairness need to be balanced. Achiev- years. In Mozambique it takes nearly 3 years--and for ing that kind of balance was the intention of a recent disputes under $600, costs more than the value of the reform in Russia. Under the old rules a strict 2-month claim. Both countries are among the most difficult in deadline applied to all cases in the Russian arbitrazh which to enforce contracts (table 10.1). courts, which deal with commercial cases. But many Without efficient courts, less wealth is created. Fewer judges were uncomfortable with the emphasis on speed FIGURE 10.1 Foreign investors avoid countries with ine cient courts Table 10.1 Where is enforcing contracts easy--and where not? Foreign direct investment (% of national income, 2005) Vietnam Easiest Rank Most difficult Rank 3.0 China Denmark 1 SierraLeone 1 Mexico Sweden Comoros 17 Norway Mozambique 18 2.0 Lithuania Djibouti 19 Egypt Japan Cameroon 170 1.0 Pakistan UnitedStates Congo,Dem.Rep. 171 India Australia 7 Chad 17 Iceland 8 India 17 0 300 600 900 1,200 1,500 Switzerland 9 Bangladesh 17 Time to enforce a contract (days) HongKong,China 10 Timor-Leste 17 Note: The gure excludes Indonesia, Nigeria and Russia, large emerging economies with Note: Rankings are the average of the country rankings on the procedures, time and cost substantial foreign participation in extractive industries. to resolve a commercial dispute through the courts. See the Data notes for details. Source: Doing Business database, World Bank (2006b). Source: Doing Business database. ENFoRCINg CoNTRACTS 9 over quality of rulings. As a result the court rules were fendants usually try to delay the case. A rule empower- amended in 2002 to distinguish among different types of ing the judge to impose this simplified process on both cases. Now only cases that are undisputed or involve small parties would have done the trick. amounts can be heard using an accelerated procedure. Studies on the effects of reforms find that when con- Last year, only 1 in 4 attempted reforms succeeded tracts can be enforcedquicklyandcheaply,smallbusinesses in reducing costs and delays. This low success rate sug- getbetterfinancialtermsonloans.1 Otherresearchfindsthat gests that reformers have little knowledge of what has new technologies are adopted faster when courts are effi- worked and what has not in other countries. Romania, cient.2 The reason is that most innovations take place in new for example, allowed attorneys to handle the exchange businesses--which unlike large firms do not have the clout of evidence out of court. Witnesses can be heard at loca- to resolve disputes outside the courts. And when contracts tions such as the office of an attorney. The idea was to can be efficiently enforced, businesses expand their trade shorten delays. It didn't work, because by law both the networks and employ more workers.3 plaintiff and the defendant must agree to this--and de- Who is reforming? bailiffs but restricted their operations to a certain loca- In 2005/06, 18 countries reformed contract enforcement tion. This is likely to hurt. When territorial restrictions --and their reforms are reducing delays and the cost of for bailiffs are reduced, as was recently done in Algeria, going through court proceedings. Most reforms took private enforcement works better. Bailiffs can compete place in Eastern Europe--in Croatia, Estonia, FYR on their fees and the quality of their services. Macedonia and Slovakia--and in Africa--in Burundi, Georgia--the top reformer in 2005/06--established Chad, Gambia, Nigeria and Rwanda. No reforms took specialized commercial sections in the courts. The place in South Asia, the region with the longest court supreme court can now decide which cases to review. delays (figure 10.2). Before, it dealt with every case sent by the lower courts. A popular reform was to speed up enforcement As a result of the new rules, its caseload dropped by 35% once the judge has ruled (table 10.2). Five countries from 2004. There is also a proposal to establish 2 special- adopted new rules to make enforcement both faster and ized bankruptcy courts so as to pool expertise. cheaper. In another country, Thailand, the costs to en- Five African countries reformed their courts. In Ni- force a claim through public auction were reduced from geria, Lagos State introduced a specialized commercial 5% of the sale's proceeds to 3%. Three countries moved division in the high court. Pretrial conferences between enforcement to the private sector. Slovakia required the disputing parties are now required, to dismiss cases that commercial cases be enforced by private bailiffs. without serious opposition and to reduce the points of Bulgaria and FYR Macedonia also introduced private dispute in others. Nearly a third of all cases don't go FIGURE 10.2 Long court delays in South Asia Table 10.2 Specialized courts--a popular reform in 2005/06 Time to enforce a contract (days) 1 2 YEAR YEARS Introduced or expanded scope of specialized courts OECD Australia,Burundi,Chad,Gambia,Georgia,Guyana,Nigeria,Peru, high income 351 Rwanda Eastern Europe & Central Asia 409 Modified procedural rules or adopted new ones East Asia & Paci c 477 Brazil,Burundi,Estonia,France,Gambia,Georgia,Italy,FYRMacedonia, Nigeria Sub-Saharan Africa 581 Made enforcement of judgments more efficient Middle East & North Africa 606 Brazil,France,Gambia,FYRMacedonia,Slovakia Latin America Introduced out-of-court enforcement of small or uncontested claims & Caribbean 646 Croatia,Denmark South Asia 969 Reduced backlog in lower courts DominicanRepublic,FYRMacedonia Source: Doing Business database. Source: Doing Business database. 0 DoINg BuSINESS 2007 beyond this stage. In addition, new procedural rules Table 10.3 require that evidence be exchanged at the beginning of Where is enforcing contracts the most efficient--and where the least? the proceedings. The time to enforce contracts has fallen Procedures(number) from 730 days to 457. Fewest Most Burundi raised its size limit on cases for the small Iceland 1 India claims court from $300 to $1,000. In October 2005 the Norway 1 Cameroon 8 Chadian commercial court in N'Djamena held its first Denmark 1 Lesotho 8 hearing. And Gambia established a commercial division HongKong,China 1 SierraLeone 8 Canada 17 Djibouti 9 in its high court. UnitedStates 17 Comoros 0 Peru also separated the resolution of simple com- Ireland 18 Iraq mercial cases from more complex civil and criminal Jamaica 18 SãoToméandPrincipe 7 cases. In early 2005, 7 commercial courts and 1 com- Australia 19 Sudan 7 mercial appeals court began functioning in Lima. Of UnitedKingdom 19 Timor-Leste 9 the 8,805 cases filed in the courts between April 5, 2005, Time(days) and June 30, 2006, 85% were resolved within a year. For Fastest Slowest certain types of simple debt collection, the time to NewZealand 109 Italy 1,10 enforce contracts fell from an average of 285 days in Singapore 10 Djibouti 1, 2004 to 150 days in 2005/06. While an early success, KyrgyzRepublic 10 Suriname 1,90 the courts started with no caseload. As more businesses Lithuania 1 TrinidadandTobago 1,0 learn about them, filings are increasing and delays are Russia 178 Colombia 1, starting to grow. To keep ahead, in July 2006 the presi- Australia 181 Slovenia 1,0 Kazakhstan 18 India 1,0 dent of the court asked for 5 more judges. Ukraine 18 Bangladesh 1, European reformers focused on reducing court Armenia 18 Guatemala 1,9 delays. Italy, the country with the second longest delays Denmark 190 Afghanistan 1, in 2004, reduced time by 6 months--from 1,390 days to Cost(%ofclaim) 1,210 (table 10.3). The reforms eliminated 1 and some- Least Most times 2 mandatory hearings. Parties are now required to raise objections at the outset of the court proceedings. Korea . Micronesia 77.0 In FYR Macedonia a program to reduce delays cut Finland .9 BurkinaFaso 9. Sweden .9 PapuaNewGuinea 110. the number of cases pending for more than 3 years by Iceland .9 Cambodia 11. 46%. Litigants in long-standing disputes were contacted Denmark . Indonesia 1. and asked to appear in court. If neither party showed up, UnitedStates 7.7 Mozambique 1.1 the case was dismissed. Statistics on court backlogs were Lithuania 8. Malawi 1. circulated monthly to track progress. The reforms cut Norway 9.0 Congo,Dem.Rep. 1.8 Austria 9.0 Timor-Leste 18.1 the time to enforce contracts from 509 days to 385. Japan 9. SierraLeone 7. One way to ease court delays is to take all undis- puted claims out of court and bring them before enforce- Source: Doing Business database. ment courts or bailiffs. There is no need for a judge to intervene when claims are uncontested or supported by the bailiff's court were resolved within 4 months. Croatia indisputable evidence. Three countries undertook such adopted a similar reform in 2005, allowing creditors to reform in 2005/06. Norway, which introduced direct bring uncontested claims directly before a notary public enforcement of claims in 1992, expanded it to cover "any and request an enforcement order. written notification, with mention of the basis for the In Eastern Europe and Central Asia 3 countries-- claim and the amount due." Invoices, most often used Armenia, Estonia and Ukraine--introduced accelerated in simple commercial transactions, fall into this cat- "payment order procedures" for small, undisputed cases egory. In Denmark debt claims of less than DKr 50,000 in 2005/06. The effects may be limited. As soon as a ($8,600) now go directly to the bailiff's court. Copenha- claim is opposed, the case is referred back to the normal gen's general courts have received 38% fewer cases since court procedure. Still, courts can dispose of some cases the reform. And 53% of the cases that went straight to without spending significant resources. ENFoRCINg CoNTRACTS 1 How to reform people. It took 18 months for the commercial sections to Courts serve businesses best when they are fast, fair and consider their first cases, because candidates for judicial affordable. But in countries where judges are considered appointments sometimes failed the exam. Second, some corrupt and incompetent, businesses lack confidence that ideas didn't work out. For example, the new procedural the government can transform the courts. It may be best to code calls for 2 lay judges--businesspeople--to review rebuild the judiciary from scratch. Rwanda did just that. commercial disputes. But it also mandated that the work In May 2001 President Paul Kagame created the be voluntary and unpaid. For a long time no one vol- Rwanda Law Reform Commission and gave its 10 mem- unteered. Third, foreign experts were uneasy about the bers a mandate to review all existing laws and court magnitude of personnel changes. Wouldn't this endanger rules and recommend reforms to improve the delivery the independence of the judiciary? It may, if changes are of justice. The commission produced a list of sugges- based on favoritism, not ability. Independence is worth tions in 4 months, among them to adopt a new proce- pursuing only if judges are honest and competent. The dural code, establish commercial sections in the courts worst combination is independence and corruption. and introduce competitive hiring and pay for court Many countries have attempted to reduce cor- employees. Opposition soon began to form. Many old ruption in the courts. Few have achieved results. One judges protested proposals that would make all judicial country that may succeed is Georgia. The latest opinion appointments competitive and subject to exams. Indeed, survey of businesses, in 2005, showed that the share when the new supreme court was staffed, only 3 of the perceiving the judiciary as corrupt had fallen to half its 27 judges were reappointed. 2002 level.4 Among transition economies, only Slovakia The commission was able to overcome the opposi- recorded a larger drop. tion thanks to the support of President Kagame. He met How did Georgia do it? Since 2004, when the new with the commission regularly and, when necessary, government came in, 7 judges have been detained for called meetings with all judicial employees--often the taking bribes and 15 brought before the criminal courts. site of heated debates--to consider opposing views. In 2005 alone the judicial disciplinary council reviewed Parliament adopted a slew of new laws for the judi- cases against 99 judges, about 40% of the judiciary, and 12 cial system in 2003/04. In September 2005 a second set judges were dismissed. At the same time judges' salaries of reforms targeted revisions in the commercial law. Six were increased fourfold, to reduce dependence on bribe months later specialized commercial chambers began money. As in many other countries undergoing economic operating in the higher instance courts. And in May 2006 transition, in Georgia judges' salaries had fallen to a level draft legislation was introduced to set up separate com- that made it difficult to support their families. mercial appeals courts (figure 10.3). Salary increases alone do not solve the problem of The reform hasn't been easy. It faced several obsta- judicial corruption. Several other measures help. First, cles. First, the genocide in the 1990s had left few qualified randomly assigning cases to judges, by using case man- FIGURE 10.3 How Rwanda reformed contract enforcement 2001 2002 2003 2004 2005 2006 MAY· · · · · · · · · · ·MAY· · · · · · · · · · ·MAY· · · · · · · · · · ·MAY· · · · · · · · · · ·MAY· · · · · · · · · · ·MAY 1. President appoints Law Reform Commission 2. Commission sets broad agenda to improve court e ciency New constitution adopted 3. Commission drafts laws to restructure national courts Law Reform Commission is "on call" to give technical advice 4. Commission presents draft laws to parliament Some judges oppose changes 5. Parliament enacts draft laws Constitution amended 6. Lower courts start functioning under the new laws 7. Lower courts suspended after constitutional amendments 8. Lower courts reopen under revised laws 9. Higher instance courts set up commercial chambers Reform continues to establish separate commercial courts Source: Doing Business database. DoINg BuSINESS 2007 agement software, can prevent shopping for the judge FIGURE 10.4 Specialized courts reduce delays most willing to accept bribes. Second, requiring judges to disclose their assets annually can deter them from Time to enforce a contract (days) accepting large bribes. If caught, they would face prison Before specialized 766 730 time. Third, introducing transparent and objective pro- courts cesses for selecting judges can help attract the best and brightest to the judiciary as well as give judges the moral authority to enforce court rules. Fourth, publicizing cases 457 381 of corrupt judges being caught and punished convinces 300 citizens that a government is serious about reducing cor- With 247 ruption. In October 2003 Kenya's newspapers published specialized courts the names and photographs of 23 judges who had been charged with corruption and temporarily suspended. Gambia Nigeria Peru Five of the judges resigned, and a tribunal was set up to review the allegations against the others. Opinion polls Source: Doing Business database. showed that the public approved. If the appetite for judicial changes is weak, reform- amounts go through a simpler process and get quick ers can start small. Pilot reforms require fewer resources resolution. and are unlikely to face as much opposition. Last year One reason for the greater efficiency of specialized Bangladesh and Korea launched pilots to speed contract courts is that judges become expert in handling com- enforcement in their capital cities. If the pilots prove ben- mercial disputes. Another is that these courts often have eficial, they can be expanded throughout the country. less formal procedures--for example, they permit oral Introducing specialized courts or specialized com- arguments even in countries where the general courts mercial sections in the general court is one of the most require written procedures. Countries that have spe- successful pilot reforms. These simplify procedures cialized courts or specialized commercial sections in to allow "mass production." Small claims courts, with the general courts resolve commercial disputes about simpler procedural rules, have substantially reduced 40% faster than countries that don't. Gambia, Nigeria delays and are typically much cheaper than regular and Peru show the big gains to be had from specializa- courts. Last year the small claims courts in Melbourne, tion (figure 10.4). If reforms in the specialized courts Australia, raised their threshold to cover cases worth up yield satisfied users, they embolden governments to try to $100,000. These changes ensure that claims for small broader reforms.5 Notes 1. Qian and Strahan (2006). 2. Cooley, Marimon and Quadrini (2004). 3. Desai, Gompers and Lerner (2004) and Laeven and Woodruff (2004). 4. World Bank (2006a). 5. Ogoola (2006). 53 Closing a business In medieval Italy moneylenders conducted their trade Such reforms make it easier for small firms to get from benches set up in town squares. When a mon- credit, because better bankruptcy laws reassure creditors eylender became insolvent, his bench was broken-- that they will not lose their money if their debtor's busi- sometimes over his head. This custom became so as- ness goes sour. Recent research shows that in countries sociated with insolvency that banca rotta, Italian for with long and costly bankruptcy procedures, small firms "broken bench," eventually became bankrott in German, get only 9% of their new investment in bank credit while banqueroute in French and bankrupt in English. large firms get 34%, a difference of 25 percentage points.1 Today bankruptcy in most countries does not in- In countries with efficient bankruptcy the difference is volve the threat of serious head injury. But the procedure only 4 percentage points. is often more painful than it needs to be. In Chad and India More important, good bankruptcy laws close un- bankruptcy takes 10 years on average. Creditors recover viable businesses and reorganize viable ones.2 One ex- almost nothing (table 11.1). Even in the Czech Republic a ample of successful reform is Mexico, where the 2000 company can spend 9 years in bankruptcy. And in Maurita- reform of reorganization proceedings cut delays by 4 nia, where only one company was officially liquidated in the years. As a result only 44% of businesses that file for past decade, that liquidation took 11 years. reorganization end up in liquidation. Under the old law It doesn't have to be this way. A new bankruptcy law more than half did.3 drafted in the Czech Republic may drastically improve the efficiency of resolving financial distress. Brazil intro- Table 11.1 duced sweeping changes in 2004. It now has a re-organi- Where is it easy to close a business--and where not? zation procedure that helps viable enterprises stay alive Recovery Recovery and gives secured creditors more influence over the pro- Easiest rate Most difficult rate cess. The time to go through bankruptcy has fallen from Japan 9.7 Congo,Dem.Rep. .9 10 years to 4. The reform faced its first test in June 2005, Singapore 91. Haiti .0 when the Brazilian airline carrier Varig filed for bank- Norway 91.1 Philippines .0 Taiwan,China 89. Micronesia .1 ruptcy. In little more than a year the airline's assets were Canada 89. Angola .0 sold to a new owner and bankruptcy is nearly complete. Finland 89.1 Zimbabwe 0.1 Serbia also introduced reforms in 2004, setting Ireland 87.9 CentralAfricanRepublic 0.0 strict time limits and strengthening accountability stan- Belgium 8. Chad 0.0 Netherlands 8. Eritrea 0.0 dards for bankruptcy administrators. The average time UnitedKingdom 8. LaoPDR 0.0 for bankruptcy fell from 7 years to less than 3. And the Note: Rankings are based on the recovery rate: how many cents on the dollar claimants (creditors, recovery rate for creditors jumped by 45%. tax authorities and employees) recover from the insolvent firm. See the Data notes for details. Source: Doing Business database. DoINg BuSINESS 2007 Who is reforming? Table 11.2 Greater creditors' powers--a popular reform in 2005/06 Twelve economies made bankruptcy more efficient in 2005/06 (table 11.2). France and Italy adopted reforms Strengthened creditors' powers that increase the chance of success in reorganization. France,Korea,Romania,Slovakia Chile, Latvia and Serbia improved the regulation of Allowed preinsolvency proceedings and made reorganization more attractive bankruptcy administrators. Creditors got more say in France,Italy,Korea,Slovakia Puerto Rico, Romania, Slovakia and the United States. Slovakia was the top reformer in 2005/06. Its old Improved supervision of administrators Chile,Latvia,Serbia,Slovakia law gave creditors only a limited role in the bankruptcy process. Businesses often didn't enter bankruptcy until Shortened time limits PuertoRico,Slovakia,UnitedStates it was too late and their financial problems were severe. And once begun, bankruptcy could take 5 years or Introduced first bankruptcy law more. The reform changed all that. A company that is Burundi,Micronesia in financial difficulty but whose business is still viable Source: Doing Business database. can apply for reorganization before it is insolvent. An independent expert evaluates the business and assesses involvement of creditors in reorganizations: creditors' whether reorganization is likely to succeed. Creditors committees vote on the proposed reorganization plan. can form a committee to represent their interests. The Previously, creditors had little say. law also shortens time limits, speeding bankruptcy by at Elsewhere in Europe, Italy allowed financially dis- least 9 months. Expected recovery rates increased by 5 tressed businesses to seek a deal with creditors before percentage points, to 48 cents on the dollar. entering formal bankruptcy, a practice widely used in Korea, the runner-up in reform, condensed 4 bank- Germany and the United States. The new Italian law also ruptcy acts into 1. The new act encourages reorganization loosens the conditions for coming to terms with credi- by simplifying rules for keeping the business running. tors: while before an Italian business needed to satisfy And it gives creditors more power during bankruptcy by 40% of unsecured creditors and 100% of secured credi- allowing them to establish creditors' committees. tors to start reorganization, now it needs to satisfy only OECD countries have the highest recovery rates in secured creditors. bankruptcy (figure 11.1). Several are getting even bet- Burundi and Micronesia both enacted their first ter. The United States and France, 2 countries whose bankruptcy law. Burundi's law gives jurisdiction in bank- bankruptcy regulations are widely emulated around the ruptcy to the recently established commercial courts, world, reformed. The United States made it more difficult sets time limits and introduces creditors' committees. for debtors in reorganization to cause delays. Debtors Micronesia introduced a single procedure that can result have 120 days to propose a reorganization plan. While in either liquidation or reorganization. Still, bankruptcy the previous law allowed bankruptcy judges to extend FIGURE 11.1 this period at their discretion, the new law allows only 1 Highest recovery rate in OECD countries extension of up to 18 months. As a result creditors can now push earlier for liquidation of unviable businesses. Recovery rate (cents on the dollar) The expected time in bankruptcy fell from 2 years to 1.5. OECD high income 74 The new U.S. law also applies to Puerto Rico. East Asia France made reorganization more accessible to & Paci c 34 troubled companies, increasing the likelihood that viable Latin America & Caribbean 31 businesses will continue operating. A new procedure Eastern Europe & Central Asia 30 allows companies in financial difficulty to apply for Middle East bankruptcy protection before they are insolvent. The & North Africa 27 idea is to start reorganizing before it is too late. In addi- Sub-Saharan Africa 24 tion, creditors that lend money to businesses that are in 23 the preinsolvency procedures will receive priority in the South Asia payment of claims, making it more likely that distressed businesses will get new loans. France also increased the Source: Doing Business database. CLoSINg A BuSINESS there is an expensive undertaking (table 11.3). Several countries upgraded standards for bankruptcy Table 11.3 administrators. Serbia created a new agency to supervise Where is bankruptcy the most efficient--and where the least? administrators, established ethical standards for the pro- Time(years) fession and required administrators to pass an examina- Least Most tion. Chile changed its law to require exams of adminis- Ireland 0. Haiti .7 trators. It also imposed new rules on administrators' pay Japan 0. Belarus .8 that reduce the incentive for administrators to let cases Canada 0.8 Turkey .9 Singapore 0.8 Angola . drag on. Latvia introduced random selection of adminis- Taiwan,China 0.8 Maldives .7 trators for every bankruptcy case, to reduce corruption. Belgium 0.9 Ecuador 8.0 The benefits of some reforms may become appar- Finland 0.9 Mauritania 8.0 ent in 2007. FYR Macedonia passed a new bankruptcy Norway 0.9 CzechRepublic 9. law that introduces strict deadlines--some appeals must Australia 1.0 Chad 10.0 Belize 1.0 India 10.0 now be resolved in as little as 8 days. Creditors will have more influence over the bankruptcy procedure. And the Cost(%ofestate) claims in a bankruptcy case can now be consolidated, Least Most which will reduce delays and improve secured creditors' AntiguaandBarbuda 1.0 Albania 8 ability to enforce their claims. Nepal introduced its first Colombia 1.0 DominicanRepublic 8 bankruptcy law. But the commercial court designated to Kuwait 1.0 Fiji 8 Netherlands 1.0 Micronesia 8 administer bankruptcy cases has yet to be established. Norway 1.0 Guyana Peru and Uzbekistan changed their bankruptcy laws Singapore 1.0 SierraLeone for the worse. In Peru it is no longer possible to amend a Belgium . Ukraine reorganization plan once it has been approved. In effect, Canada . Chad the new law forces debtors and creditors to draft an en- Finland . CentralAfricanRepublic 7 tirely new plan if it becomes necessary to adjust the old Georgia . LaoPDR 7 one. Uzbekistan downgraded secured creditors' claims, Source: Doing Business database. placing them behind court fees, utility providers' claims, damages claims and employee compensation. This is easily the worst bankruptcy reform of the year. How to reform FIGURE 11.2 A country that wants efficient bankruptcy should regu- Foreclosure works best in poor countries late only what it can enforce. Sophisticated reorganiza- Recovery rate (cents on the dollar) tion procedures work only in rich countries, with expe- 75.7 rienced judges and lawyers and a liquid market for the Foreclosure Reorganization assets of reorganizing firms. In middle-income countries 59.7 a simpler procedure--liquidation--brings the most ben- efits to all parties, including employees and suppliers. In poor countries the highest return comes in debt 39.0 33.4 enforcement procedures--not in reorganization. The dif- 27.0 ferences in outcome are significant (figure 11.2). And the 20.1 likelihood of saving a viable firm is higher in a simple fore- closure or liquidation than in a reorganization proceeding. Poor Middle-income Rich Efforts to introduce complex reorganization procedures-- countries countries countries for example, in the Organization for the Harmonization Source: Doing Business database. of Commercial Law in Africa--only make matters worse. DoINg BuSINESS 2007 FIGURE 11.3 FIGURE 11.4 Creditor involvement increases the recovery rate Floating charges improve results in bankruptcy Recovery rate (cents on the dollar) Can an entire business be used as security for a loan? 60 51.3 53 50 YES YES 38.7 40 YES 29 YES NO NO NO NO 30 YES NO 20 Do creditors Do creditors Are administrator appoint vote on the reports led and replace the reorganization with creditors? Recovery rate Probability of saving administrator? plan? (cents on the dollar) a viable rm (%) Source: Doing Business database. Source: Doing Business database. The lesson: recognize limitations and introduce bankruptcy ceedings. Reducing delay makes the difference between regulations that the courts can handle. rescuing a viable business and seeing it close. In India an A country that wants to improve an existing law appeal on the initiation of enforcement proceedings can would give creditors a greater role--both in the reforms delay the process for up to a year. In this time a creditor's and in the bankruptcy process. This speeds the resolu- recovery rate will fall by at least 15 cents on the dollar. tion of insolvency and increases the possibility of sav- (Recognizing this, the government is preparing a revi- ing viable firms.4 Creditors have an interest in rescuing sion of the bankruptcy act.) viable companies and closing unviable ones. Countries Reformers can also implement simple administra- that let creditors decide what happens to a distressed tive changes. In Romania reformers amended the bank- business have a higher recovery rate for all parties in the ruptcy law with one goal--to speed the process. Analysis bankruptcy process--including employees and suppliers showed that one of the big bottlenecks was notifying --than those that do not (figure 11.3). France, Korea and all creditors of the bankruptcy. Each creditor had to be Slovakia, 3 of the reformers in 2005/06, have done just tracked down and sent a direct notice by registered mail. that: allowed the formation of creditors' committees or Invariably some notices were served improperly or not increased creditors' say in the bankruptcy process. delivered. Now notices are published only in a central Another reform trend is to limit appeals. Fast reso- register, which individual creditors can read. lution of bankruptcy is crucial, as the deterioration of But reformers shouldn't focus on bankruptcy law a company's value over time can rob creditors of any alone. One reform outside bankruptcy law with a big chance of getting their money back and rob employees of impact: allow creditors to take security over an entire their jobs. But many countries unnecessarily introduce business (a "floating charge"). This increases the likeli- delays by allowing multiple appeals on wide grounds. hood that a viable business can be sold as a going con- Any good lawyer will use all possibilities to delay the cern in liquidation and foreclosure proceedings, since it bankruptcy process--if that's what the client wants. In prevents creditors from laying claim to different assets Guatemala appeals delay bankruptcies for months on as of the company. Countries that allow floating charges little as a spelling error in documents. have a higher recovery rate than countries that don't Not all appeals need to halt the proceedings: an (figure 11.4). Denmark introduced a floating charge in initial bankruptcy order can go forward with appointing 2006, as have many Eastern European countries in the a trustee, forming creditors' committees and so on. If past decade. an appeal is successful, the court can suspend the pro- CLoSINg A BuSINESS 7 FIGURE 11.5 How Serbia reformed bankruptcy law 2002 2003 2004 2005 JAN · · · · · · · · · · · JAN · · · · · · · · · · · JAN · · · · · · · · · · · JAN 1. Minister of economy calls for a new bankruptcy law Privatization shows need for new bankruptcy regulation 2. Working group formed with gov't and private sector experts 3. Core working group drafts law 4. Core group distributes draft to broader working group 5. Working group consults courts and o cials on principles 6. Judges trained on the proposed law and its aims 7. Ministries of Finance and Justice approve draft law Serbian political crisis after assassination 8. Government adopts draft law of prime minister delays passage for 8 months 9. Parliament approves law 10. Statutory transition period, old law still in e ect New law takes e ect Source: Doing Business database. And a warning to reformers: judges and justice min- istry officials are usually the last to recognize the need Notes for reform. The reason is that in many countries legal training is based on enforcing the rule of law, not on 1. Galindo and Micco (2005). asking whether the rules are outdated and need change. 2. Djankov and others (2006). The push for reform comes mostly from banks and other 3. Gamboa-Cavazos and Schneider (2006). creditors and from governments that want to expand ac- 4. Djankov and others (2006). cess to finance to households and smaller firms. Still, the cooperation of the judiciary is essential to any bankruptcy reform. The drafters of Serbia's bankruptcy law recognized that the reform's success depended on judges' ability to carry it out. They invited commercial court judges to comment on the draft (fig- ure 11.5). They also held conferences to inform judges about the new law and organized trips for judges to observe how similar procedures work in other countries. 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DATA noTes 61 Data notes The indicators presented and analyzed in Doing Business The Doing Business methodology offers several advan- measure business regulation and the protection of property tages. It is transparent, using factual information about what rights--and their effect on businesses, especially small and laws and regulations say and allowing multiple interactions medium-size domestic firms. First, the indicators document with local respondents to clarify potential misinterpretations the degree of regulation, such as the number of procedures of questions. Having representative samples of respondents is to start a business or register commercial property. Second, not an issue, as the texts of the relevant laws and regulations they gauge regulatory outcomes, such as the time and cost are collected and answers checked for accuracy. The meth- to enforce a contract, go through bankruptcy or trade across odology is inexpensive and easily replicable, so data can be borders. Third, they measure the extent of legal protections collected in a large sample of economies--175 published in of property, for example, the protections of investors against Doing Business 2007. Because standard assumptions are used looting by company directors or the scope of assets that can in the data collection, comparisons and benchmarks are valid be used as collateral according to secured transactions laws. across countries. And the data not only highlight the extent Fourth, they measure the flexibility of employment regula- of obstacles to doing business but also help identify their tion. Finally, a set of indicators documents the tax burden on source, supporting policymakers in designing reform. businesses. The data for all sets of indicators in Doing Busi- The Doing Business methodology has 5 limitations that ness 2007 are for April 2006. should be considered when interpreting the data. First, The Doing Business data are collected in a standardized the collected data refer to businesses in the country's most way. To start, the Doing Business team, with academic advis- populous city and may not be representative of regulatory ers, designs a survey. The survey uses a simple business case practices in other parts of the country. Second, the data often to ensure comparability across countries and over time-- focus on a specific business form--a limited liability com- with assumptions about the legal form of the business, its pany of a specified size--and may not be representative of the size, its location and the nature of its operations. Surveys are regulation on other businesses, for example, sole proprietor- administered through more than 5,000 local experts, includ- ships. Third, transactions described in a standardized case ing lawyers, business consultants, accountants, government study refer to a specific set of issues and may not represent officials and other professionals routinely administering the full set of issues a business encounters. Fourth, the mea- or advising on legal and regulatory requirements. These sures of time involve an element of judgment by the expert experts have several (typically 4) rounds of interaction with respondents. When sources indicate different estimates, the the Doing Business team, involving conference calls, writ- time indicators reported in Doing Business represent the ten correspondence and country visits. For Doing Business median values of several responses given under the assump- 2007 team members visited 65 countries to verify data and tions of the case study. Fifth, the methodology assumes that expand the pool of respondents. The data from surveys are a business has full information on what is required and does subjected to numerous tests for robustness, which lead to not waste time when completing procedures. In practice, revisions or expansions of the information collected. completing a procedure may take longer if the business lacks information or is unable to follow up promptly. 62 Doing Business 2007 The methodology for 4 of the Doing Business topics In other cases complaints were resolved without a need for changed for Doing Business 2007. For paying taxes, the total corrections, through explanations of the assumptions un- tax rate measure now includes all labor contributions paid derlying the methodology and the date as of which data are by the employer (such as social security contributions) and collected. In addition, the Doing Business team has corrected excludes consumption taxes (such as sales tax or value added 37 data points as a result of new information obtained during tax). And the measure is now expressed as a percentage of its travel and the recruitment of additional respondents. The commercial profits rather than gross profits. This change ease of doing business index reflects these changes. For these reflects the total tax burden borne by businesses. For enforc- reasons--as well as the addition of 20 new economies--this ing contracts, the case study was revised to reflect a typical year's rankings on the ease of doing business are not compa- contractual dispute over the quality of goods rather than a rable with the rankings reported in Doing Business in 2006. simple debt default. For trading across borders, Doing Business To make comparisons across time, table 1.2 reports recalcu- now reports the cost associated with exporting and importing lated rankings for last year. cargo in addition to the time and number of documents required. The laws and regulations underlying the Doing Business And for employing workers, hiring costs are no longer included data are now available on the Doing Business website at in the calculation of the ease of employing workers. http://www.doingbusiness.org. All the sample surveys and Doing Business now publishes more than 8,750 data points. the details underlying the indicators are also published on Since the publication of Doing Business in 2006, 19 challenges the website. Questions on the methodology and challenges to last year's data have been received. In 6 cases--Algeria, to data may be submitted through the "Ask a Question" func- France, Hong Kong (China), Jordan, Morocco and the United tion on the Doing Business home page. Updated indicators, as Kingdom--every data point was reviewed by government well as any revisions of or corrections to the printed data, are experts. The challenges resulted in 12 corrections to the data. posted continuously on the website. Economy characteristics Region and income group Gross national income (GNI) per capita Doing Business uses the World Bank regional and income group Doing Business 2007 reports 2005 income per capita as pub- classifications, available at http://www.worldbank.org/data/ lished in the World Bank's World Development Indicators countryclass/countryclass.html. Throughout the report the term 2006. Income is calculated using the Atlas method (current rich economies refers to the high-income group, middle-income US$). For cost indicators expressed as a percentage of income economies to the upper-middle-income group and poor econo- per capita, 2005 GNI in local currency units is used as the de- mies to the lower-middle-income and low-income groups. nominator. GNI data were not available from the World Bank for Equatorial Guinea, Puerto Rico and West Bank and Gaza. Population In these cases GDP or GNP per capita data from the Econo- Doing Business 2007 reports midyear 2005 population statis- mist Intelligence Unit 2005 country profiles were used. tics as published in World Development Indicators 2006. Starting a business in the start-up process function efficiently and without cor- ruption. If answers by local experts differ, inquiries continue Doing Business records all procedures that are officially re- until the data are reconciled. quired for an entrepreneur to start up and formally operate To make the data comparable across countries, several as- an industrial or commercial business. These include obtain- sumptions about the business and the procedures are used. ing all necessary licenses and permits and completing any required notifications, verifications or inscriptions for the Assumptions about the business company and employees with relevant authorities. The business: After a study of laws, regulations and publicly available · Is a limited liability company. If there is more than one information on business entry, a detailed list of procedures type of limited liability company in the country, the is developed, along with the time and cost of complying with limited liability form most popular among domestic each procedure under normal circumstances and the paid-in firms is chosen. Information on the most popular form minimum capital requirements. Subsequently, local incorpo- is obtained from incorporation lawyers or the statistical ration lawyers and government officials complete and verify office. the data. On average 4 law firms participate in each country. · Operates in the country's most populous city. Information is also collected on the sequence in which · Is 100% domestically owned and has 5 owners, none of procedures are to be completed and whether procedures may whom is a legal entity. be carried out simultaneously. It is assumed that any required · Has start-up capital of 10 times income per capita at the information is readily available and that all agencies involved end of 2005, paid in cash. DATA noTes 63 · Performs general industrial or commercial activities, such Time as the production or sale of products or services to the public. It does not perform foreign trade activities and Time is recorded in calendar days. The measure captures the does not handle products subject to a special tax regime, median duration that incorporation lawyers indicate is nec- for example, liquor or tobacco. The business is not using essary to complete a procedure. It is assumed that the mini- heavily polluting production processes. mum time required for each procedure is 1 day. Although · Leases the commercial plant and offices and is not a procedures may take place simultaneously, they cannot start proprietor of real estate. on the same day. A procedure is considered completed once · Does not qualify for investment incentives or any special the company has received the final document, such as the benefits. company registration certificate or tax number. If a procedure · Has up to 50 employees 1 month after the commencement can be accelerated for an additional cost, the fastest proce- of operations, all of them nationals. dure is chosen. It is assumed that the entrepreneur does not · Has a turnover of at least 100 times income per capita. waste time and commits to completing each remaining pro- · Has a company deed 10 pages long. cedure without delay. The time that the entrepreneur spends on gathering information is ignored. It is assumed that the Procedures entrepreneur is aware of all entry regulations and their se- A procedure is defined as any interaction of the company quence from the beginning but has had no prior contact with founder with external parties (government agencies, lawyers, any of the officials. auditors, notaries). Interactions between company found- ers or company officers and employees are not counted Cost as procedures. Procedures that must be completed in the Cost is recorded as a percentage of the country's income per same building but in different offices are counted as sepa- capita. Only official costs are recorded. The company law, the rate procedures. The founders are assumed to complete all commercial code and specific regulations and fee schedules procedures themselves, without middlemen, facilitators, ac- are used as sources for calculating costs. In the absence of fee countants or lawyers, unless the use of such a third party is schedules, a government officer's estimate is taken as an offi- mandated by law. cial source. In the absence of a government officer's estimate, Both pre- and post-incorporation procedures that are estimates of incorporation lawyers are used. If several incor- officially required for an entrepreneur to formally operate poration lawyers provide different estimates, the median re- a business are recorded. Procedures that are not required ported value is applied. In all cases the cost excludes bribes. to start and formally operate a business are ignored. For ex- ample, obtaining exclusive rights over the company name is Paid-in minimum capital not counted in a country where businesses may use a number Thepaid-inminimumcapitalrequirementreflectstheamount as identification. that the entrepreneur needs to deposit in a bank before regis- Procedures required for official correspondence or trans- tration starts and is recorded as a percentage of the country's actions with public agencies are included. For example, if a income per capita. The amount is typically specified in the company seal or stamp is required on official documents, commercial code or the company law. Many countries have such as tax declarations, obtaining it is counted. Similarly, if a minimum capital requirement but allow businesses to pay a company must open a bank account before registering for only a part of it before registration, with the rest to be paid sales tax or value added tax, this transaction is included as a after the first year of operation. In Mozambique in March procedure. Shortcuts are counted only if they fulfill 3 criteria: 2006, for example, the minimum capital requirement for lim- they are legal, they are available to the general public, and ited liability companies was 1,500,000 meticais, of which half avoiding them causes substantial delays. was payable before registration. The paid-in minimum capital Only procedures required of all businesses are covered. recorded for Mozambique is therefore 750,000 meticais, or Industry-specific procedures are excluded. For example, 10% of income per capita. In the Philippines the minimum procedures to comply with environmental regulations are capital requirement was 5,000 pesos, but only a quarter included only when they apply to all businesses conducting needed to be paid before registration. The paid-in minimum general commercial or industrial activities. Procedures that capital recorded for the Philippines is therefore 1,250 pesos, the company undergoes to connect to electricity, water, gas or 2% of income per capita. and waste disposal services are not included. This methodology was developed in Djankov and others (2002) and is adopted here with minor changes. 64 Doing Business 2007 Dealing with licenses · Is a new construction (there was no previous construction on the land). Doing Business records all procedures required for a busi- · Has complete architectural and technical plans. ness in the construction industry to build a standardized · Will be connected to electricity, water, sewerage and one warehouse as an example of dealing with licenses. These land phone line. The connection to each utility network procedures include obtaining all necessary licenses and per- will be 32 feet, 10 inches (10 meters) long. mits, receiving all required inspections and completing all · Will require a 10-ampere power connection and 140 required notifications and submitting the relevant documents kilowatts of electricity. (for example, building plans and site maps) to the authorities. · Will be used for storing books. Doing Business also records procedures for obtaining utility connections, such as electricity, telephone, water and sewer- Procedures age. Procedures necessary to be able to use the property as A procedure is any interaction of the company's employees collateral or transfer it to another business are also counted. or managers with external parties, including government The survey divides the process of building a warehouse into agencies, public inspectors, notaries, the land registry and distinct procedures and calculates the time and cost of com- cadastre and technical experts apart from architects and pleting each procedure under normal circumstances. engineers. Interactions between company employees, such Information is collected from construction lawyers, con- as development of the warehouse plans and inspections struction firms, utility service providers and public officials conducted by employees, are not counted as procedures. who deal with building regulations. To make the data com- Procedures that the company undergoes to connect to elec- parable across countries, several assumptions about the busi- tricity, water, sewerage and phone services are included. All ness, the warehouse project and the procedures are used. procedures that are legally or in practice required for build- ing a warehouse are counted, even if they may be avoided in Assumptions about the construction company exceptional cases. The business (BuildCo): Time · Is a limited liability company. · Operates in the country's most populous city. Time is recorded in calendar days. The measure captures · Is 100% domestically owned and has 5 owners, none of the median duration that local experts indicate is necessary whom is a legal entity. to complete a procedure. It is assumed that the minimum · Carries out construction projects, such as building a time required for each procedure is 1 day. If a procedure warehouse. can be accelerated legally for an additional cost, the fast- · Has up to 20 builders and other employees, all of them est procedure is chosen. It is assumed that BuildCo does nationals with the technical expertise and professional not waste time and commits to completing each remaining experiencenecessarytodeveloparchitecturalandtechnical procedure without delay. The time that BuildCo spends plans for building a warehouse. on gathering information is ignored. It is assumed that BuildCo is aware of all building requirements and their Assumptions about the warehouse project sequence from the beginning. The warehouse: Cost · Has 2 stories and approximately 14,000 square feet (1,300.6 square meters). Each floor is 9 feet, 10 inches (3 meters) Cost is recorded as a percentage of the country's income per high. capita. Only official costs are recorded. The building code, · Is located in a periurban area of the country's most specific regulations and fee schedules and information from populous city. local experts are used as sources for costs. If several local · Is located on a land plot of 10,000 square feet (929 partners provide different estimates, the median reported square meters), which is 100% owned by BuildCo and is value is used. All the fees associated with completing the accurately registered in the cadastre and land registry. procedures to legally build a warehouse, including utility hook-up, are included. DATA noTes 65 Employing workers task. A score of 1 is assigned if the maximum cumulative du- ration of term contracts is less than 3 years; 0.5 if it is between Doing Business measures the regulation of employment, spe- 3 and 5 years; and 0 if term contracts can last 5 years or more. cifically as it affects the hiring and firing of workers and the Finally, a score of 1 is assigned if the ratio of the minimum rigidity of working hours. The data on employing workers wage to the average value added per worker is higher than are based on a detailed survey of employment regulations 0.75; 0.67 for a ratio greater than 0.50 and less than or equal that is completed by local law firms. The employment laws of to 0.75; 0.33 for a ratio greater than 0.25 and less than or most countries are available online in the NATLEX database, equal to 0.50; and 0 for a ratio less than or equal to 0.25. In published by the International Labour Organization. Laws the Central African Republic, for example, term contracts and regulations as well as secondary sources are reviewed are allowed only for temporary tasks (a score of 1), and they to ensure accuracy. Conflicting answers are further checked can be used for a maximum of 2 years (a score of 1). The against 2 additional sources, including a local legal treatise on ratio of the mandated minimum wage to the value added per employment regulation. worker is 0.66 (a score of 0.67). Averaging the three subin- To make the data comparable across countries, several as- dices and scaling the index to 100 gives the Central African sumptions about the worker and the business are used. Republic a score of 89. The rigidity of hours index has 5 components: (i) whether Assumptions about the worker night work is unrestricted; (ii) whether weekend work is un- The worker: restricted; (iii) whether the workweek can consist of 5.5 days; · Is a nonexecutive, full-time male employee who has (iv) whether the workweek can extend to 50 hours or more worked in the same company for 20 years. (including overtime) for 2 months a year; and (v) whether · Earns a salary plus benefits equal to the country's average paid annual vacation is 21 working days or fewer. For each of wage during the entire period of his employment. these questions, if the answer is no, the country is assigned · Is a lawful citizen with a wife and 2 children. The family a score of 1; otherwise a score of 0 is assigned. For example, resides in the country's most populous city. Montenegro imposes restrictions on night work (a score of 1) · Is not a member of a labor union, unless membership is and weekend work (a score of 1), allows 5.5-day workweeks mandatory. (a score of 0), permits 50-hour workweeks for 2 months (a score of 0) and requires paid vacation of 20 working days (a Assumptions about the business score of 0). Averaging the scores and scaling the result to 100 The business: gives a final index of 40 for Montenegro. · Is a limited liability company. The difficulty of firing index has 8 components: (i) · Operates in the country's most populous city. whether redundancy is disallowed as a basis for terminating workers; (ii) whether the employer needs to notify a third · Is 100% domestically owned. party (such as a government agency) to terminate 1 redun- · Operates in the manufacturing sector. dant worker; (iii) whether the employer needs to notify a · Has 201 employees. third party to terminate a group of more than 20 redundant · Abides by every law and regulation but does not grant workers; (iv) whether the employer needs approval from a workers more benefits than what is legally mandated. third party to terminate 1 redundant worker; (v) whether · Is subject to collective bargaining agreements in countries the employer needs approval from a third party to terminate where such bargaining covers more than half the a group of more than 20 redundant workers; (vi) whether manufacturing sector. the law requires the employer to consider reassignment or Rigidity of employment index retraining options before redundancy termination; (vii) whether priority rules apply for redundancies; and (viii) The rigidity of employment index is the average of three sub- whether priority rules apply for reemployment. For the first indices: a difficulty of hiring index, a rigidity of hours index question an answer of yes for workers of any income level and a difficulty of firing index. All the subindices have several gives a score of 10 and means that the rest of the questions do components. And all take values between 0 and 100, with not apply. An answer of yes to question (iv) gives a score of higher values indicating more rigid regulation. 2. For every other question, if the answer is yes, a score of 1 The difficulty of hiring index measures (i) whether term is assigned; otherwise a score of 0 is given. Questions (i) and contracts can be used only for temporary tasks; (ii) the (iv), as the most restrictive regulations, have greater weight in maximum cumulative duration of term contracts; and (iii) the construction of the index. the ratio of the minimum wage for a trainee or first-time In Tunisia, for example, redundancy is allowed as grounds employee to the average value added per worker. A country for termination (a score of 0). An employer has to both notify is assigned a score of 1 if term contracts can be used only for a third party (a score of 1) and obtain its approval (a score of temporary tasks and a score of 0 if they can be used for any 2) to terminate a single redundant worker, and has to both 66 Doing Business 2007 notify a third party (a score of 1) and obtain its approval and temporary disability benefits; 1.7% for permanent dis- (a score of 1) to terminate a group of redundant workers. ability and survivor benefits; and 2% for housing. The law mandates consideration of retraining or alternative placement before termination (a score of 1). There are prior- Firing cost ity rules for termination (a score of 1) and reemployment (a The firing cost indicator measures the cost of advance notice score of 1). Adding up the scores and scaling to 100 gives a requirements, severance payments and penalties due when final index of 80 for Tunisia. terminating a redundant worker, expressed in weekly wages. One month is recorded as 4 and 1/3 weeks. In Mozambique, Nonwage labor cost for example, an employer is required to give 90 days' notice The nonwage labor cost indicator measures all social security before a redundancy termination, and the severance pay for payments (including retirement fund; sickness, maternity workers with 20 years of service equals 30 months of wages. and health insurance; workplace injury; family allowance; No penalty is levied. Altogether, the employer pays the equiv- and other obligatory contributions) and payroll taxes associ- alent of 143 weeks of salary to dismiss the worker. ated with hiring an employee in fiscal year 2005. The cost is expressed as a percentage of the worker's salary. In Bolivia, This methodology was developed in Botero and others (2004) for example, the taxes paid by the employer amount to 13.7% and is adopted here with minor changes. of the worker's wages and include 10% for sickness, maternity Registering property · Is adequately measured and filed in the cadastre, registered in the land registry and free of title disputes. Doing Business records the full sequence of procedures · Is located in a periurban commercial zone, and no necessary when a business purchases land and a building rezoning is required. to transfer the property title from the seller to the buyer so · Consists of land and a building. The land area is 6,000 that the buyer can use the property for expanding its busi- square feet (557.4 square meters). A 2-story warehouse of ness, as collateral in taking new loans or, if necessary, to sell 10,000 square feet (929 square meters) is located on the to another business. Every required procedure is included, land. The warehouse is 10 years old, is in good condition whether it is the responsibility of the seller or the buyer or and complies with all safety standards, building codes and other legal requirements. The property of land and must be completed by a third party on their behalf. Local building will be transferred in its entirety. property lawyers and property registries provide information · Will not be subject to renovations or additional building on required procedures as well as the time and cost to com- following the purchase. plete each of them. · Has no trees, natural water sources, natural reserves or To make the data comparable across countries, several historical monuments of any kind. assumptions about the business, the property and the proce- · Will not be used for special purposes, and no special dures are used. permits, such as for residential use, industrial plants, waste storage or certain types of agricultural activities, are Assumptions about the business required. The business: · Has no occupants (legal or illegal), and no other party · Is a limited liability company. holds a legal interest in it. · Is located in a periurban area of the country's most populous city. Procedures · Is 100% domestically and privately owned. A procedure is defined as any interaction of the buyer or the · Has 50 employees, all of whom are nationals. seller, their agents (if an agent is legally or in practice required) · Performs general commercial activities. or the property with external parties, including government agencies, inspectors, notaries and lawyers. Interactions be- Assumptions about the property tween company officers and employees are not considered. All procedures that are legally or in practice required for The property: registering property are recorded, even if they may be avoided · Has a value of 50 times income per capita. in exceptional cases. It is assumed that the buyer follows the · Is fully owned by another domestic limited liability fastest legal option available and used by the general public. company. Although the business may use lawyers or other professionals · Has no mortgages attached and has been under the same where necessary in the registration process, it is assumed that ownership for the past 10 years. it does not employ an outside facilitator in the registration process unless legally or in practice required to do so. DATA noTes 67 Time Cost Time is recorded in calendar days. The measure captures the Cost is recorded as a percentage of the property value, as- median duration that property lawyers or registry officials in- sumed to be equivalent to 50 times income per capita. Only dicate is necessary to complete a procedure. It is assumed that official costs required by law are recorded, including fees, the minimum time required for each procedure is 1 day. Al- transfer taxes, stamp duties and any other payment to the though procedures may take place simultaneously, they can- property registry, notaries, public agencies or lawyers. Other not start on the same day. It is assumed that the buyer does taxes, such as capital gains tax or value added tax, are ex- not waste time and commits to completing each remaining cluded from the cost measure. If cost estimates differ among procedure without delay. If a procedure can be accelerated sources, the median reported value is used. for an additional cost, the fastest legal procedure available and used by the general public is chosen. If procedures can be undertaken simultaneously, it is assumed that they are. It is assumed that the parties involved are aware of all regula- tions and their sequence from the beginning. Time spent on gathering information is not considered. Getting credit · Any legal or natural person may grant or take security in the property. Doing Business constructs measures of the legal rights of · A unified registry operates that includes charges over borrowers and lenders and the sharing of credit information. movable property. The first set of indicators describes how well collateral and · Secured creditors have priority outside of bankruptcy. bankruptcy laws facilitate lending. The second set measures · Secured creditors, rather than other parties such as the coverage, scope, quality and accessibility of credit infor- government or workers, are paid first out of the proceeds mation available through public and private credit registries. from liquidating a bankrupt firm. The data on the legal rights of borrowers and lenders are · Secured creditors are able to seize their collateral when a gathered through a survey of financial lawyers and verified debtor enters reorganization; there is no "automatic stay" through analysis of laws and regulations as well as public or "asset freeze" imposed by the court. sources of information on collateral and bankruptcy laws. · Management does not stay during reorganization. An The data on credit information sharing are built in two stages. administrator is responsible for managing the business First, banking supervision authorities and public informa- during reorganization. tion sources are surveyed to confirm the presence of public · Parties may agree on enforcement procedures by contract. credit registries and private credit information bureaus. · Creditors may both seize and sell collateral out of court Second, when applicable, a detailed survey on the public or without restriction. private credit registry's structure, law and associated rules is administered to the credit registry. Survey responses are The index ranges from 0 to 10, with higher scores indicating verified through several rounds of follow-up communication that collateral and bankruptcy laws are better designed to with respondents as well as by contacting third parties and expand access to credit. consulting public sources. The survey data are confirmed Depth of credit information index through teleconference calls in most countries. The depth of credit information index measures rules affect- Strength of legal rights index ing the scope, accessibility and quality of credit information The strength of legal rights index measures the degree to available through either public or private credit registries. A which collateral and bankruptcy laws protect the rights of score of 1 is assigned for each of the following 6 features of borrowers and lenders and thus facilitate lending. The index the credit information system: includes 7 aspects related to legal rights in collateral law and · Both positive (for example, amount of loan and on-time 3 aspects in bankruptcy law. A score of 1 is assigned for each repayment pattern) and negative (for instance, number of the following features of the laws: and amount of defaults, late payments, bankruptcies) credit information is distributed. · General rather than specific description of assets is permitted in collateral agreements. · Data on both firms and individuals are distributed. · General rather than specific description of debt is · Data from retailers, trade creditors or utilities as well as permitted in collateral agreements. financial institutions are distributed. 68 Doing Business 2007 · More than 2 years of historical data are distributed. percentage of the adult population. A public credit registry is · Data on loans above 1% of income per capita are defined as a database managed by the public sector, usually by distributed. the central bank or the superintendent of banks, that collects · By law, borrowers have the right to access their data. information on the creditworthiness of borrowers (persons or businesses) in the financial system and makes it available The index ranges from 0 to 6, with higher values indicating to financial institutions. If no public registry operates, the the availability of more credit information, from either a pub- coverage value is 0. lic registry or a private bureau, to facilitate lending decisions. In Turkey, for example, both a public and a private registry Private credit bureau coverage operate. Both distribute positive and negative information The private credit bureau coverage indicator reports the (a score of 1). The private bureau distributes data only on number of individuals or firms listed by a private credit bu- individuals, but the public registry covers firms as well as in- reau with current information on repayment history, unpaid dividuals (a score of 1). The public and private registries share debts or credit outstanding. The number is expressed as a data among financial institutions only; no data are collected percentage of the adult population. A private credit bureau from retailers or utilities (a score of 0). The private bureau is defined as a private firm or nonprofit organization that distributes more than 2 years of historical data (a score of 1). maintains a database on the creditworthiness of borrowers The public registry collects data only on loans of $3,132 (66% (persons or businesses) in the financial system and facilitates of income per capita) or more, but the private bureau collects the exchange of credit information among banks and fi- information on loans of any value (a score of 1). Borrowers nancial institutions. Credit investigative bureaus and credit have the right to access their data (a score of 1). Summing reporting firms that do not directly facilitate information across the indicators gives Turkey a total score of 5. exchange between banks and other financial institutions are not considered. If no private bureau operates, the coverage Public credit registry coverage value is 0. The public credit registry coverage indicator reports the number of individuals and firms listed in a public credit reg- This methodology was developed in Djankov, McLiesh and istry with current information on repayment history, unpaid Shleifer (forthcoming) and is adopted here with minor debts or credit outstanding. The number is expressed as a changes. Protecting investors · Has only national shareholders. · Has invested only in the country and has no subsidiaries Doing Business measures the strength of minority shareholder or operations abroad. protections against directors' misuse of corporate assets for · Is a food manufacturer. personal gain. The indicators distinguish 3 dimensions of · Has its own distribution network. investor protection: transparency of transactions (extent of disclosure index), liability for self-dealing (extent of director Assumptions about the transaction liability index) and shareholders' ability to sue officers and · Mr. James is Buyer's controlling shareholder and a member directors for misconduct (ease of shareholder suits index). of Buyer's board of directors. He owns 60% of Buyer and The data come from a survey of corporate lawyers and are elected 2 directors to Buyer's 5-member board. based on company laws, court rules of evidence and securi- · Mr. James also owns 90% of Seller, a company that ties regulations. operates a chain of retail hardware stores. Seller recently To make the data comparable across countries, several as- closed a large number of its stores. sumptions about the business and the transaction are used. · Mr. James proposes to Buyer that it purchase Seller's unused fleet of trucks to expand Buyer's distribution of its Assumptions about the business food products. Buyer agrees. The price is equal to 10% of The business (Buyer): Buyer's assets and is higher than the market value. · Is a publicly traded corporation listed on the country's · The proposed transaction is part of the company's ordinary most important stock exchange. If the number of publicly course of business and is not outside the authority of the traded companies listed on that exchange is less than company. 10, or if there is no stock exchange in the country, it · Buyer enters into the transaction. All required approvals is assumed that Buyer is a large private company with are obtained, and all required disclosures made. multiple shareholders. · The transaction is unfair to Buyer. Shareholders sue · Has a board of directors and a chief executive officer Mr. James and the other parties that approved the (CEO) who may legally act on behalf of Buyer where transaction. permitted, even if this is not specifically required by law. DATA noTes 69 Extent of disclosure index damage the transaction causes to the company (a score of 0 is The extent of disclosure index has 5 components: (i) what assigned if the approving body cannot be held liable or can be corporate body can provide legally sufficient approval for held liable only for fraud or bad faith; 1 if the approving body the transaction (a score of 0 is assigned if it is the CEO or can be held liable for negligence; 2 if the approving body can the managing director alone; 1 if the board of directors or be held liable when the transaction is unfair or prejudicial shareholders must vote and Mr. James is permitted to vote; to the other shareholders); (iii) whether a court can void the 2 if the board of directors must vote and Mr. James is not transaction upon a successful claim by a shareholder plain- permitted to vote; 3 if shareholders must vote and Mr. James tiff (a score of 0 is assigned if rescission is unavailable or is is not permitted to vote); (ii) whether immediate disclosure available only in case of fraud or bad faith; 1 if rescission is of the transaction to the public, the shareholders or both is available when the transaction is oppressive or prejudicial required (a score of 0 is assigned if no disclosure is required; to the other shareholders; 2 if rescission is available when 1 if disclosure on the terms of the transaction but not Mr. the transaction is unfair or entails a conflict of interest); (iv) James's conflict of interest is required; 2 if disclosure on both whether Mr. James pays damages for the harm caused to the the terms and Mr. James's conflict of interest is required); (iii) company upon a successful claim by the shareholder plaintiff whether disclosure in the annual report is required (a score (a score of 0 is assigned if no; 1 if yes); (v) whether Mr. James of 0 is assigned if no disclosure on the transaction is required; repays profits made from the transaction upon a successful 1 if disclosure on the terms of the transaction but not Mr. claim by the shareholder plaintiff (a score of 0 is assigned if James's conflict of interest is required; 2 if disclosure on both no; 1 if yes); (vi) whether fines and imprisonment can be ap- the terms and Mr. James's conflict of interest is required); (iv) plied against Mr. James (a score of 0 is assigned if no; 1 if yes); whether disclosure by Mr. James to the board of directors is and (vii) shareholder plaintiffs' ability to sue directly or de- required (a score of 0 is assigned if no disclosure is required; rivatively for damage the transaction causes to the company 1 if a general disclosure of the existence of a conflict of inter- (a score of 0 is assigned if suits are unavailable or are available est is required without any specifics; 2 if full disclosure of all only for shareholders holding more than 10% of the compa- material facts relating to Mr. James's interest in the Buyer- ny's share capital; 1 if direct or derivative suits are available Seller transaction is required); and (v) whether it is required for shareholders holding 10% or less of share capital). that an external body, for example, an external auditor, review The index ranges from 0 to 10, with higher values indicat- the transaction before it takes place (a score of 0 is assigned ing greater liability of directors. To hold Mr. James liable in if no; 1 if yes). Panama, for example, a plaintiff must prove that Mr. James The index ranges from 0 to 10, with higher values indicat- influenced the approving body or acted negligently (a score ing greater disclosure. In Poland, for example, the board of of 1). To hold the other directors liable, a plaintiff must prove directors must approve the transaction and Mr. James is not that they acted negligently (a score of 1). The unfair transac- allowed to vote (a score of 2). Buyer is required to disclose tion cannot be voided (a score of 0). If Mr. James is found li- immediately all information affecting the stock price, includ- able, he must pay damages (a score of 1) but he is not required ing the conflict of interest (a score of 2). In its annual report to disgorge his profits (a score of 0). Mr. James cannot be Buyer must also disclose the terms of the transaction and Mr. fined or imprisoned (a score of 0). Direct suits are available James's ownership in Buyer and Seller (a score of 2). Before for shareholders holding 10% or less of share capital (a score the transaction Mr. James must disclose his conflict of inter- of 1). Adding these numbers gives Panama a score of 4 on the est to the other directors, but he is not required to provide extent of director liability index. specific information about it (a score of 1). Poland does not Ease of shareholder suits index require an external body to review the transaction (a score of 0). Adding these numbers gives Poland a score of 7 on the The ease of shareholder suits index measures (i) the range extent of disclosure index. of documents available to the shareholder plaintiff from the defendant and witnesses during trial (a score of 1 is assigned Extent of director liability index for each of the following types of documents available: infor- The extent of director liability index measures (i) a share- mation that the defendant has indicated he intends to rely on holder plaintiff's ability to hold Mr. James liable for damage for his defense; information that directly proves specific facts the Buyer-Seller transaction causes to the company (a score in the plaintiff's claim; any information relevant to the subject of 0 is assigned if Mr. James cannot be held liable or can be matter of the claim; and any information that may lead to the held liable only for fraud or bad faith; 1 if Mr. James can be discovery of relevant information); (ii) whether the plaintiff held liable only if he influenced the approval of the trans- can directly examine the defendant and witnesses during trial action or was negligent; 2 if Mr. James can be held liable (a score of 0 is assigned if no; 1 if yes, with prior approval of when the transaction was unfair or prejudicial to the other the questions by the judge; 2 if yes, without prior approval); shareholders); (ii) a shareholder plaintiff's ability to hold the (iii) whether the plaintiff can obtain any documents from the approving body (the CEO or board of directors) liable for defendant without identifying them specifically (a score of 0 is assigned if no; 1 if yes); (iv) whether shareholders owning 70 Doing Business 2007 10% or less of the company's share capital can request that a transaction) (a score of 0). A shareholder holding 5% of Buy- government inspector investigate the Buyer-Seller transaction er's shares can request that a government inspector review (a score of 0 is assigned if no; 1 if yes); (v) whether sharehold- suspected mismanagement by Mr. James and the CEO (a ers owning 10% or less of the company's share capital have the score of 1). And any shareholder can inspect the transaction right to inspect the transaction documents before filing suit documents before deciding whether to sue (a score of 1). The (a score of 0 is assigned if no; 1 if yes); and (vi) whether the standard of proof for civil suits is the same as that for crimi- standard of proof for civil suits is lower than that for a crimi- nal suits (a score of 0). Adding these numbers gives Greece a nal case (a score of 0 is assigned if no; 1 if yes). score of 5 on the ease of shareholder suits index. The index ranges from 0 to 10, with higher values indicat- ing greater powers of shareholders to challenge the transac- Strength of investor protection index tion. In Greece, for example, the plaintiff can access docu- The strength of investor protection index is the average of ments that the defendant intends to rely on for his defense the extent of disclosure index, the extent of director liability and that directly prove facts in the plaintiff's claim (a score index and the ease of shareholder suits index. The index of 2). The plaintiff can examine the defendant and witnesses ranges from 0 to 10, with higher values indicating better during trial, though only with prior approval of the questions investor protection. by the court (a score of 1). The plaintiff must specifically identify the documents being sought (for example, the Buyer- This methodology was originally developed in Djankov, La Seller purchase agreement of July 15, 2005) and cannot just Porta, Lopez-de-Silanes and Shleifer (2005) and is adopted request categories (for example, all documents related to the here with minor changes. Paying taxes · Is 100% domestically owned and has 5 owners, all of whom are natural persons. Doing Business records the tax that a medium-size company · Has a start-up capital of 102 times income per capita at the must pay or withhold in a given year, as well as measures of end of 2004. the administrative burden in paying taxes. Taxes are measured · Performs general industrial or commercial activities. at all levels of government and include the profit or corporate Specifically, it produces ceramic flowerpots and sells them income tax, social security contributions and labor taxes paid at retail. It does not participate in foreign trade (no import by the employer, property taxes, property transfer taxes, the or export) and does not handle products subject to a dividend tax, the capital gains tax, the financial transactions special tax regime, for example, liquor or tobacco. tax, waste collection taxes and vehicle and road taxes. · Owns2plotsofland,1building,machinery,officeequipment, To measure the tax paid by a standardized business and computers and 1 truck and leases another truck. the complexity of a country's tax law, a case study is prepared · Does not qualify for investment incentives or any special with a set of financial statements and assumptions about benefits apart from those related to the age or size of the company. transactions made over the year. Experts in each country compute the taxes owed in their jurisdiction based on the · Has 60 employees--4 managers, 8 assistants and 48 workers. All are nationals, and 1 of the managers is also standardized case facts. Information on the frequency of fil- an owner. ing, audits and other costs of compliance is also compiled. · Has a turnover of 1,050 times income per capita. The project was developed and implemented in cooperation with PricewaterhouseCoopers. · Makes a loss in the first year of operation. To make the data comparable across countries, several as- · Has the same gross margin (pre-tax) across all sumptions about the business and the taxes are used. economies. · Distributes 50% of its profits as dividends to the owners at Assumptions about the business the end of the second year. The business: · Sells one of its plots of land at a profit during the second year. · Is a limited liability, taxable company. If there is more than one type of limited liability company in the country, the · Is subject to a series of detailed assumptions on expenses limited liability form most popular among domestic firms and transactions to further standardize the case. is chosen. Incorporation lawyers or the statistical office report the most popular form. Assumptions about the taxes · Started operations on January 1, 2004. At that time the · All the taxes paid or withheld in the second year of company purchased all the assets shown in its balance operation are recorded. A tax is considered distinct if it sheet and hired all its workers. has a different name or is collected by a different agency. · Operates in the country's most populous city. Taxes with the same name and agency, but charged at different rates depending on the business, are counted as the same tax. DATA noTes 71 · The number of times the company pays or withholds Total tax rate taxes in a year is the number of different taxes multiplied by the frequency of payment (or withholding) for The total tax rate measures the amount of taxes payable by each tax. The frequency of payment includes advance the business in the second year of operation, expressed as a payments (or withholding) as well as regular payments share of commercial profits. Doing Business 2007 reports tax (or withholding). rates for fiscal year 2005. The total amount of taxes is the sum of all the different taxes payable after accounting for deduc- Tax payments tions and exemptions. The taxes withheld (such as sales tax or The tax payments indicator reflects the total number of taxes value added tax) but not paid by the company are excluded. paid, the method of payment, the frequency of payment and The taxes included can be divided into five categories: profit the number of agencies involved for this standardized case or corporate income tax, social security contributions and during the second year of operation. It includes payments other labor taxes paid by the employer, property taxes, turn- made by the company on consumption taxes, such as sales over taxes and other small taxes (such as municipal fees and tax or value added tax. These taxes are traditionally withheld vehicle and fuel taxes). on behalf of the consumer. The number of payments takes Commercial profits are defined as sales minus cost of into account electronic filing. Where full electronic filing is goods sold, minus gross salaries, minus administrative ex- allowed, the tax is counted as paid once a year even if the penses, minus other deductible expenses, minus deductible payment is more frequent. provisions, plus capital gains (from the property sale) minus interest expense, plus interest income and minus commer- Time cial depreciation. To compute the commercial depreciation, Time is recorded in hours per year. The indicator measures a straight-line depreciation method is applied with the fol- the time to prepare, file and pay (or withhold) three major lowing rates: 0% for the land, 5% for the building, 10% for types of taxes: the corporate income tax, value added or sales the machinery, 33% for the computers, 20% for the office tax and labor taxes, including payroll taxes and social security equipment, 20% for the truck and 10% for business develop- contributions. Preparation time includes the time to collect all ment expenses. information necessary to compute the tax payable. If separate The methodology is consistent with the total tax calcula- accounting books must be kept for tax purposes--or separate tion applied by PricewaterhouseCoopers. calculations must be made for tax purposes--the time associ- ated with these processes is included. Filing time includes the This methodology was developed in "Tax Burdens around the time to complete all necessary tax forms and make all neces- World," an ongoing research project by Simeon Djankov, Cara- sary calculations. Payment time is the hours needed to make lee McLiesh, Rita Ramalho and Andrei Shleifer. the payment online or at the tax office. When taxes are paid in person, the time includes delays while waiting. Trading across borders Assumptions about the business The business: Doing Business compiles procedural requirements for ex- porting and importing a standardized cargo of goods. Every · Has 200 or more employees. official procedure for exporting and importing the goods is · Is located in the country's most populous city. recorded--from the contractual agreement between the two · Is a private, limited liability company. It does not operate parties to the delivery of goods--along with the time and within an export processing zone or an industrial estate cost necessary for completion. All documents required for with special export or import privileges. clearance of the goods across the border are also recorded. · Is domestically owned with no foreign ownership. For exporting goods, procedures range from packing the goods · Exports more than 10% of its sales. at the factory to their departure from the port of exit. For import- ing goods, procedures range from the vessel's arrival at the port of Assumptions about the traded goods entry to the cargo's delivery at the factory warehouse. The traded product travels in a dry-cargo, 20-foot, full con- Local freight forwarders, shipping lines, customs brokers tainer load. The product: and port officials provide information on required documents · Is not hazardous nor does it include military items. and cost as well as the time to complete each procedure. To · Does not require refrigeration or any other special make the data comparable across countries, several assump- environment. tions about the business and the traded goods are used. · Does not require any special phytosanitary or environmental safety standards other than accepted international standards. 72 Doing Business 2007 · Falls under one of the following Standard International tional cost, the fastest legal procedure is chosen. It is assumed Trade Classification (SITC) Revision categories: that neither the exporter nor the importer wastes time and SITC 65: textile yarn, fabrics and made-up articles. that each commits to completing each remaining procedure SITC 84: articles of apparel and clothing accessories. without delay. Procedures that can be completed in parallel SITC07:coffee,tea,cocoa,spicesandmanufacturesthereof. are measured as simultaneous for the purpose of measuring time. The waiting time between procedures (for example, dur- Documents ing unloading of the cargo) is included in the measure. All documents required to export and import the goods are recorded. It is assumed that the contract has already been Cost agreed upon and signed by both parties. Documents include Cost is recorded as the fees levied on a 20-foot container in bank documents, customs declaration and clearance docu- United States dollars. All the fees associated with completing ments, port filing documents, import licenses and other of- the procedures to export or import the goods are included. These ficial documents exchanged between the concerned parties. include costs for documents, administrative fees for customs Documents filed simultaneously are considered different clearance and technical control, terminal handling charges and documents but with the same time frame for completion. inland transport. The cost measure does not include tariffs or trade taxes. Only official costs are recorded. Time Time is recorded in calendar days. The time calculation for a procedure starts from the moment it is initiated and runs until it is completed. If a procedure can be accelerated for an addi- Enforcing contracts · The plaintiff takes all required steps for prompt enforcement of the judgment. The debt is successfully Indicators on enforcing contracts measure the efficiency of collected through sale of the defendant's movable assets the judicial system in resolving a commercial dispute. The (such as a vehicle) at a public auction. data are built by following the step-by-step evolution of a Procedures payment dispute before local courts. The data are collected through study of the codes of civil procedure and other A procedure is defined as any interaction mandated by law or court regulations as well as surveys completed by local litiga- court regulation between the parties, or between them and tion lawyers (and, in a quarter of the countries, by judges as the judge (or administrator) or court officer. This includes well). steps to file the case, steps for trial and judgment and steps necessary to enforce the judgment. Assumptions about the case Time · The value of the claim equals 200% of the country's income per capita. Time is recorded in calendar days, counted from the moment · The plaintiff has fully complied with the contract (that is, the plaintiff files the lawsuit in court until payment. This the plaintiff is 100% right). includes both the days when actions take place and the wait- · Thecaserepresentsalawfultransactionbetweenbusinesses ing periods between actions. The respondents make separate located in the country's most populous city. estimates of the average duration of different stages of dispute · The plaintiff files a lawsuit to enforce the contract. resolution: the completion of service of process (time to file · A court in the most populous city decides the dispute. the case), the issuance of judgment (time for the trial) and the moment of payment (time for enforcement). · The defendant attempts to delay service of process but it is finally accomplished. Cost · The defendant opposes the complaint (default judgment is not an option) on the grounds that the delivered goods Cost is recorded as a percentage of the claim, assumed to be were not of adequate quality. equivalent to 200% of income per capita. Only official costs re- · The plaintiff introduces documentary evidence and calls quired by law are recorded, including court costs and average at- one witness. The defendant calls one witness. Neither torney fees where the use of attorneys is mandatory or common. party presents objections. · The judgment is in favor of the plaintiff and the defendant This methodology was developed in Djankov and others (2003) does not appeal the judgment. and is adopted here with minor changes. DATA noTes 73 Closing a business Time Doing Business studies the time, cost and outcomes of bank- Time is recorded in calendar years. It captures the estimated ruptcy proceedings involving domestic entities. The data are duration required to complete a bankruptcy. Information is derived from survey responses by local insolvency lawyers collected on the sequence of the bankruptcy procedures and and verified through a study of laws and regulations as well on whether any procedures can be carried out simultane- as public information on bankruptcy systems. ously. Delays due to legal derailment tactics that parties to the To make the data comparable across countries, several as- bankruptcy may use--in particular, the extension of response sumptions about the business and the case are used. periods or appeals--are considered. Assumptions about the business Cost The business: The cost of the bankruptcy proceedings is recorded as a · Is a limited liability company. percentage of the estate's value. The cost is calculated on the · Operates in the country's most populous city. basis of survey responses by practicing insolvency lawyers. · Is 100% domestically owned, with the founder, who is also If several respondents report different estimates, the median the chairman of the supervisory board, owning 51% (no reported value is used. Only official costs are recorded, in- other shareholder holds more than 5% of shares). cluding court costs as well as fees of insolvency practitioners, · Has downtown real estate, where it runs a hotel, as its independent assessors, lawyers and accountants. The cost major asset. figures are averages of the estimates on a multiple-choice · Has a professional general manager. question, where the respondents choose among the follow- · Has had average annual revenue of 1,000 times income ing options: 0­2%, 3­5%, 6­8%, 9­10%, 11­18%, 19­25%, per capita over the past 3 years. 26­33%, 34­50%, 51­75% and more than 75% of the estate · Has 201 employees and 50 suppliers, each of whom is value of the bankrupt business. owed money for the last delivery. Recovery rate · Borrowed from a domestic bank 5 years ago (the loan has 10 years to full repayment) and bought real estate (the The recovery rate is recorded as cents on the dollar recovered hotel building), using it as security for the bank loan. by claimants--creditors, tax authorities and employees-- · Has observed the payment schedule and all other through the bankruptcy proceedings. The calculation takes conditions of the loan up to now. into account whether the business is kept as a going concern · Has a mortgage, with the value of the mortgage principal during the proceedings, as well as bankruptcy costs and the being exactly equal to the market value of the hotel. loss in value due to the time spent closing down. If the busi- ness keeps operating, no value is lost on the initial claim, set Assumptions about the case at 100 cents on the dollar. If it does not, the initial 100 cents · The business is experiencing liquidity problems. The on the dollar are reduced to 70 cents on the dollar. Then the company's loss in 2005 reduced its net worth to a negative official costs of the insolvency procedure are deducted (1 cent figure. There is no cash to pay the bank interest or for each percentage of the initial value). Finally, the value lost principal in full, due tomorrow. Therefore, the business as a result of the time that the money remains tied up in in- defaults on its loan. Management believes that losses will solvency procedures is taken into account, including the loss be incurred in 2007 and 2008 as well. of value due to depreciation of the hotel furniture. Consistent · The bank holds a floating charge against the hotel in with international accounting practice, the depreciation rate countries where floating charges are possible. If the law for furniture is taken to be 20%. The furniture is assumed to does not permit a floating charge but contracts commonly account for a quarter of the total value of assets. The recovery use some other provision to that effect, this provision is specified in the lending contract. rate is the present value of the remaining proceeds, based on end-2005 lending rates from the International Monetary · The business has too many creditors to renegotiate out of court. It has the following options: a procedure aimed at Fund's International Financial Statistics, supplemented with rehabilitation or any procedure that will reorganize the data from central banks. business to permit further operation; a procedure aimed at liquidation; or a procedure aimed at selling the hotel, This methodology was developed in "Efficiency in Bankruptcy," as a going concern or piecemeal, enforced either through an ongoing research project by Simeon Djankov, Oliver Hart, court (or by a government authority like a debt collection Caralee McLiesh and Andrei Shleifer. agency) or out of court (receivership). 74 Doing Business 2007 Ease of doing business words, there is much room for partial reform. When an economy has no laws or regulations covering The ease of doing business index ranks economies from 1 to a specific area--for example bankruptcy--it receives a "no 175. The index is calculated as the ranking on the simple av- practice" mark. Similarly, if regulation exists but is never erage of country percentile rankings on each of the 10 topics used in practice, or if a competing regulation prohibits such covered in Doing Business 2007. The ranking on each topic is practice, the economy receives a "no practice" mark. This puts the simple average of the percentile rankings on its compo- it at the bottom of the ranking. nent indicators (table 12.1). The ease of doing business index is limited in scope. It One example: The ranking on starting a business is the does not account for a country's proximity to large markets, average of the country percentile rankings on the procedures, the quality of its infrastructure services (other than services time, cost and paid-in minimum capital requirement to reg- related to trading across borders), the security of property ister a business. In Iceland it takes 5 procedures, 5 days and from theft and looting, macroeconomic conditions or the 3% of annual income per capita in fees to open a business. strength of underlying institutions. There remains a large un- The minimum capital required amounts to 16% of income finished agenda for research into what regulation constitutes per capita. On these 4 indicators Iceland ranks in the 7th, 1st, binding constraints, what package of reforms is most effective 8th and 48th percentiles. So on average, Iceland ranks in the and how these issues are shaped by the country context. The 18th percentile on the ease of starting a business. It ranks in Doing Business indicators provide a new empirical data set the 52nd percentile on protecting investors, 18th percentile that may improve understanding of these issues. on trading across borders, 10th percentile on enforcing con- Doing Business 2007 uses a simple method to calculate tracts, 7th percentile on closing a business and so on. Higher the top reformers (table 1.1). First, it selects the economies ranks indicate simpler regulation and stronger protections that reformed three or more of the ten Doing Business topics of property rights. The simple average of Iceland's percentile (table 12.2). This year, 23 economies met this criterion: Ar- rankings on all topics is 20%. When all countries are ordered menia, Australia, Bulgaria, China, Croatia, Czech Republic, by their average percentile rank, Iceland is in 12th place. El Salvador, France, Georgia, Ghana, Guatemala, India, Is- Each indicator set studies a different aspect of the busi- rael, Latvia, Lithuania, Mexico, Morocco, Nicaragua, Nigeria, ness environment. Country rankings vary, sometimes sig- Peru, Romania, Rwanda and Tanzania. Second, these selected nificantly, across indicator sets. For example, Iceland ranks in economies are ranked on the percentage improvement in the the 7th percentile on closing a business, its highest ranking, ease of doing business from the previous year. For example, and in the 55nd percentile on protecting investors, its lowest. Mexico, Nicaragua, and Nigeria reformed in three aspects of This points to priorities for reform: Protecting investors is business regulation each. But Mexico's rank improved from one place to start in further improving business conditions 75 to 44, Nicaragua's from 71 to 68 and Nigeria's from 102 in Iceland. Across all 175 economies the average correlation to 90. These represent a 41%, 4%, and 12% improvement, coefficient between the 10 sets of indicators is 0.39, and the respectively. Mexico therefore ranks ahead of Nigeria in the coefficients between any 2 sets of indicators range from 0.16 top ten reformers list; Nicaragua doesn't make it (between employing workers and trading across borders) to 0.66 (between closing a business and enforcing contracts). This methodology was developed in Djankov, McLiesh and The low correlations suggest that countries rarely score uni- Ramalho (forthcoming) and adopted with minor changes here. versally well or universally badly on the indicators. In other Table 12.1 Which indicators make up the ranking? Starting a business Protecting investors Procedures,time,costandpaid-inminimumcapitaltoopenanewbusiness Indicesoftheextentofdisclosure,extentofdirectorliabilityandeaseof Dealing with licenses shareholdersuits Procedures,timeandcostofbusinessinspectionsandlicensing(construc- Paying taxes tionindustry) Numberoftaxpayments,timetopreparetaxreturnsandtotaltaxesasa Employing workers shareofcommercialprofits Difficultyofhiringindex,rigidityofhoursindex,difficultyoffiringindexand Trading across borders firingcost Documents,timeandcosttoexportandimport Registering property Enforcing contracts Procedures,timeandcosttoregistercommercialrealestate Procedures,timeandcosttoresolveacommercialdispute Getting credit Closing a business Strengthoflegalrightsindex,depthofcreditinformationindex Recoveryrateinbankruptcy DATA noTes 75 TABLE12.2 RefoRms in 2005/06 n Positive reform · Dealing Trading negative reform Starting with Employing Registering Getting Protecting Paying across Enforcing Closing Economy a business licenses workers property credit investors taxes borders contracts a business Afghanistan Albania n Algeria n n Angola Antigua and Barbuda n n Argentina n Armenia n n n n Australia n n n Austria Azerbaijan n n Bangladesh Belarus n · n Belgium n Belize Benin n Bhutan Bolivia · Bosnia and Herzegovina n n Botswana n Brazil n Bulgaria n n n Burkina Faso n Burundi n n Cambodia n n Cameroon Canada n Cape Verde Central African Republic n · Chad n Chile n China n n n n Colombia n n Comoros Congo, Dem. Rep. Congo, Rep. Costa Rica Côte d'ivoire n Croatia n n n Czech Republic n n n Denmark n n Djibouti · Dominica Dominican Republic n · n ecuador egypt n n el salvador n n n equatorial guinea eritrea · estonia n n ethiopia n Fiji Finland France n n n n n gabon gambia n georgia n n n n n n germany n n ghana n n n greece n n 76 Doing Business 2007 RefoRms in 2005/06 n Positive reform · Dealing Trading negative reform Starting with Employing Registering Getting Protecting Paying across Enforcing Closing Economy a business licenses workers property credit investors taxes borders contracts a business grenada guatemala n n n guinea guinea-Bissau n guyana n Haiti Honduras n n Hong Kong, China n n Hungary · n iceland india n n n n n indonesia n iran iraq ireland n israel n n n italy n n Jamaica n Japan n n Jordan n Kazakhstan n Kenya n n Kiribati Korea n n Kuwait n Kyrgyz Republic n n Lao PDR n n Latvia n n n Lebanon Lesotho n n Lithuania n n n FYR Macedonia n n · n Madagascar n Malawi Malaysia Maldives · Mali n n Marshall islands Mauritania n Mauritius n n Mexico n n n Micronesia n n Moldova n n Mongolia Montenegro n Morocco n n n Mozambique n namibia nepal netherlands n new Zealand · n nicaragua n n n niger n n nigeria n n n norway · oman Pakistan n n Palau · Panama n DATA noTes 77 RefoRms in 2005/06 n Positive reform · Dealing Trading negative reform Starting with Employing Registering Getting Protecting Paying across Enforcing Closing Economy a business licenses workers property credit investors taxes borders contracts a business Papua new guinea Paraguay n Peru n n n n · Philippines Poland n Portugal n Puerto Rico n Romania n n n n n n Russia n n Rwanda n n n samoa são Tomé and Principe saudi Arabia n senegal n serbia · n n n seychelles n sierra Leone n singapore slovakia n n slovenia solomon islands south Africa n spain n n sri Lanka · st. Kitts and nevis st. Lucia St.Vincent and the Grenadines sudan n suriname swaziland · n sweden n switzerland n n syria n n Taiwan, China Tajikistan Tanzania n n n n Thailand n Timor-Leste · Togo · n Tonga Trinidad and Tobago Tunisia n Turkey n uganda n · ukraine n n united Arab emirates united Kingdom n united states n uruguay n n uzbekistan · · Vanuatu Venezuela · · · Vietnam n n West Bank and gaza Yemen n Zambia Zimbabwe · Indicator tables Doing business indicators Country tables 80 DoingBusiness2007 Starting a business Dealing with licenses Minimum Cost capital Cost Procedures Time (%ofincome (%ofincome Procedures Time (%ofincome Economy (number) (days) percapita) percapita) (number) (days) percapita) Afghanistan 3 8 67.4 0.0 .. .. .. Albania 11 39 22.4 36.7 22 344 286.8 Algeria 14 24 21.5 46.0 25 244 58.9 Angola 13 124 486.7 74.1 15 326 1239.2 AntiguaandBarbuda 7 21 12.5 0.0 12 139 27.8 Argentina 15 32 12.1 5.6 23 288 46.3 Armenia 9 24 5.1 3.3 18 112 43.1 Australia 2 2 1.8 0.0 17 140 13.8 Austria 9 29 5.6 59.6 14 195 79.1 Azerbaijan 15 53 9.5 0.0 28 212 977.4 Bangladesh 8 37 87.6 0.0 13 185 272.3 Belarus 16 69 26.1 36.4 18 354 17.5 Belgium 4 27 5.8 21.8 15 184 61.8 Belize 9 45 57.5 0.0 12 66 30.9 Benin 7 31 173.3 379.1 16 333 338.9 Bhutan 10 62 16.6 0.0 26 204 263.5 Bolivia 15 50 140.6 3.8 14 183 196.0 BosniaandHerzegovina 12 54 37.0 52.0 16 467 2423.4 Botswana 11 108 10.6 0.0 24 169 457.7 Brazil 17 152 9.9 0.0 19 460 179.9 Bulgaria 9 32 7.9 91.3 22 226 270.5 BurkinaFaso 8 34 120.8 481.4 32 226 1247.5 Burundi 11 43 222.4 0.0 18 302 8808.2 Cambodia 10 86 236.4 66.2 28 181 1640.5 Cameroon 12 37 152.2 187.3 15 444 1165.6 Canada 2 3 0.9 0.0 15 77 117.9 CapeVerde 12 52 45.6 60.7 17 141 1526.0 CentralAfricanRepublic 10 14 209.3 554.6 21 245 301.0 Chad 19 75 226.1 414.1 16 199 1139.1 Chile 9 27 9.8 0.0 12 171 114.2 China 13 35 9.3 213.1 29 367 84.0 Colombia 13 44 19.8 0.0 12 150 646.3 Comoros 11 23 192.3 291.7 17 196 80.9 Congo,Dem.Rep. 13 155 481.1 177.3 14 306 2281.9 Congo,Rep. 8 71 214.8 192.4 15 175 1243.0 CostaRica 11 77 23.5 0.0 19 119 140.2 Côted'ivoire 11 45 134.1 226.7 22 569 196.3 Croatia 10 45 12.2 20.6 28 278 1164.1 CzechRepublic 10 24 8.9 36.8 31 271 14.5 Denmark 3 5 0.0 44.6 7 70 67.8 Djibouti 11 37 222.0 571.4 15 203 1050.6 Dominica 5 19 30.0 0.0 11 228 82.1 DominicanRepublic 10 73 30.2 1.1 17 165 240.1 ecuador 14 65 31.8 7.7 19 149 83.7 egypt 10 19 68.8 694.7 30 263 1002.0 elsalvador 10 26 75.6 119.7 22 144 201.0 equatorialguinea 20 136 100.7 13.1 19 156 364.9 eritrea 13 76 115.9 449.8 noPRACTiCe noPRACTiCe noPRACTiCe estonia 6 35 5.1 34.3 13 117 34.3 ethiopia 7 16 45.9 1083.8 12 133 1235.5 Fiji 8 46 25.8 0.0 16 114 41.7 Finland 3 14 1.1 27.1 17 56 108.0 France 7 8 1.1 0.0 10 155 75.0 gabon 10 60 162.8 36.1 13 268 45.3 gambia 8 27 292.1 119.7 17 145 276.8 georgia 7 16 10.9 3.7 17 137 71.7 germany 9 24 5.1 46.2 11 133 89.1 ghana 12 81 49.6 23.2 16 127 1314.1 greece 15 38 24.2 116.0 17 176 68.8 DoingBusinessinDiCAToRs 81 Starting a business Dealing with licenses Minimum Cost capital Cost Procedures Time (%ofincome (%ofincome Procedures Time (%ofincome Economy (number) (days) percapita) percapita) (number) (days) percapita) grenada 4 52 37.2 0.0 8 142 36.4 guatemala 13 30 52.1 26.4 23 390 496.5 guinea 13 49 186.5 423.4 29 278 535.4 guinea-Bissau 17 233 261.2 1028.9 11 161 2664.9 guyana 8 46 100.2 0.0 17 202 94.7 Haiti 12 203 127.7 124.7 12 141 1003.0 Honduras 13 44 60.6 28.6 14 199 636.8 HongKong,China 5 11 3.3 0.0 22 160 23.3 Hungary 6 38 20.9 74.2 25 212 260.0 iceland 5 5 3.1 15.9 19 111 15.7 india 11 35 73.7 0.0 20 270 606.0 indonesia 12 97 86.7 83.4 19 224 311.0 iran 8 47 5.4 1.3 21 668 684.5 iraq 11 77 67.6 57.1 14 216 833.2 ireland 4 19 0.3 0.0 10 181 22.2 israel 5 34 5.1 0.0 21 215 91.1 italy 9 13 15.2 10.4 17 284 142.3 Jamaica 6 8 9.4 0.0 14 242 417.5 Japan 8 23 7.5 0.0 11 96 19.8 Jordan 11 18 73.0 864.4 16 122 503.2 Kazakhstan 7 20 7.0 23.1 32 248 35.0 Kenya 13 54 46.3 0.0 11 170 37.6 Kiribati 6 21 50.0 27.0 14 174 545.2 Korea 12 22 15.2 299.7 14 52 175.9 Kuwait 13 35 1.6 100.8 26 149 210.1 KyrgyzRepublic 8 21 9.8 0.5 20 218 510.4 LaoPDR 8 163 17.3 0.0 24 192 204.1 Latvia 5 16 3.5 26.1 22 152 36.3 Lebanon 6 46 105.4 56.5 16 275 176.9 Lesotho 8 73 39.9 15.7 14 265 128.3 Lithuania 7 26 2.8 48.8 14 151 18.2 FYRMacedonia 10 18 7.4 112.0 18 222 89.8 Madagascar 10 21 35.0 373.1 19 297 387.1 Malawi 10 37 134.7 0.0 22 185 236.2 Malaysia 9 30 19.7 0.0 25 281 78.2 Maldives 5 13 18.1 6.6 10 118 40.2 Mali 13 42 201.9 519.8 15 209 1813.2 Marshallislands 5 17 18.1 0.0 9 81 37.6 Mauritania 11 82 121.6 632.0 19 152 710.9 Mauritius 6 46 8.0 0.0 21 145 13.7 Mexico 8 27 14.2 12.5 12 142 104.5 Micronesia 7 16 135.9 0.0 15 73 21.3 Moldova 10 30 13.3 18.8 34 158 165.0 Mongolia 8 20 5.1 115.3 18 96 48.4 Montenegro 15 24 6.6 0.0 22 179 5869.2 Morocco 6 12 12.7 66.7 21 217 264.9 Mozambique 13 113 85.7 10.4 13 364 279.3 namibia 10 95 18.0 0.0 11 105 134.9 nepal 7 31 78.5 0.0 15 424 324.0 netherlands 6 10 7.2 62.3 18 184 137.6 newZealand 2 12 0.2 0.0 7 184 27.2 nicaragua 6 39 131.6 0.0 12 192 1002.2 niger 11 24 416.8 778.1 19 148 2986.7 nigeria 9 43 54.4 29.0 16 465 238.2 norway 4 13 2.5 25.1 13 104 50.4 oman 9 34 4.5 84.7 16 242 883.1 Pakistan 11 24 21.3 0.0 12 218 972.9 Palau 8 28 4.9 13.1 23 114 6.8 Panama 7 19 23.9 0.0 22 121 114.7 82 DoingBusiness2007 Starting a business Dealing with licenses Minimum Cost capital Cost Procedures Time (%ofincome (%ofincome Procedures Time (%ofincome Economy (number) (days) percapita) percapita) (number) (days) percapita) Papuanewguinea 8 56 28.2 0.0 20 218 110.0 Paraguay 17 74 136.8 0.0 15 273 564.4 Peru 10 72 32.5 0.0 19 201 337.9 Philippines 11 48 18.7 1.8 23 197 113.4 Poland 10 31 21.4 204.4 25 322 85.6 Portugal 8 8 4.3 38.7 20 327 60.3 PuertoRico 7 7 0.8 0.0 20 212 82.9 Romania 5 11 4.4 0.0 17 242 332.6 Russia 7 28 2.7 3.4 22 531 275.3 Rwanda 9 16 188.3 0.0 17 252 626.5 samoa 9 35 45.5 0.0 19 88 105.1 sãoToméandPrincipe 10 144 147.2 0.0 16 259 1647.9 saudiArabia 13 39 58.6 1057.5 18 125 70.2 senegal 10 58 112.6 269.6 15 185 151.6 serbia 10 18 10.2 7.6 20 211 1946.7 seychelles 9 38 9.1 0.0 22 147 51.3 sierraLeone 9 26 1194.5 0.0 48 236 218.4 singapore 6 6 0.8 0.0 11 129 22.0 slovakia 9 25 4.8 39.1 13 272 17.1 slovenia 9 60 9.4 16.1 14 207 122.2 solomonislands 7 57 68.9 0.0 13 74 501.1 southAfrica 9 35 6.9 0.0 17 174 33.5 spain 10 47 16.2 14.6 11 277 65.7 sriLanka 8 50 9.2 0.0 17 167 151.0 st.Kittsandnevis 8 47 26.7 45.4 14 72 15.2 st.Lucia 6 40 25.9 0.0 9 139 34.9 St.Vincent and the Grenadines 8 12 33.8 0.0 11 74 10.6 sudan 10 39 58.6 0.0 17 172 506.1 suriname 13 694 153.8 1.4 14 431 196.3 swaziland 13 61 41.1 0.0 11 114 97.1 sweden 3 16 0.7 33.7 8 116 115.3 switzerland 6 20 2.2 15.1 15 152 57.2 syria 12 43 21.1 4233.5 20 134 298.0 Taiwan,China 8 48 4.6 200.0 32 206 231.9 Tajikistan 14 67 75.1 378.6 18 187 154.7 Tanzania 13 30 91.6 5.5 26 313 3796.6 Thailand 8 33 5.8 0.0 9 127 11.1 Timor-Leste 10 92 92.8 666.7 noPRACTiCe noPRACTiCe noPRACTiCe Togo 13 53 252.7 539.7 14 273 1435.6 Tonga 4 32 10.3 0.0 15 81 174.6 TrinidadandTobago 9 43 1.1 0.0 19 292 9.9 Tunisia 10 11 9.3 28.3 24 79 1031.9 Turkey 8 9 26.8 18.7 32 232 150.2 uganda 17 30 114.0 0.0 19 156 832.8 ukraine 10 33 9.2 198.8 18 242 186.5 unitedArabemirates 12 63 36.4 338.2 21 125 210.0 unitedKingdom 6 18 0.7 0.0 19 115 68.9 unitedstates 5 5 0.7 0.0 18 69 16.0 uruguay 10 43 44.2 183.3 17 156 96.3 uzbekistan 8 29 14.1 24.7 19 287 258.2 Vanuatu 8 39 61.3 0.0 7 82 398.9 Venezuela 16 141 25.4 0.0 13 276 388.4 Vietnam 11 50 44.5 0.0 14 133 56.4 WestBankandgaza 12 93 324.7 1889.6 21 134 823.4 Yemen 12 63 228.0 2565.7 13 107 306.4 Zambia 6 35 29.9 1.9 16 196 1766.1 Zimbabwe 10 96 35.6 53.0 21 481 1509.6 DoingBusinessinDiCAToRs 83 Employing workers Registering property Difficulty Rigidity Difficulty Rigidity of Firing of hiring of hours of firing employment Nonwage cost Cost index index index index labor cost (weeksof Procedures Time (%ofproperty Economy (0­100) (0­100) (0­100) (0­100) (%ofsalary) salary) (number) (days) value) Afghanistan 67 40 30 46 0 4 11 252 9.5 Albania 44 40 30 38 31 64 7 47 3.6 Algeria 44 60 30 45 27 17 15 51 7.5 Angola 33 80 80 64 8 58 7 334 11.1 AntiguaandBarbuda 11 0 20 10 9 52 5 26 13.0 Argentina 44 60 20 41 23 139 5 44 8.3 Armenia 33 40 20 31 18 13 3 4 0.4 Australia 0 0 10 3 21 4 5 5 4.8 Austria 11 60 40 37 31 56 3 32 4.5 Azerbaijan 33 40 40 38 22 22 7 61 0.3 Bangladesh 11 40 40 30 0 51 8 425 10.5 Belarus 0 40 40 27 39 22 7 231 0.1 Belgium 11 40 10 20 55 16 7 132 12.8 Belize 11 20 0 10 8 24 8 60 5.0 Benin 39 60 40 46 29 36 3 50 15.1 Bhutan 78 40 0 39 1 95 5 93 0.0 Bolivia 61 60 100 74 14 100 7 92 5.0 BosniaandHerzegovina 56 40 30 42 15 33 7 331 5.0 Botswana 0 20 40 20 0 90 4 30 4.9 Brazil 67 60 0 42 37 37 14 47 4.0 Bulgaria 50 80 10 47 30 9 9 19 2.3 BurkinaFaso 83 60 50 64 20 34 8 107 16.2 Burundi 78 60 40 59 7 26 5 94 17.9 Cambodia 56 60 30 49 0 39 7 56 4.6 Cameroon 28 60 80 56 16 33 5 93 18.7 Canada 11 0 0 4 14 28 6 10 1.7 CapeVerde 33 40 60 44 17 91 6 83 7.9 CentralAfricanRepublic 89 80 50 73 18 22 3 69 11.7 Chad 39 60 80 60 21 36 6 44 21.2 Chile 33 20 20 24 3 52 6 31 1.3 China 11 20 40 24 44 91 3 32 3.1 Colombia 22 40 20 27 28 59 7 23 3.5 Comoros 39 60 40 46 0 100 5 24 20.8 Congo,Dem.Rep. 83 80 70 78 6 31 8 57 9.5 Congo,Rep. 78 60 70 69 29 41 7 137 27.2 CostaRica 56 40 0 32 26 35 6 21 3.5 Côted'ivoire 44 80 10 45 18 49 6 32 14.3 Croatia 61 40 50 50 17 39 5 399 5.0 CzechRepublic 33 20 30 28 35 22 4 123 3.0 Denmark 0 40 10 17 1 10 6 42 0.6 Djibouti 67 40 30 46 16 56 7 49 13.3 Dominica 11 20 20 17 7 58 4 40 13.0 DominicanRepublic 56 40 30 42 14 88 7 107 5.1 ecuador 44 60 50 51 12 135 10 20 3.9 egypt 0 60 100 53 26 186 7 193 5.9 elsalvador 33 40 0 24 9 86 6 33 3.6 equatorialguinea 67 60 70 66 23 133 6 23 6.2 eritrea 0 40 20 20 0 69 12 101 5.2 estonia 33 80 60 58 34 35 3 51 0.7 ethiopia 33 40 30 34 0 40 13 43 7.7 Fiji 22 40 0 21 9 28 3 48 12.0 Finland 44 60 40 48 25 26 3 14 4.0 France 67 60 40 56 47 32 9 183 6.8 gabon 17 80 80 59 20 43 8 60 10.5 gambia 0 40 40 27 11 9 5 371 7.6 georgia 0 20 0 7 20 4 6 9 0.5 germany 33 60 40 44 19 69 4 40 4.5 ghana 11 40 50 34 13 178 7 382 1.9 greece 44 80 50 58 31 69 12 23 3.8 84 DoingBusiness2007 Employing workers Registering property Difficulty Rigidity Difficulty Rigidity of Firing of hiring of hours of firing employment Nonwage cost Cost index index index index labor cost (weeksof Procedures Time (%ofproperty Economy (0­100) (0­100) (0­100) (0­100) (%ofsalary) salary) (number) (days) value) grenada 44 20 0 21 5 29 8 77 7.6 guatemala 61 40 0 34 13 101 5 37 1.1 guinea 33 60 30 41 27 26 6 104 15.6 guinea-Bissau 100 60 70 77 22 87 9 211 13.2 guyana 22 20 20 21 8 56 6 27 4.5 Haiti 11 40 20 24 11 26 5 683 8.7 Honduras 67 40 0 36 10 43 7 36 5.8 HongKong,China 0 0 0 0 5 62 5 54 5.0 Hungary 11 80 10 34 35 35 4 78 11.0 iceland 33 60 0 31 12 13 3 4 2.4 india 33 20 70 41 17 56 6 62 7.8 indonesia 61 20 50 44 10 108 7 42 10.5 iran 78 60 10 49 23 91 9 36 10.5 iraq 78 60 40 59 12 4 5 8 6.6 ireland 28 40 30 33 11 49 5 38 10.3 israel 0 60 20 27 6 91 7 144 7.5 italy 61 60 40 54 42 2 8 27 0.9 Jamaica 11 0 0 4 12 61 5 54 13.5 Japan 28 60 0 29 13 9 6 14 4.1 Jordan 11 20 50 27 11 4 8 22 10.0 Kazakhstan 0 60 10 23 22 9 8 52 1.8 Kenya 33 20 30 28 4 47 8 73 4.1 Kiribati 0 0 50 17 8 4 5 513 0.1 Korea 11 60 30 34 18 91 7 11 6.3 Kuwait 0 40 0 13 11 43 8 55 0.5 KyrgyzRepublic 33 40 40 38 25 17 7 8 1.9 LaoPDR 11 40 60 37 5 19 9 135 4.2 Latvia 67 40 70 59 24 17 8 54 2.0 Lebanon 33 0 40 24 22 17 8 25 5.9 Lesotho 56 40 10 35 0 44 6 101 8.4 Lithuania 33 80 30 48 31 30 3 3 0.7 FYRMacedonia 61 60 40 54 33 22 6 98 3.5 Madagascar 72 60 40 57 18 30 8 134 11.6 Malawi 22 20 20 21 1 84 6 118 3.4 Malaysia 0 20 10 10 13 88 5 144 2.4 Maldives 0 0 0 0 0 9 noPRACTiCe noPRACTiCe noPRACTiCe Mali 44 60 50 51 27 31 5 33 20.7 Marshallislands 0 0 0 0 11 0 noPRACTiCe noPRACTiCe noPRACTiCe Mauritania 67 60 50 59 16 31 4 49 5.2 Mauritius 0 40 50 30 6 35 6 210 15.8 Mexico 33 40 40 38 24 74 5 74 5.2 Micronesia 33 0 0 11 6 0 noPRACTiCe noPRACTiCe noPRACTiCe Moldova 33 60 70 54 29 29 6 48 1.5 Mongolia 11 80 10 34 20 9 5 11 2.2 Montenegro 33 40 30 34 16 39 8 86 2.5 Morocco 100 40 50 63 18 85 4 46 4.4 Mozambique 83 60 20 54 4 143 8 42 5.4 namibia 0 60 20 27 0 24 9 23 10.0 nepal 67 20 70 52 10 90 3 5 6.4 netherlands 17 40 70 42 18 17 2 5 6.2 newZealand 11 0 10 7 1 0 2 2 0.1 nicaragua 11 60 0 24 17 24 8 124 3.5 niger 100 80 50 77 17 31 5 49 14.0 nigeria 22 20 20 21 9 50 16 80 21.2 norway 61 60 40 54 14 13 1 1 2.5 oman 44 60 0 35 10 4 2 16 3.0 Pakistan 78 20 30 43 12 90 6 50 4.4 Palau 11 0 0 4 6 0 5 14 0.4 Panama 78 20 70 56 19 44 7 44 2.4 DoingBusinessinDiCAToRs 85 Employing workers Registering property Difficulty Rigidity Difficulty Rigidity of Firing of hiring of hours of firing employment Nonwage cost Cost index index index index labor cost (weeksof Procedures Time (%ofproperty Economy (0­100) (0­100) (0­100) (0­100) (%ofsalary) salary) (number) (days) value) Papuanewguinea 11 20 0 10 10 39 4 72 5.1 Paraguay 56 60 60 59 17 113 6 46 2.0 Peru 44 60 80 61 10 52 5 33 3.3 Philippines 56 40 20 39 9 91 8 33 5.7 Poland 0 60 40 33 21 13 6 197 2.0 Portugal 33 60 60 51 24 99 5 81 7.4 PuertoRico 56 20 20 32 8 0 8 15 1.4 Romania 33 80 40 51 33 3 8 150 1.9 Russia 33 60 40 44 31 17 6 52 0.3 Rwanda 56 60 30 49 5 26 5 371 9.6 samoa 11 20 0 10 6 9 5 147 1.8 sãoToméandPrincipe 61 80 60 67 6 91 7 62 12.7 saudiArabia 0 20 0 7 11 80 4 4 0.0 senegal 72 60 50 61 21 38 6 114 18.1 serbia 33 40 40 38 18 27 6 111 5.4 seychelles 33 20 50 34 25 39 4 33 7.0 sierraLeone 78 60 50 63 10 329 8 235 15.6 singapore 0 0 0 0 13 4 3 9 2.8 slovakia 17 60 40 39 35 13 3 17 0.1 slovenia 61 60 50 57 17 40 6 391 2.0 solomonislands 22 20 20 21 8 44 10 297 4.9 southAfrica 44 40 40 41 2 24 6 23 8.9 spain 78 60 50 63 30 56 3 17 7.2 sriLanka 0 20 60 27 15 178 8 63 5.1 st.Kittsandnevis 0 20 20 13 10 60 6 81 13.3 st.Lucia 0 20 20 13 5 56 5 20 7.3 St.Vincent and the Grenadines 11 20 20 17 4 54 6 37 11.9 sudan 56 60 50 55 25 118 6 9 3.3 suriname 0 20 50 23 0 26 4 193 10.2 swaziland 11 20 20 17 3 53 11 46 7.1 sweden 28 60 40 43 33 26 1 2 3.0 switzerland 0 60 10 23 14 13 4 16 0.4 syria 0 40 50 30 17 80 4 34 27.9 Taiwan,China 78 60 30 56 11 91 3 5 6.2 Tajikistan 33 20 40 31 25 22 6 37 2.0 Tanzania 100 40 60 67 16 32 10 123 5.5 Thailand 33 20 0 18 5 54 2 2 6.3 Timor-Leste 67 20 50 46 0 34 noPRACTiCe noPRACTiCe noPRACTiCe Togo 44 60 70 58 25 36 7 242 7.7 Tonga 0 20 0 7 0 0 4 108 10.2 TrinidadandTobago 0 0 20 7 4 67 8 162 7.0 Tunisia 17 40 80 46 22 17 5 57 6.1 Turkey 56 60 30 49 22 95 8 9 3.2 uganda 0 20 0 7 10 13 13 227 6.9 ukraine 44 40 80 55 39 13 10 93 3.4 unitedArabemirates 0 60 0 20 13 84 3 6 2.0 unitedKingdom 11 20 10 14 11 22 2 21 4.1 unitedstates 0 0 0 0 8 0 4 12 0.5 uruguay 33 60 0 31 6 31 8 66 7.1 uzbekistan 33 40 30 34 31 30 12 97 10.5 Vanuatu 50 40 10 33 4 56 2 188 7.0 Venezuela 67 60 100 76 16 47 8 47 2.1 Vietnam 0 40 70 37 17 87 4 67 1.2 WestBankandgaza 33 40 20 31 13 91 10 72 2.4 Yemen 0 60 40 33 9 17 6 21 3.9 Zambia 0 40 30 23 11 178 6 70 9.6 Zimbabwe 11 40 50 34 4 446 4 30 24.0 86 DoingBusiness2007 Getting credit Protecting investors Strength Depth of credit Public Private Extent of Extent of Ease of Strength of legal information registry bureau disclosure director shareholder of investor rights index index coverage coverage index liability index suits index protection Economy (0­10) (0­6) (%ofadults) (%ofadults) (0­10) (0­10) (0­10) index(0­10) Afghanistan 0 0 0.0 0.0 0 0 2 0.7 Albania 9 0 0.0 0.0 0 5 3 2.7 Algeria 3 2 0.2 0.0 6 6 4 5.3 Angola 3 4 2.9 0.0 5 6 6 5.7 AntiguaandBarbuda 6 0 0.0 0.0 4 8 7 6.3 Argentina 3 6 25.4 100.0 6 2 6 4.7 Armenia 5 3 1.5 0.0 5 2 8 5.0 Australia 9 5 0.0 100.0 8 2 7 5.7 Austria 5 6 1.2 39.9 2 5 4 3.7 Azerbaijan 7 4 1.1 0.0 4 1 8 4.3 Bangladesh 7 2 0.6 0.0 6 7 7 6.7 Belarus 2 3 0.0 0.0 1 3 7 3.7 Belgium 5 4 56.2 0.0 8 6 7 7.0 Belize 7 0 0.0 0.0 3 4 6 4.3 Benin 4 1 10.3 0.0 5 8 4 5.7 Bhutan 3 0 0.0 0.0 6 3 4 4.3 Bolivia 3 5 11.5 32.3 1 5 7 4.3 BosniaandHerzegovina 8 5 0.0 22.9 3 6 6 5.0 Botswana 7 5 0.0 43.2 8 2 3 4.3 Brazil 2 5 9.2 43.0 5 7 4 5.3 Bulgaria 6 4 20.7 .. 10 1 7 6.0 BurkinaFaso 4 1 2.4 0.0 6 5 3 4.7 Burundi 2 1 0.1 0.0 .. .. .. .. Cambodia 0 0 0.0 0.0 5 9 2 5.3 Cameroon 3 2 3.4 0.0 8 2 6 5.3 Canada 7 6 0.0 100.0 8 9 8 8.3 CapeVerde 5 3 11.9 0.0 1 5 6 4.0 CentralAfricanRepublic 3 2 1.1 0.0 4 6 7 5.7 Chad 4 1 0.2 0.0 3 4 7 4.7 Chile 4 6 31.3 19.3 8 6 5 6.3 China 2 4 10.2 0.0 10 1 4 5.0 Colombia 3 4 0.0 28.3 7 2 9 6.0 Comoros 3 0 0.0 0.0 6 4 5 5.0 Congo,Dem.Rep. 3 0 0.0 0.0 3 3 5 3.7 Congo,Rep. 3 2 1.4 0.0 4 5 6 5.0 CostaRica 4 6 2.5 39.2 2 5 2 3.0 Côted'ivoire 3 1 3.1 0.0 6 5 3 4.7 Croatia 5 0 0.0 0.0 2 5 2 3.0 CzechRepublic 6 5 3.5 51.0 2 5 8 5.0 Denmark 8 4 0.0 11.5 7 5 7 6.3 Djibouti 4 1 0.2 0.0 5 2 0 2.3 Dominica 6 0 0.0 0.0 4 8 7 6.3 DominicanRepublic 4 6 11.9 57.1 5 0 7 4.0 ecuador 3 5 15.2 43.7 1 5 6 4.0 egypt 1 2 1.5 0.0 5 3 5 4.3 elsalvador 4 6 30.5 79.6 6 2 6 4.7 equatorialguinea 2 2 2.4 0.0 6 4 5 5.0 eritrea 3 0 0.0 0.0 4 5 5 4.7 estonia 4 5 0.0 18.2 8 4 6 6.0 ethiopia 5 2 0.1 0.0 4 4 5 4.3 Fiji 7 4 0.0 33.4 3 8 8 6.3 Finland 6 5 0.0 14.9 6 4 7 5.7 France 5 4 12.3 0.0 10 1 5 5.3 gabon 4 2 2.6 0.0 5 4 5 4.7 gambia 4 0 0.0 0.0 2 1 5 2.7 georgia 6 3 0.0 0.0 4 4 4 4.0 germany 8 6 0.5 93.9 5 5 5 5.0 ghana 5 0 0.0 0.0 7 5 6 6.0 greece 3 4 0.0 37.5 1 3 5 3.0 DoingBusinessinDiCAToRs 87 Getting credit Protecting investors Strength Depth of credit Public Private Extent of Extent of Ease of Strength of legal information registry bureau disclosure director shareholder of investor rights index index coverage coverage index liability index suits index protection Economy (0­10) (0­6) (%ofadults) (%ofadults) (0­10) (0­10) (0­10) index(0­10) grenada 7 0 0.0 0.0 4 8 7 6.3 guatemala 4 5 16.1 9.2 3 3 6 4.0 guinea 4 1 0.0 0.0 5 7 2 4.7 guinea-Bissau 3 1 1.0 0.0 0 5 6 3.7 guyana 3 0 0.0 0.0 5 4 1 3.3 Haiti 3 2 0.7 0.0 4 3 4 3.7 Honduras 6 5 8.3 18.7 1 5 4 3.3 HongKong,China 10 5 0.0 64.5 10 8 9 9.0 Hungary 6 5 0.0 5.9 2 4 7 4.3 iceland 7 5 0.0 100.0 4 5 6 5.0 india 5 3 0.0 6.1 7 4 7 6.0 indonesia 5 2 8.4 0.2 8 5 3 5.3 iran 5 3 13.7 0.0 5 4 0 3.0 iraq 4 0 0.0 0.0 4 5 5 4.7 ireland 8 5 0.0 100.0 10 6 9 8.3 israel 8 5 0.0 100.0 7 9 9 8.3 italy 3 5 7.0 67.8 7 2 6 5.0 Jamaica 6 0 0.0 0.0 4 8 4 5.3 Japan 6 6 0.0 .. 7 6 8 7.0 Jordan 5 2 0.7 0.0 5 4 4 4.3 Kazakhstan 5 4 0.0 5.5 7 1 9 5.7 Kenya 8 2 0.0 0.1 4 2 10 5.3 Kiribati 6 0 0.0 0.0 6 5 7 6.0 Korea 6 5 0.0 76.6 7 2 7 5.3 Kuwait 4 3 0.0 16.1 7 7 5 6.3 KyrgyzRepublic 5 3 0.0 0.4 8 1 9 6.0 LaoPDR 2 0 0.0 0.0 0 3 3 2.0 Latvia 8 4 1.9 0.0 5 4 8 5.7 Lebanon 4 5 4.3 0.0 9 1 5 5.0 Lesotho 5 0 0.0 0.0 2 1 8 3.7 Lithuania 4 6 4.2 7.2 6 4 6 5.3 FYRMacedonia 6 3 2.1 0.0 5 6 4 5.0 Madagascar 2 1 0.3 0.0 5 6 6 5.7 Malawi 8 0 0.0 0.0 4 7 5 5.3 Malaysia 8 6 42.2 .. 10 9 7 8.7 Maldives 4 0 0.0 0.0 0 8 8 5.3 Mali 3 1 2.9 0.0 6 5 3 4.7 Marshallislands 5 0 0.0 0.0 2 0 8 3.3 Mauritania 5 1 0.2 0.0 .. .. .. .. Mauritius 6 1 10.2 0.0 6 8 9 7.7 Mexico 2 6 0.0 69.5 8 5 5 6.0 Micronesia 6 0 0.0 0.0 0 0 8 2.7 Moldova 6 0 0.0 0.0 7 1 6 4.7 Mongolia 5 3 10.2 0.0 5 8 6 6.3 Montenegro 7 0 0.0 0.0 5 8 6 6.3 Morocco 3 1 2.3 0.0 6 6 1 4.3 Mozambique 4 3 0.7 0.0 7 2 6 5.0 namibia 5 5 0.0 35.2 5 5 6 5.3 nepal 4 2 0.0 0.1 6 1 9 5.3 netherlands 7 5 0.0 68.9 4 4 6 4.7 newZealand 9 5 0.0 100.0 10 9 10 9.7 nicaragua 4 5 12.5 3.4 4 5 6 5.0 niger 3 1 1.2 0.0 4 5 5 4.7 nigeria 7 0 0.0 0.0 6 7 4 5.7 norway 6 4 0.0 100.0 7 6 7 6.7 oman 3 1 17.5 0.0 8 5 3 5.3 Pakistan 4 4 0.3 1.1 6 6 7 6.3 Palau 5 0 0.0 0.0 0 0 8 2.7 Panama 6 6 0.0 59.8 3 4 7 4.7 88 DoingBusiness2007 Getting credit Protecting investors Strength Depth of credit Public Private Extent of Extent of Ease of Strength of legal information registry bureau disclosure director shareholder of investor rights index index coverage coverage index liability index suits index protection Economy (0­10) (0­6) (%ofadults) (%ofadults) (0­10) (0­10) (0­10) index(0­10) Papuanewguinea 6 0 0.0 0.0 5 5 8 6.0 Paraguay 3 6 10.6 52.2 6 5 6 5.7 Peru 4 6 19.2 28.6 8 5 7 6.7 Philippines 3 3 0.0 4.8 1 2 7 3.3 Poland 4 4 0.0 38.1 7 2 9 6.0 Portugal 4 4 72.0 9.1 6 5 7 6.0 PuertoRico 6 5 0.0 63.6 7 6 8 7.0 Romania 4 5 2.6 5.5 9 5 4 6.0 Russia 3 0 0.0 0.0 7 2 7 5.3 Rwanda 1 2 0.2 0.0 2 5 1 2.7 samoa 7 0 0.0 0.0 5 6 8 6.3 sãoToméandPrincipe 5 0 0.0 0.0 6 1 6 4.3 saudiArabia 3 5 0.2 12.5 8 5 1 4.7 senegal 3 1 4.7 0.0 4 4 4 4.0 serbia 5 5 0.1 43.4 7 6 3 5.3 seychelles 3 0 0.0 0.0 4 8 5 5.7 sierraLeone 5 0 0.0 0.0 3 6 5 4.7 singapore 9 4 0.0 38.6 10 9 9 9.3 slovakia 9 3 1.0 45.3 2 4 7 4.3 slovenia 6 3 2.9 0.0 3 8 6 5.7 solomonislands 4 0 0.0 0.0 3 7 7 5.7 southAfrica 5 5 0.0 53.0 8 8 8 8.0 spain 5 6 44.9 7.4 5 6 4 5.0 sriLanka 3 3 0.0 3.1 4 5 7 5.3 st.Kittsandnevis 5 0 0.0 0.0 4 8 7 6.3 st.Lucia 6 0 0.0 0.0 4 8 7 6.3 St.Vincent and the Grenadines 7 0 0.0 0.0 4 8 7 6.3 sudan 4 0 0.0 0.0 0 6 5 3.7 suriname 5 0 0.0 0.0 2 2 5 3.0 swaziland 6 5 0.0 39.0 1 1 5 2.3 sweden 6 4 0.0 100.0 6 4 7 5.7 switzerland 6 5 0.0 24.5 0 5 4 3.0 syria 5 0 0.0 0.0 6 5 2 4.3 Taiwan,China 4 5 0.0 59.5 8 4 4 5.3 Tajikistan 4 0 0.0 0.0 0 0 5 1.7 Tanzania 5 0 0.0 0.0 3 4 7 4.7 Thailand 5 5 0.0 21.7 10 2 6 6.0 Timor-Leste 3 0 0.0 0.0 7 1 3 3.7 Togo 3 1 3.6 0.0 4 3 5 4.0 Tonga 5 0 0.0 0.0 3 3 8 4.7 TrinidadandTobago 6 3 0.0 31.5 4 9 7 6.7 Tunisia 3 3 11.6 0.0 0 4 6 3.3 Turkey 3 5 6.7 .. 8 4 4 5.3 uganda 3 0 0.0 0.0 7 5 4 5.3 ukraine 8 0 0.0 0.0 1 3 7 3.7 unitedArabemirates 3 2 1.7 0.0 4 7 2 4.3 unitedKingdom 10 6 0.0 86.1 10 7 7 8.0 unitedstates 7 6 0.0 100.0 7 9 9 8.3 uruguay 4 6 13.2 85.3 3 4 8 5.0 uzbekistan 3 0 0.0 0.0 4 6 3 4.3 Vanuatu 5 0 0.0 0.0 5 6 5 5.3 Venezuela 4 0 0.0 0.0 3 3 2 2.7 Vietnam 4 3 2.7 0.0 4 0 2 2.0 WestBankandgaza 5 3 0.7 0.0 7 2 5 4.7 Yemen 3 2 0.1 0.0 6 4 3 4.3 Zambia 7 0 0.0 0.0 3 6 7 5.3 Zimbabwe 6 0 0.0 0.0 8 1 4 4.3 DoingBusinessinDiCAToRs 89 Paying taxes Trading across borders Cost Cost Payments Time Total tax Documents Time to to export Documents Time to import (numberper (hours rate to export export (us$per to import to import (us$per Economy year) peryear) (%ofprofit) (number) (days) container) (number) (days) container) Afghanistan 2 275 36.3 7 66 2,500 11 88 2,100 Albania 41 240 55.8 7 34 818 12 34 820 Algeria 61 504 76.4 9 15 1,606 9 22 1,886 Angola 42 272 64.4 6 74 1,800 10 85 2,225 AntiguaandBarbuda 44 528 48.5 5 13 1,056 6 15 1,467 Argentina 34 615 116.8 6 16 1,470 7 21 1,750 Armenia 50 1120 42.5 7 34 1,600 6 37 1,750 Australia 11 107 52.2 6 9 795 5 12 945 Austria 20 272 56.1 4 8 803 5 9 843 Azerbaijan 36 1000 44.9 7 69 2,275 18 79 2,575 Bangladesh 17 400 40.3 7 35 902 16 57 1,287 Belarus 125 1188 186.1 7 33 1,472 7 36 1,472 Belgium 10 160 70.1 5 7 1,350 6 9 1,300 Belize 40 108 31.7 7 13 1,800 14 15 2,130 Benin 72 270 68.5 8 35 980 11 48 1,452 Bhutan 19 274 43.0 10 39 1,230 14 42 1,950 Bolivia 41 1080 80.3 12 26 1,110 12 36 1,230 BosniaandHerzegovina 73 100 50.4 5 22 1,150 7 25 1,150 Botswana 24 140 53.3 6 37 524 9 42 1,159 Brazil 23 2600 71.7 7 18 895 6 24 1,145 Bulgaria 27 616 40.7 7 26 1,233 10 25 1,201 BurkinaFaso 45 270 51.1 9 69 1,215 13 66 1,700 Burundi 40 140 286.7 12 80 3,625 14 124 3,705 Cambodia 27 121 22.3 8 36 736 12 45 816 Cameroon 39 1300 46.2 10 38 524 14 51 1,360 Canada 10 119 43.0 3 7 700 4 10 850 CapeVerde 49 100 54.4 4 18 533 9 16 533 CentralAfricanRepublic 54 504 209.5 9 63 1,502 19 60 1,572 Chad 65 122 68.2 7 87 1,860 14 111 2,400 Chile 10 432 26.3 7 20 510 9 24 510 China 44 872 77.1 6 18 335 12 22 375 Colombia 68 456 82.8 6 34 1,745 11 35 1,773 Comoros 20 100 47.5 9 28 1,481 8 22 1,481 Congo,Dem.Rep. 34 312 235.4 8 64 3,120 12 92 3,308 Congo,Rep. 94 576 57.3 12 50 1,732 15 62 2,201 CostaRica 41 402 83.0 7 36 660 13 42 660 Côted'ivoire 71 270 45.7 9 21 781 19 48 1,395 Croatia 39 196 37.1 7 26 1,250 9 18 1,250 CzechRepublic 14 930 49.0 5 20 713 8 22 833 Denmark 18 135 31.5 3 5 540 3 5 540 Djibouti 36 114 41.7 15 25 2,035 14 26 2,035 Dominica 30 65 34.8 7 11 1,477 13 17 1,512 DominicanRepublic 87 178 67.9 7 17 770 11 17 990 ecuador 8 600 34.9 12 20 1,090 11 41 1,090 egypt 41 536 50.4 8 20 1,014 8 25 1,049 elsalvador 66 224 27.4 7 22 515 12 30 515 equatorialguinea 48 212 62.4 6 26 1,203 6 50 1,203 eritrea 18 216 86.3 11 69 935 18 69 1,185 estonia 11 104 50.2 5 3 640 6 5 640 ethiopia 20 212 32.8 8 46 1,700 11 52 2,455 Fiji 34 145 40.1 7 22 418 12 22 1,170 Finland 19 264 47.9 4 7 420 3 7 420 France 33 128 68.2 4 15 886 5 15 886 gabon 27 272 48.3 4 19 4,000 10 26 4,031 gambia 47 376 291.4 4 19 422 8 23 494 georgia 35 423 37.8 8 13 1,370 11 15 1,370 germany 32 105 57.1 4 6 731 4 6 750 ghana 35 304 32.3 5 21 822 9 42 842 greece 33 204 60.2 7 29 1,328 11 34 1,443 90 DoingBusiness2007 Paying taxes Trading across borders Cost Cost Payments Time Total tax Documents Time to to export Documents Time to import (numberper (hours rate to export export (us$per to import to import (us$per Economy year) peryear) (%ofprofit) (number) (days) container) (number) (days) container) grenada 30 140 42.8 6 19 1,656 6 20 1,983 guatemala 50 294 40.9 9 20 1,785 7 33 1,985 guinea 55 416 49.4 7 43 510 12 56 2,785 guinea-Bissau 47 208 47.5 8 27 1,656 9 26 1,749 guyana 45 288 44.2 8 42 3,606 11 54 3,656 Haiti 53 160 40.5 8 58 1,298 9 60 1,304 Honduras 48 424 51.4 6 28 500 15 39 670 HongKong,China 4 80 28.8 2 6 425 2 5 425 Hungary 24 304 59.3 6 23 922 10 24 1,137 iceland 18 140 27.9 7 15 469 6 15 443 india 59 264 81.1 10 27 864 15 41 1,244 indonesia 52 576 37.2 7 25 546 10 30 675 iran 28 292 46.4 5 26 700 11 38 1,220 iraq 13 312 38.7 10 105 1,010 19 135 2,060 ireland 8 76 25.8 5 7 1,146 4 14 1,139 israel 33 225 39.1 5 15 340 5 16 700 italy 15 360 76.0 8 15 1,253 16 21 1,291 Jamaica 72 414 52.3 6 19 1,750 7 20 1,350 Japan 15 350 52.8 5 11 789 7 11 847 Jordan 26 101 31.9 7 24 720 12 22 955 Kazakhstan 34 156 45.0 14 93 2,780 18 87 2,880 Kenya 17 432 74.2 11 25 1,980 9 45 2,325 Kiribati 16 120 34.4 3 11 1,300 2 8 1,300 Korea 27 290 30.9 5 12 780 8 12 1,040 Kuwait 14 118 55.7 5 18 675 11 27 1,170 KyrgyzRepublic 89 204 67.4 .. .. .. 18 127 3,032 LaoPDR 31 180 32.5 12 66 1,420 16 78 1,690 Latvia 8 320 42.6 6 11 965 5 12 965 Lebanon 33 208 37.3 6 22 969 12 34 752 Lesotho 21 352 25.6 6 46 1,270 9 51 1,270 Lithuania 13 162 48.4 5 6 704 12 17 782 FYRMacedonia 54 96 43.5 10 32 1,070 10 35 1,070 Madagascar 25 304 43.2 8 48 982 11 48 1,282 Malawi 29 878 32.6 8 44 1,565 16 60 1,590 Malaysia 35 190 35.2 6 20 481 12 22 428 Maldives 1 0 9.3 8 15 1,000 9 21 1,784 Mali 60 270 50.0 10 66 1,752 16 61 2,680 Marshallislands 20 128 66.6 .. .. .. 9 15 2,115 Mauritania 61 696 104.3 9 25 3,733 7 40 3,733 Mauritius 7 158 24.8 5 16 683 7 16 683 Mexico 49 552 37.1 6 17 1,049 8 26 2,152 Micronesia 9 128 61.3 .. .. .. 7 21 895 Moldova 44 250 48.8 7 33 1,185 7 35 1,285 Mongolia 42 204 32.2 11 66 3,007 10 74 3,030 Montenegro 75 208 33.9 6 19 1,515 8 17 1,715 Morocco 28 468 52.7 6 18 700 11 30 1,500 Mozambique 36 230 39.2 6 39 1,516 16 38 1,616 namibia 34 .. 25.6 9 32 1,672 14 25 1,549 nepal 35 408 32.8 7 44 1,599 10 37 1,800 netherlands 22 250 48.1 5 7 875 4 8 950 newZealand 9 70 36.5 5 8 355 9 13 555 nicaragua 64 240 66.4 5 36 1,020 5 38 1,020 niger 44 270 46.0 .. .. .. 19 89 3,266 nigeria 35 1120 31.4 11 25 798 13 45 1,460 norway 3 87 46.1 4 7 518 4 7 468 oman 14 52 20.2 9 23 987 13 27 987 Pakistan 47 560 43.4 8 24 996 12 19 1,005 Palau 18 128 74.6 7 20 860 9 27 860 Panama 59 560 52.4 9 16 920 9 13 920 DoingBusinessinDiCAToRs 91 Paying taxes Trading across borders Cost Cost Payments Time Total tax Documents Time to to export Documents Time to import (numberper (hours rate to export export (us$per to import to import (us$per Economy year) peryear) (%ofprofit) (number) (days) container) (number) (days) container) Papuanewguinea 44 198 44.3 5 30 584 10 32 642 Paraguay 33 328 43.2 9 34 685 13 31 1,077 Peru 53 424 40.8 7 24 800 13 31 820 Philippines 59 94 53.0 6 18 1,336 7 20 1,336 Poland 43 175 38.4 6 19 2,260 7 26 2,260 Portugal 7 328 47.0 4 14 495 9 17 994 PuertoRico 17 140 40.9 9 15 535 10 19 535 Romania 89 198 48.9 4 14 1,300 4 14 1,200 Russia 23 256 54.2 8 39 2,237 8 38 2,237 Rwanda 43 168 41.1 14 60 3,840 20 95 4,080 samoa 36 224 22.1 7 15 1,120 8 19 1,265 sãoToméandPrincipe 42 424 55.2 8 27 490 10 29 577 saudiArabia 14 75 14.9 5 13 654 9 34 604 senegal 59 696 47.7 6 22 978 10 26 1,674 serbia 41 168 38.9 6 11 1,240 8 12 1,440 seychelles 15 76 48.8 6 17 1,842 7 19 1,842 sierraLeone 20 399 277.0 7 29 2,075 7 33 2,218 singapore 16 30 28.8 5 6 382 6 3 333 slovakia 30 344 48.9 9 20 1,015 8 21 1,050 slovenia 34 272 39.4 9 20 1,070 11 24 1,107 solomonislands 33 80 33.6 8 15 805 5 12 788 southAfrica 23 350 38.3 5 31 850 9 34 850 spain 7 602 59.1 4 9 1,050 5 10 1,050 sriLanka 61 256 74.9 8 25 797 13 27 789 st.Kittsandnevis 23 368 52.7 8 11 706 8 13 756 st.Lucia 16 41 31.5 5 9 1,053 8 19 1,163 St.Vincent and the Grenadines 21 208 33.6 7 15 756 6 13 1,354 sudan 66 180 37.1 12 56 1,870 13 83 1,970 suriname 17 199 27.8 7 16 905 7 15 815 swaziland 34 104 39.5 9 9 1,857 14 35 1,950 sweden 5 122 57.0 4 6 831 3 6 831 switzerland 13 68 24.9 4 17 1,238 5 18 1,333 syria 21 336 35.5 9 40 1,300 11 49 1,962 Taiwan,China 15 1104 35.8 8 14 747 8 14 747 Tajikistan 55 224 87.0 14 72 4,300 10 44 3,550 Tanzania 48 248 45.0 3 24 822 10 39 917 Thailand 46 104 40.2 9 24 848 12 22 1,042 Timor-Leste 15 640 59.2 6 32 700 11 37 700 Togo 51 270 48.3 7 32 463 9 41 695 Tonga 22 164 56.2 6 12 265 9 17 360 TrinidadandTobago 28 114 37.2 5 9 693 7 13 1,093 Tunisia 45 268 58.8 5 18 770 8 29 600 Turkey 18 254 46.3 9 20 513 13 25 735 uganda 31 237 32.2 12 42 1,050 19 67 2,945 ukraine 98 2185 60.3 6 33 1,009 10 46 1,025 unitedArabemirates 15 12 15.0 4 18 392 6 16 398 unitedKingdom 7 105 35.4 5 12 676 4 12 756 unitedstates 10 325 46.0 6 9 625 5 9 625 uruguay 41 300 27.6 9 22 552 9 25 666 uzbekistan 130 152 122.3 10 44 2,550 18 139 3,970 Vanuatu 32 120 14.4 9 12 1,565 16 14 1,975 Venezuela 68 864 51.9 8 32 525 13 67 900 Vietnam 32 1050 41.6 6 35 701 9 36 887 WestBankandgaza 50 154 31.5 7 27 705 7 41 755 Yemen 32 248 48.0 6 33 1,129 9 31 1,475 Zambia 36 131.5 22.2 16 60 2,500 19 62 2,640 Zimbabwe 59 216 37.0 9 52 3,175 15 66 4,565 92 DoingBusiness2007 Enforcing contracts Closing a business Recovery rate Procedures Time Cost Time Cost (centsonthe Economy (number) (days) (%ofclaim) (years) (%ofestate) dollar) Afghanistan .. 1642 25.0 noPRACTiCe noPRACTiCe 0.0 Albania 39 390 22.6 4.0 38 26.4 Algeria 49 397 10.3 2.5 7 41.7 Angola 47 1011 11.2 6.2 22 2.0 AntiguaandBarbuda 48 297 10.7 3.0 1 37.3 Argentina 33 520 15.0 2.8 12 36.2 Armenia 24 185 14.0 1.9 4 42.0 Australia 19 181 12.8 1.0 8 79.7 Austria 23 342 9.0 1.1 18 73.7 Azerbaijan 27 267 19.8 2.7 8 32.5 Bangladesh 50 1442 45.7 4.0 8 24.9 Belarus 28 225 21.1 5.8 22 25.7 Belgium 27 328 9.5 0.9 4 86.4 Belize 51 892 18.0 1.0 23 63.6 Benin 49 720 29.7 4.0 15 23.7 Bhutan 34 275 20.2 noPRACTiCe noPRACTiCe 0.0 Bolivia 47 591 10.5 1.8 15 37.6 BosniaandHerzegovina 36 595 19.6 3.3 9 33.7 Botswana 26 501 24.8 1.3 15 64.7 Brazil 42 616 15.5 4.0 12 12.1 Bulgaria 34 440 14.0 3.3 9 34.4 BurkinaFaso 41 446 95.4 4.0 9 26.4 Burundi 47 403 32.5 4.0 18 16.5 Cambodia 31 401 121.3 noPRACTiCe noPRACTiCe 0.0 Cameroon 58 800 36.4 3.2 15 24.1 Canada 17 346 12.0 0.8 4 89.3 CapeVerde 40 465 15.0 noPRACTiCe noPRACTiCe 0.0 CentralAfricanRepublic 45 660 43.7 4.8 76 0.0 Chad 52 743 54.9 10.0 63 0.0 Chile 33 480 16.3 5.6 15 20.0 China 31 292 26.8 2.4 22 31.5 Colombia 37 1346 20.0 3.0 1 57.7 Comoros 60 721 29.4 noPRACTiCe noPRACTiCe 0.0 Congo,Dem.Rep. 51 685 156.8 5.2 22 4.9 Congo,Rep. 47 560 45.6 3.0 24 19.4 CostaRica 34 615 18.7 3.5 15 17.6 Côted'ivoire 25 525 29.5 2.2 18 33.8 Croatia 22 561 10.0 3.1 15 28.9 CzechRepublic 21 820 14.1 9.2 15 18.5 Denmark 15 190 6.5 3.0 4 70.5 Djibouti 59 1225 27.0 5.0 18 15.9 Dominica 52 681 28.2 noPRACTiCe noPRACTiCe 0.0 DominicanRepublic 29 460 35.0 3.5 38 7.4 ecuador 41 498 15.3 8.0 18 12.7 egypt 55 1010 18.4 4.2 22 16.6 elsalvador 41 626 15.0 4.0 9 29.2 equatorialguinea 38 553 14.5 noPRACTiCe noPRACTiCe 0.0 eritrea 35 305 18.6 1.7 15 0.0 estonia 25 275 11.5 3.0 9 39.9 ethiopia 30 690 14.8 2.4 15 36.9 Fiji 26 397 62.1 1.8 38 20.8 Finland 27 228 5.9 0.9 4 89.1 France 21 331 11.8 1.9 9 48.0 gabon 32 880 9.8 5.0 15 13.9 gambia 26 247 35.9 3.0 15 31.4 georgia 24 285 20.5 3.3 4 27.5 germany 30 394 10.5 1.2 8 53.1 ghana 29 552 13.0 1.9 22 24.7 greece 22 730 12.7 2.0 9 46.3 DoingBusinessinDiCAToRs 93 Enforcing contracts Closing a business Recovery rate Procedures Time Cost Time Cost (centsonthe Economy (number) (days) (%ofclaim) (years) (%ofestate) dollar) grenada 50 583 22.1 noPRACTiCe noPRACTiCe 0.0 guatemala 36 1459 26.5 3.0 15 28.3 guinea 44 276 43.8 3.8 8 17.5 guinea-Bissau 40 1140 27.0 noPRACTiCe noPRACTiCe 0.0 guyana 30 661 24.2 2.0 42 13.7 Haiti 35 368 32.6 5.7 30 4.0 Honduras 36 480 30.4 3.8 8 23.0 HongKong,China 16 211 14.2 1.1 9 78.9 Hungary 21 335 9.6 2.0 15 39.7 iceland 14 352 5.9 1.0 4 79.7 india 56 1420 35.7 10.0 9 13.0 indonesia 34 570 126.5 5.5 18 11.8 iran 23 520 12.0 4.5 9 19.7 iraq 65 520 15.3 noPRACTiCe noPRACTiCe 0.0 ireland 18 217 21.1 0.4 9 87.9 israel 31 585 22.1 4.0 23 43.9 italy 40 1210 17.6 1.2 22 39.7 Jamaica 18 415 27.8 1.1 18 64.3 Japan 20 242 9.5 0.6 4 92.7 Jordan 43 342 16.2 4.3 9 28.2 Kazakhstan 37 183 11.5 3.3 18 23.6 Kenya 25 360 41.3 4.5 22 14.6 Kiribati 26 660 71.0 noPRACTiCe noPRACTiCe 0.0 Korea 29 230 5.5 1.5 4 81.8 Kuwait 52 390 13.3 4.2 1 34.5 KyrgyzRepublic 44 140 12.0 4.0 15 14.9 LaoPDR 53 443 30.3 5.0 76 0.0 Latvia 21 240 11.8 3.0 13 34.8 Lebanon 39 721 27.8 4.0 22 19.0 Lesotho 58 695 10.6 2.6 8 36.6 Lithuania 24 166 8.6 1.7 7 50.5 FYRMacedonia 27 385 32.8 3.7 28 15.5 Madagascar 29 591 22.8 noPRACTiCe noPRACTiCe 0.0 Malawi 40 337 136.5 2.6 30 13.2 Malaysia 31 450 21.3 2.3 15 38.7 Maldives 28 665 16.2 6.7 4 18.2 Mali 28 860 45.0 3.6 18 23.7 Marshallislands 34 432 26.5 2.0 38 17.9 Mauritania 40 400 17.9 8.0 9 7.8 Mauritius 37 630 15.7 1.7 15 34.3 Mexico 37 415 20.0 1.8 18 63.2 Micronesia 25 775 77.0 5.3 38 3.1 Moldova 37 310 16.2 2.8 9 29.4 Mongolia 29 314 17.6 4.0 8 18.0 Montenegro 49 545 15.0 2.0 9 41.0 Morocco 42 615 16.5 1.8 18 35.1 Mozambique 38 1010 132.1 5.0 9 15.0 namibia 31 270 28.3 1.5 15 41.3 nepal 28 590 24.4 5.0 9 24.5 netherlands 22 408 15.9 1.7 1 86.3 newZealand 28 109 10.9 2.0 4 68.6 nicaragua 20 486 21.8 2.2 15 34.3 niger 33 360 42.0 5.0 18 14.2 nigeria 23 457 27.0 1.5 22 32.1 norway 14 277 9.0 0.9 1 91.1 oman 41 598 12.9 4.0 4 35.4 Pakistan 55 880 22.6 2.8 4 39.9 Palau 43 622 33.2 1.0 23 38.2 Panama 45 686 50.0 2.5 18 32.3 94 DoingBusiness2007 Enforcing contracts Closing a business Recovery rate Procedures Time Cost Time Cost (centsonthe Economy (number) (days) (%ofclaim) (years) (%ofestate) dollar) Papuanewguinea 22 440 110.3 3.0 23 24.1 Paraguay 46 478 39.8 3.9 9 15.4 Peru 35 300 34.7 3.1 7 31.8 Philippines 25 600 16.0 5.7 38 4.0 Poland 41 980 10.0 3.0 22 27.9 Portugal 24 495 14.5 2.0 9 75.0 PuertoRico 43 620 16.1 3.8 8 56.0 Romania 43 335 10.7 4.6 9 19.9 Russia 31 178 13.5 3.8 9 28.7 Rwanda 27 310 43.2 noPRACTiCe noPRACTiCe 0.0 samoa 30 455 15.3 2.5 38 15.2 sãoToméandPrincipe 67 405 69.5 noPRACTiCe noPRACTiCe 0.0 saudiArabia 44 360 20.0 2.8 22 27.3 senegal 33 780 23.8 3.0 7 31.6 serbia 33 635 12.7 2.7 23 22.6 seychelles 29 720 13.0 noPRACTiCe noPRACTiCe 0.0 sierraLeone 58 515 227.3 2.6 42 8.7 singapore 29 120 14.6 0.8 1 91.3 slovakia 27 565 15.7 4.0 18 48.1 slovenia 25 1350 15.2 2.0 8 44.9 solomonislands 25 455 69.8 1.0 38 23.3 southAfrica 26 600 11.5 2.0 18 34.4 spain 23 515 15.7 1.0 15 77.6 sriLanka 20 837 21.3 2.2 18 35.6 st.Kittsandnevis 49 578 17.1 noPRACTiCe noPRACTiCe 0.0 st.Lucia 51 635 31.2 2.0 9 42.2 St.Vincent and the Grenadines 52 394 22.2 noPRACTiCe noPRACTiCe 0.0 sudan 67 770 20.6 noPRACTiCe noPRACTiCe 0.0 suriname 29 1290 15.9 5.0 30 7.1 swaziland 31 972 20.1 2.0 15 36.9 sweden 19 208 5.9 2.0 9 75.7 switzerland 22 215 11.0 3.0 4 47.1 syria 47 872 21.9 4.1 9 29.6 Taiwan,China 28 510 16.6 0.8 4 89.5 Tajikistan 46 257 10.3 3.0 9 39.1 Tanzania 21 393 51.5 3.0 22 21.9 Thailand 26 425 17.5 2.7 36 42.6 Timor-Leste 69 1170 183.1 noPRACTiCe noPRACTiCe 0.0 Togo 37 535 24.3 3.0 15 27.2 Tonga 30 510 47.0 2.7 22 25.6 TrinidadandTobago 37 1340 30.5 noPRACTiCe noPRACTiCe 0.0 Tunisia 21 481 17.3 1.3 7 51.2 Turkey 34 420 17.4 5.9 7 9.8 uganda 19 484 35.2 2.2 30 40.4 ukraine 28 183 16.0 2.9 42 8.7 unitedArabemirates 34 607 18.5 5.1 30 10.4 unitedKingdom 19 229 16.8 1.0 6 85.2 unitedstates 17 300 7.7 1.5 7 77.0 uruguay 39 655 15.9 2.1 7 43.2 uzbekistan 35 195 13.5 4.0 10 18.7 Vanuatu 24 430 64.0 2.6 38 40.0 Venezuela 41 435 28.7 4.0 38 6.7 Vietnam 37 295 31.0 5.0 15 18.0 WestBankandgaza 26 700 20.2 noPRACTiCe noPRACTiCe 0.0 Yemen 37 360 10.5 3.0 8 28.6 Zambia 21 404 28.7 3.1 9 22.0 Zimbabwe 33 410 26.9 3.3 22 0.1 COUNTRYTABLES 95 AFGHANISTAN South Asia GNI per capita (US$) 270 Ease of doing business (rank) 162 Low income Population (m) 24.8 Starting a business (rank) 17 Registering property (rank) 169 Trading across borders (rank) 152 Procedures (number) 3 Procedures (number) 11 Documents to export (number) 7 Time (days) 8 Time (days) 252 Time to export (days) 66 Cost (% of income per capita) 67.4 Cost (% of property value) 9.5 Cost to export (US$ per container) 2,500 Minimum capital (% of income per capita) 0.0 Documents to import (number) 11 Getting credit (rank) 174 Time to import (days) 88 Dealing with licenses (rank) .. Strength of legal rights index (0­10) 0 Cost to import (US$ per container) 2,100 Procedures (number) .. Depth of credit information index (0­6) 0 Time (days) .. Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 165 Cost (% of income per capita) .. Private bureau coverage (% of adults) 0.0 Procedures (number) .. Time (days) 1642 Employing workers (rank) 74 Protecting investors (rank) 173 Cost (% of claim) 25.0 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 0 Closing a business (rank) 151 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 2 Time (years) NO PRACTICE Rigidity of employment index (0­100) 46 Strength of investor protection index (0­10) 0.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 4 Paying taxes (rank) 30 Payments (number per year) 2 Time (hours per year) 275 Total tax rate (% of profit) 36.3 ALBANIA Eastern Europe & Central Asia GNI per capita (US$) 2,580 Ease of doing business (rank) 120 Lower middle income Population (m) 3.1 Starting a business (rank) 121 Registering property (rank) 76 Trading across borders (rank) 101 Procedures (number) 11 Procedures (number) 7 Documents to export (number) 7 Time (days) 39 Time (days) 47 Time to export (days) 34 Cost (% of income per capita) 22.4 Cost (% of property value) 3.6 Cost to export (US$ per container) 818 Minimum capital (% of income per capita) 36.7 Documents to import (number) 12 Getting credit (rank) 48 Time to import (days) 34 Dealing with licenses (rank) 161 Strength of legal rights index (0­10) 9 Cost to import (US$ per container) 820 Procedures (number) 22 Depth of credit information index (0­6) 0 Time (days) 344 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 99 Cost (% of income per capita) 286.8 Private bureau coverage (% of adults) 0.0 Procedures (number) 39 Time (days) 390 Employing workers (rank) 113 Protecting investors (rank) 162 Cost (% of claim) 22.6 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 89 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 3 Time (years) 4.0 Rigidity of employment index (0­100) 38 Strength of investor protection index (0­10) 2.7 Cost (% of estate) 38 Nonwage labor cost (% of salary) 31 Recovery rate (cents on the dollar) 26.4 Firing cost (weeks of salary) 64 Paying taxes (rank) 125 Payments (number per year) 41 Time (hours per year) 240 Total tax rate (% of profit) 55.8 ALGERIA Middle East & North Africa GNI per capita (US$) 2,730 Ease of doing business (rank) 116 Lower middle income Population (m) 32.5 Starting a business (rank) 120 Registering property (rank) 152 Trading across borders (rank) 109 Procedures (number) 14 Procedures (number) 15 Documents to export (number) 9 Time (days) 24 Time (days) 51 Time to export (days) 15 Cost (% of income per capita) 21.5 Cost (% of property value) 7.5 Cost to export (US$ per container) 1,606 Minimum capital (% of income per capita) 46.0 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 22 Dealing with licenses (rank) 117 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,886 Procedures (number) 25 Depth of credit information index (0­6) 2 Time (days) 244 Public registry coverage (% of adults) 0.2 Enforcing contracts (rank) 61 Cost (% of income per capita) 58.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 49 Time (days) 397 Employing workers (rank) 93 Protecting investors (rank) 60 Cost (% of claim) 10.3 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 41 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 4 Time (years) 2.5 Rigidity of employment index (0­100) 45 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 7 Nonwage labor cost (% of salary) 27 Recovery rate (cents on the dollar) 41.7 Firing cost (weeks of salary) 17 Paying taxes (rank) 169 Payments (number per year) 61 Time (hours per year) 504 Total tax rate (% of profit) 76.4 96 DOiNgBUSiNESS2007 ANGOLA Sub-Saharan Africa GNI per capita (US$) 1,350 Ease of doing business (rank) 156 Lower middle income Population (m) 15.9 Starting a business (rank) 170 Registering property (rank) 161 Trading across borders (rank) 146 Procedures (number) 13 Procedures (number) 7 Documents to export (number) 6 Time (days) 124 Time (days) 334 Time to export (days) 74 Cost (% of income per capita) 486.7 Cost (% of property value) 11.1 Cost to export (US$ per container) 1,800 Minimum capital (% of income per capita) 74.1 Documents to import (number) 10 Getting credit (rank) 83 Time to import (days) 85 Dealing with licenses (rank) 146 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 2,225 Procedures (number) 15 Depth of credit information index (0­6) 4 Time (days) 326 Public registry coverage (% of adults) 2.9 Enforcing contracts (rank) 133 Cost (% of income per capita) 1239.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 47 Time (days) 1011 Employing workers (rank) 167 Protecting investors (rank) 46 Cost (% of claim) 11.2 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 6 Closing a business (rank) 149 Difficulty of firing index (0­100) 80 Ease of shareholder suits index (0­10) 6 Time (years) 6.2 Rigidity of employment index (0­100) 64 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 22 Nonwage labor cost (% of salary) 8 Recovery rate (cents on the dollar) 2.0 Firing cost (weeks of salary) 58 Paying taxes (rank) 142 Payments (number per year) 42 Time (hours per year) 272 Total tax rate (% of profit) 64.4 ANTIGUA AND BARBUDA Latin America & Caribbean GNI per capita (US$) 10,920 Ease of doing business (rank) 33 High income Population (m) 0.1 Starting a business (rank) 22 Registering property (rank) 71 Trading across borders (rank) 47 Procedures (number) 7 Procedures (number) 5 Documents to export (number) 5 Time (days) 21 Time (days) 26 Time to export (days) 13 Cost (% of income per capita) 12.5 Cost (% of property value) 13.0 Cost to export (US$ per container) 1,056 Minimum capital (% of income per capita) 0.0 Documents to import (number) 6 Getting credit (rank) 101 Time to import (days) 15 Dealing with licenses (rank) 15 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,467 Procedures (number) 12 Depth of credit information index (0­6) 0 Time (days) 139 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 47 Cost (% of income per capita) 27.8 Private bureau coverage (% of adults) 0.0 Procedures (number) 48 Time (days) 297 Employing workers (rank) 40 Protecting investors (rank) 19 Cost (% of claim) 10.7 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 8 Closing a business (rank) 54 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) 3.0 Rigidity of employment index (0­100) 10 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 1 Nonwage labor cost (% of salary) 9 Recovery rate (cents on the dollar) 37.3 Firing cost (weeks of salary) 52 Paying taxes (rank) 145 Payments (number per year) 44 Time (hours per year) 528 Total tax rate (% of profit) 48.5 ARGENTINA Latin America & Caribbean GNI per capita (US$) 4,470 Ease of doing business (rank) 101 Upper middle income Population (m) 38.7 Starting a business (rank) 106 Registering property (rank) 74 Trading across borders (rank) 71 Procedures (number) 15 Procedures (number) 5 Documents to export (number) 6 Time (days) 32 Time (days) 44 Time to export (days) 16 Cost (% of income per capita) 12.1 Cost (% of property value) 8.3 Cost to export (US$ per container) 1,470 Minimum capital (% of income per capita) 5.6 Documents to import (number) 7 Getting credit (rank) 48 Time to import (days) 21 Dealing with licenses (rank) 125 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,750 Procedures (number) 23 Depth of credit information index (0­6) 6 Time (days) 288 Public registry coverage (% of adults) 25.4 Enforcing contracts (rank) 68 Cost (% of income per capita) 46.3 Private bureau coverage (% of adults) 100.0 Procedures (number) 33 Time (days) 520 Employing workers (rank) 138 Protecting investors (rank) 99 Cost (% of claim) 15.0 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 58 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 6 Time (years) 2.8 Rigidity of employment index (0­100) 41 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 12 Nonwage labor cost (% of salary) 23 Recovery rate (cents on the dollar) 36.2 Firing cost (weeks of salary) 139 Paying taxes (rank) 161 Payments (number per year) 34 Time (hours per year) 615 Total tax rate (% of profit) 116.8 COUNTRYTABLES 97 ARMENIA Eastern Europe & Central Asia GNI per capita (US$) 1,470 Ease of doing business (rank) 34 Lower middle income Population (m) 3.0 Starting a business (rank) 46 Registering property (rank) 2 Trading across borders (rank) 119 Procedures (number) 9 Procedures (number) 3 Documents to export (number) 7 Time (days) 24 Time (days) 4 Time to export (days) 34 Cost (% of income per capita) 5.1 Cost (% of property value) 0.4 Cost to export (US$ per container) 1,600 Minimum capital (% of income per capita) 3.3 Documents to import (number) 6 Getting credit (rank) 65 Time to import (days) 37 Dealing with licenses (rank) 36 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,750 Procedures (number) 18 Depth of credit information index (0­6) 3 Time (days) 112 Public registry coverage (% of adults) 1.5 Enforcing contracts (rank) 18 Cost (% of income per capita) 43.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 24 Time (days) 185 Employing workers (rank) 41 Protecting investors (rank) 83 Cost (% of claim) 14.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 2 Closing a business (rank) 40 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 8 Time (years) 1.9 Rigidity of employment index (0­100) 31 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 4 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 42.0 Firing cost (weeks of salary) 13 Paying taxes (rank) 148 Payments (number per year) 50 Time (hours per year) 1120 Total tax rate (% of profit) 42.5 AUSTRALIA OECD: High Income GNI per capita (US$) 32,220 Ease of doing business (rank) 8 High income Population (m) 20.3 Starting a business (rank) 2 Registering property (rank) 27 Trading across borders (rank) 23 Procedures (number) 2 Procedures (number) 5 Documents to export (number) 6 Time (days) 2 Time (days) 5 Time to export (days) 9 Cost (% of income per capita) 1.8 Cost (% of property value) 4.8 Cost to export (US$ per container) 795 Minimum capital (% of income per capita) 0.0 Documents to import (number) 5 Getting credit (rank) 3 Time to import (days) 12 Dealing with licenses (rank) 29 Strength of legal rights index (0­10) 9 Cost to import (US$ per container) 945 Procedures (number) 17 Depth of credit information index (0­6) 5 Time (days) 140 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 7 Cost (% of income per capita) 13.8 Private bureau coverage (% of adults) 100.0 Procedures (number) 19 Time (days) 181 Employing workers (rank) 9 Protecting investors (rank) 46 Cost (% of claim) 12.8 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 2 Closing a business (rank) 12 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 7 Time (years) 1.0 Rigidity of employment index (0­100) 3 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 8 Nonwage labor cost (% of salary) 21 Recovery rate (cents on the dollar) 79.7 Firing cost (weeks of salary) 4 Paying taxes (rank) 35 Payments (number per year) 11 Time (hours per year) 107 Total tax rate (% of profit) 52.2 AUSTRIA OECD: High Income GNI per capita (US$) 36,980 Ease of doing business (rank) 30 High income Population (m) 8.2 Starting a business (rank) 74 Registering property (rank) 28 Trading across borders (rank) 15 Procedures (number) 9 Procedures (number) 3 Documents to export (number) 4 Time (days) 29 Time (days) 32 Time to export (days) 8 Cost (% of income per capita) 5.6 Cost (% of property value) 4.5 Cost to export (US$ per container) 803 Minimum capital (% of income per capita) 59.6 Documents to import (number) 5 Getting credit (rank) 21 Time to import (days) 9 Dealing with licenses (rank) 50 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 843 Procedures (number) 14 Depth of credit information index (0­6) 6 Time (days) 195 Public registry coverage (% of adults) 1.2 Enforcing contracts (rank) 14 Cost (% of income per capita) 79.1 Private bureau coverage (% of adults) 39.9 Procedures (number) 23 Time (days) 342 Employing workers (rank) 103 Protecting investors (rank) 142 Cost (% of claim) 9.0 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 19 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 4 Time (years) 1.1 Rigidity of employment index (0­100) 37 Strength of investor protection index (0­10) 3.7 Cost (% of estate) 18 Nonwage labor cost (% of salary) 31 Recovery rate (cents on the dollar) 73.7 Firing cost (weeks of salary) 56 Paying taxes (rank) 102 Payments (number per year) 20 Time (hours per year) 272 Total tax rate (% of profit) 56.1 98 DOiNgBUSiNESS2007 AZERBAIJAN Eastern Europe & Central Asia GNI per capita (US$) 1,240 Ease of doing business (rank) 99 Lower middle income Population (m) 8.4 Starting a business (rank) 96 Registering property (rank) 59 Trading across borders (rank) 158 Procedures (number) 15 Procedures (number) 7 Documents to export (number) 7 Time (days) 53 Time (days) 61 Time to export (days) 69 Cost (% of income per capita) 9.5 Cost (% of property value) 0.3 Cost to export (US$ per container) 2,275 Minimum capital (% of income per capita) 0.0 Documents to import (number) 18 Getting credit (rank) 21 Time to import (days) 79 Dealing with licenses (rank) 162 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 2,575 Procedures (number) 28 Depth of credit information index (0­6) 4 Time (days) 212 Public registry coverage (% of adults) 1.1 Enforcing contracts (rank) 34 Cost (% of income per capita) 977.4 Private bureau coverage (% of adults) 0.0 Procedures (number) 27 Time (days) 267 Employing workers (rank) 66 Protecting investors (rank) 118 Cost (% of claim) 19.8 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 1 Closing a business (rank) 70 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 8 Time (years) 2.7 Rigidity of employment index (0­100) 38 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 8 Nonwage labor cost (% of salary) 22 Recovery rate (cents on the dollar) 32.5 Firing cost (weeks of salary) 22 Paying taxes (rank) 136 Payments (number per year) 36 Time (hours per year) 1000 Total tax rate (% of profit) 44.9 BANGLADESH South Asia GNI per capita (US$) 470 Ease of doing business (rank) 88 Low income Population (m) 141.8 Starting a business (rank) 68 Registering property (rank) 167 Trading across borders (rank) 134 Procedures (number) 8 Procedures (number) 8 Documents to export (number) 7 Time (days) 37 Time (days) 425 Time to export (days) 35 Cost (% of income per capita) 87.6 Cost (% of property value) 10.5 Cost to export (US$ per container) 902 Minimum capital (% of income per capita) 0.0 Documents to import (number) 16 Getting credit (rank) 48 Time to import (days) 57 Dealing with licenses (rank) 67 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,287 Procedures (number) 13 Depth of credit information index (0­6) 2 Time (days) 185 Public registry coverage (% of adults) 0.6 Enforcing contracts (rank) 174 Cost (% of income per capita) 272.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 50 Time (days) 1442 Employing workers (rank) 75 Protecting investors (rank) 15 Cost (% of claim) 45.7 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 7 Closing a business (rank) 93 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 4.0 Rigidity of employment index (0­100) 30 Strength of investor protection index (0­10) 6.7 Cost (% of estate) 8 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 24.9 Firing cost (weeks of salary) 51 Paying taxes (rank) 72 Payments (number per year) 17 Time (hours per year) 400 Total tax rate (% of profit) 40.3 BELARUS Eastern Europe & Central Asia GNI per capita (US$) 2,760 Ease of doing business (rank) 129 Lower middle income Population (m) 9.8 Starting a business (rank) 148 Registering property (rank) 96 Trading across borders (rank) 113 Procedures (number) 16 Procedures (number) 7 Documents to export (number) 7 Time (days) 69 Time (days) 231 Time to export (days) 33 Cost (% of income per capita) 26.1 Cost (% of property value) 0.1 Cost to export (US$ per container) 1,472 Minimum capital (% of income per capita) 36.4 Documents to import (number) 7 Getting credit (rank) 117 Time to import (days) 36 Dealing with licenses (rank) 84 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 1,472 Procedures (number) 18 Depth of credit information index (0­6) 3 Time (days) 354 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 36 Cost (% of income per capita) 17.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 28 Time (days) 225 Employing workers (rank) 31 Protecting investors (rank) 142 Cost (% of claim) 21.1 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 3 Closing a business (rank) 91 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 5.8 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 3.7 Cost (% of estate) 22 Nonwage labor cost (% of salary) 39 Recovery rate (cents on the dollar) 25.7 Firing cost (weeks of salary) 22 Paying taxes (rank) 175 Payments (number per year) 125 Time (hours per year) 1188 Total tax rate (% of profit) 186.1 COUNTRYTABLES 99 BELGIUM OECD: High Income GNI per capita (US$) 35,700 Ease of doing business (rank) 20 High income Population (m) 10.5 Starting a business (rank) 37 Registering property (rank) 158 Trading across borders (rank) 36 Procedures (number) 4 Procedures (number) 7 Documents to export (number) 5 Time (days) 27 Time (days) 132 Time to export (days) 7 Cost (% of income per capita) 5.8 Cost (% of property value) 12.8 Cost to export (US$ per container) 1,350 Minimum capital (% of income per capita) 21.8 Documents to import (number) 6 Getting credit (rank) 48 Time to import (days) 9 Dealing with licenses (rank) 48 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,300 Procedures (number) 15 Depth of credit information index (0­6) 4 Time (days) 184 Public registry coverage (% of adults) 56.2 Enforcing contracts (rank) 21 Cost (% of income per capita) 61.8 Private bureau coverage (% of adults) 0.0 Procedures (number) 27 Time (days) 328 Employing workers (rank) 23 Protecting investors (rank) 12 Cost (% of claim) 9.5 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 6 Closing a business (rank) 8 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 7 Time (years) 0.9 Rigidity of employment index (0­100) 20 Strength of investor protection index (0­10) 7.0 Cost (% of estate) 4 Nonwage labor cost (% of salary) 55 Recovery rate (cents on the dollar) 86.4 Firing cost (weeks of salary) 16 Paying taxes (rank) 60 Payments (number per year) 10 Time (hours per year) 160 Total tax rate (% of profit) 70.1 BELIZE Latin America & Caribbean GNI per capita (US$) 3,500 Ease of doing business (rank) 56 Upper middle income Population (m) 0.3 Starting a business (rank) 103 Registering property (rank) 117 Trading across borders (rank) 111 Procedures (number) 9 Procedures (number) 8 Documents to export (number) 7 Time (days) 45 Time (days) 60 Time to export (days) 13 Cost (% of income per capita) 57.5 Cost (% of property value) 5.0 Cost to export (US$ per container) 1,800 Minimum capital (% of income per capita) 0.0 Documents to import (number) 14 Getting credit (rank) 83 Time to import (days) 15 Dealing with licenses (rank) 4 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 2,130 Procedures (number) 12 Depth of credit information index (0­6) 0 Time (days) 66 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 150 Cost (% of income per capita) 30.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 51 Time (days) 892 Employing workers (rank) 14 Protecting investors (rank) 118 Cost (% of claim) 18.0 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 4 Closing a business (rank) 24 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 6 Time (years) 1.0 Rigidity of employment index (0­100) 10 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 23 Nonwage labor cost (% of salary) 8 Recovery rate (cents on the dollar) 63.6 Firing cost (weeks of salary) 24 Paying taxes (rank) 33 Payments (number per year) 40 Time (hours per year) 108 Total tax rate (% of profit) 31.7 BENIN Sub-Saharan Africa GNI per capita (US$) 510 Ease of doing business (rank) 137 Low income Population (m) 8.4 Starting a business (rank) 126 Registering property (rank) 85 Trading across borders (rank) 130 Procedures (number) 7 Procedures (number) 3 Documents to export (number) 8 Time (days) 31 Time (days) 50 Time to export (days) 35 Cost (% of income per capita) 173.3 Cost (% of property value) 15.1 Cost to export (US$ per container) 980 Minimum capital (% of income per capita) 379.1 Documents to import (number) 11 Getting credit (rank) 117 Time to import (days) 48 Dealing with licenses (rank) 133 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,452 Procedures (number) 16 Depth of credit information index (0­6) 1 Time (days) 333 Public registry coverage (% of adults) 10.3 Enforcing contracts (rank) 162 Cost (% of income per capita) 338.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 49 Time (days) 720 Employing workers (rank) 121 Protecting investors (rank) 46 Cost (% of claim) 29.7 Difficulty of hiring index (0­100) 39 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 8 Closing a business (rank) 98 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 4 Time (years) 4.0 Rigidity of employment index (0­100) 46 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 15 Nonwage labor cost (% of salary) 29 Recovery rate (cents on the dollar) 23.7 Firing cost (weeks of salary) 36 Paying taxes (rank) 162 Payments (number per year) 72 Time (hours per year) 270 Total tax rate (% of profit) 68.5 100 DOiNgBUSiNESS2007 BHUTAN South Asia GNI per capita (US$) 870 Ease of doing business (rank) 138 Low income Population (m) 0.9 Starting a business (rank) 79 Registering property (rank) 41 Trading across borders (rank) 150 Procedures (number) 10 Procedures (number) 5 Documents to export (number) 10 Time (days) 62 Time (days) 93 Time to export (days) 39 Cost (% of income per capita) 16.6 Cost (% of property value) 0.0 Cost to export (US$ per container) 1,230 Minimum capital (% of income per capita) 0.0 Documents to import (number) 14 Getting credit (rank) 159 Time to import (days) 42 Dealing with licenses (rank) 145 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,950 Procedures (number) 26 Depth of credit information index (0­6) 0 Time (days) 204 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 56 Cost (% of income per capita) 263.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 34 Time (days) 275 Employing workers (rank) 116 Protecting investors (rank) 118 Cost (% of claim) 20.2 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 3 Closing a business (rank) 151 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 4 Time (years) NO PRACTICE Rigidity of employment index (0­100) 39 Strength of investor protection index (0­10) 4.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 1 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 95 Paying taxes (rank) 68 Payments (number per year) 19 Time (hours per year) 274 Total tax rate (% of profit) 43.0 BOLIVIA Latin America & Caribbean GNI per capita (US$) 1,010 Ease of doing business (rank) 131 Lower middle income Population (m) 9.2 Starting a business (rank) 149 Registering property (rank) 115 Trading across borders (rank) 135 Procedures (number) 15 Procedures (number) 7 Documents to export (number) 12 Time (days) 50 Time (days) 92 Time to export (days) 26 Cost (% of income per capita) 140.6 Cost (% of property value) 5.0 Cost to export (US$ per container) 1,110 Minimum capital (% of income per capita) 3.8 Documents to import (number) 12 Getting credit (rank) 65 Time to import (days) 36 Dealing with licenses (rank) 57 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,230 Procedures (number) 14 Depth of credit information index (0­6) 5 Time (days) 183 Public registry coverage (% of adults) 11.5 Enforcing contracts (rank) 98 Cost (% of income per capita) 196.0 Private bureau coverage (% of adults) 32.3 Procedures (number) 47 Time (days) 591 Employing workers (rank) 174 Protecting investors (rank) 118 Cost (% of claim) 10.5 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 53 Difficulty of firing index (0­100) 100 Ease of shareholder suits index (0­10) 7 Time (years) 1.8 Rigidity of employment index (0­100) 74 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 14 Recovery rate (cents on the dollar) 37.6 Firing cost (weeks of salary) 100 Paying taxes (rank) 166 Payments (number per year) 41 Time (hours per year) 1080 Total tax rate (% of profit) 80.3 BOSNIA AND HERZEGOVINA Eastern Europe & Central Asia GNI per capita (US$) 2,440 Ease of doing business (rank) 95 Lower middle income Population (m) 3.9 Starting a business (rank) 141 Registering property (rank) 139 Trading across borders (rank) 56 Procedures (number) 12 Procedures (number) 7 Documents to export (number) 5 Time (days) 54 Time (days) 331 Time to export (days) 22 Cost (% of income per capita) 37.0 Cost (% of property value) 5.0 Cost to export (US$ per container) 1,150 Minimum capital (% of income per capita) 52.0 Documents to import (number) 7 Getting credit (rank) 7 Time to import (days) 25 Dealing with licenses (rank) 160 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 1,150 Procedures (number) 16 Depth of credit information index (0­6) 5 Time (days) 467 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 117 Cost (% of income per capita) 2423.4 Private bureau coverage (% of adults) 22.9 Procedures (number) 36 Time (days) 595 Employing workers (rank) 95 Protecting investors (rank) 83 Cost (% of claim) 19.6 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 6 Closing a business (rank) 69 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 6 Time (years) 3.3 Rigidity of employment index (0­100) 42 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 15 Recovery rate (cents on the dollar) 33.7 Firing cost (weeks of salary) 33 Paying taxes (rank) 111 Payments (number per year) 73 Time (hours per year) 100 Total tax rate (% of profit) 50.4 COUNTRYTABLES 101 BOTSWANA Sub-Saharan Africa GNI per capita (US$) 5,180 Ease of doing business (rank) 48 Upper middle income Population (m) 1.8 Starting a business (rank) 93 Registering property (rank) 34 Trading across borders (rank) 89 Procedures (number) 11 Procedures (number) 4 Documents to export (number) 6 Time (days) 108 Time (days) 30 Time to export (days) 37 Cost (% of income per capita) 10.6 Cost (% of property value) 4.9 Cost to export (US$ per container) 524 Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 13 Time to import (days) 42 Dealing with licenses (rank) 136 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,159 Procedures (number) 24 Depth of credit information index (0­6) 5 Time (days) 169 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 77 Cost (% of income per capita) 457.7 Private bureau coverage (% of adults) 43.2 Procedures (number) 26 Time (days) 501 Employing workers (rank) 62 Protecting investors (rank) 118 Cost (% of claim) 24.8 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 2 Closing a business (rank) 22 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 3 Time (years) 1.3 Rigidity of employment index (0­100) 20 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 64.7 Firing cost (weeks of salary) 90 Paying taxes (rank) 67 Payments (number per year) 24 Time (hours per year) 140 Total tax rate (% of profit) 53.3 BRAZIL Latin America & Caribbean GNI per capita (US$) 3,460 Ease of doing business (rank) 121 Lower middle income Population (m) 186.4 Starting a business (rank) 115 Registering property (rank) 124 Trading across borders (rank) 53 Procedures (number) 17 Procedures (number) 14 Documents to export (number) 7 Time (days) 152 Time (days) 47 Time to export (days) 18 Cost (% of income per capita) 9.9 Cost (% of property value) 4.0 Cost to export (US$ per container) 895 Minimum capital (% of income per capita) 0.0 Documents to import (number) 6 Getting credit (rank) 83 Time to import (days) 24 Dealing with licenses (rank) 139 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 1,145 Procedures (number) 19 Depth of credit information index (0­6) 5 Time (days) 460 Public registry coverage (% of adults) 9.2 Enforcing contracts (rank) 120 Cost (% of income per capita) 179.9 Private bureau coverage (% of adults) 43.0 Procedures (number) 42 Time (days) 616 Employing workers (rank) 99 Protecting investors (rank) 60 Cost (% of claim) 15.5 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 7 Closing a business (rank) 135 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 4 Time (years) 4.0 Rigidity of employment index (0­100) 42 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 12 Nonwage labor cost (% of salary) 37 Recovery rate (cents on the dollar) 12.1 Firing cost (weeks of salary) 37 Paying taxes (rank) 151 Payments (number per year) 23 Time (hours per year) 2600 Total tax rate (% of profit) 71.7 BULGARIA Eastern Europe & Central Asia GNI per capita (US$) 3,450 Ease of doing business (rank) 54 Lower middle income Population (m) 7.7 Starting a business (rank) 85 Registering property (rank) 65 Trading across borders (rank) 104 Procedures (number) 9 Procedures (number) 9 Documents to export (number) 7 Time (days) 32 Time (days) 19 Time to export (days) 26 Cost (% of income per capita) 7.9 Cost (% of property value) 2.3 Cost to export (US$ per container) 1,233 Minimum capital (% of income per capita) 91.3 Documents to import (number) 10 Getting credit (rank) 33 Time to import (days) 25 Dealing with licenses (rank) 140 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,201 Procedures (number) 22 Depth of credit information index (0­6) 4 Time (days) 226 Public registry coverage (% of adults) 20.7 Enforcing contracts (rank) 52 Cost (% of income per capita) 270.5 Private bureau coverage (% of adults) .. Procedures (number) 34 Time (days) 440 Employing workers (rank) 100 Protecting investors (rank) 33 Cost (% of claim) 14.0 Difficulty of hiring index (0­100) 50 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 1 Closing a business (rank) 64 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 7 Time (years) 3.3 Rigidity of employment index (0­100) 47 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 30 Recovery rate (cents on the dollar) 34.4 Firing cost (weeks of salary) 9 Paying taxes (rank) 107 Payments (number per year) 27 Time (hours per year) 616 Total tax rate (% of profit) 40.7 102 DOiNgBUSiNESS2007 BURKINA FASO Sub-Saharan Africa GNI per capita (US$) 400 Ease of doing business (rank) 163 Low income Population (m) 13.2 Starting a business (rank) 131 Registering property (rank) 164 Trading across borders (rank) 154 Procedures (number) 8 Procedures (number) 8 Documents to export (number) 9 Time (days) 34 Time (days) 107 Time to export (days) 69 Cost (% of income per capita) 120.8 Cost (% of property value) 16.2 Cost to export (US$ per container) 1,215 Minimum capital (% of income per capita) 481.4 Documents to import (number) 13 Getting credit (rank) 117 Time to import (days) 66 Dealing with licenses (rank) 168 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,700 Procedures (number) 32 Depth of credit information index (0­6) 1 Time (days) 226 Public registry coverage (% of adults) 2.4 Enforcing contracts (rank) 143 Cost (% of income per capita) 1247.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 41 Time (days) 446 Employing workers (rank) 153 Protecting investors (rank) 99 Cost (% of claim) 95.4 Difficulty of hiring index (0­100) 83 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 90 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 3 Time (years) 4.0 Rigidity of employment index (0­100) 64 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 9 Nonwage labor cost (% of salary) 20 Recovery rate (cents on the dollar) 26.4 Firing cost (weeks of salary) 34 Paying taxes (rank) 129 Payments (number per year) 45 Time (hours per year) 270 Total tax rate (% of profit) 51.1 BURUNDI Sub-Saharan Africa GNI per capita (US$) 100 Ease of doing business (rank) 166 Low income Population (m) 7.5 Starting a business (rank) 109 Registering property (rank) 132 Trading across borders (rank) 171 Procedures (number) 11 Procedures (number) 5 Documents to export (number) 12 Time (days) 43 Time (days) 94 Time to export (days) 80 Cost (% of income per capita) 222.4 Cost (% of property value) 17.9 Cost to export (US$ per container) 3,625 Minimum capital (% of income per capita) 0.0 Documents to import (number) 14 Getting credit (rank) 159 Time to import (days) 124 Dealing with licenses (rank) 164 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 3,705 Procedures (number) 18 Depth of credit information index (0­6) 1 Time (days) 302 Public registry coverage (% of adults) 0.1 Enforcing contracts (rank) 137 Cost (% of income per capita) 8808.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 47 Time (days) 403 Employing workers (rank) 132 Protecting investors (rank) .. Cost (% of claim) 32.5 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) .. Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) .. Closing a business (rank) 121 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) .. Time (years) 4.0 Rigidity of employment index (0­100) 59 Strength of investor protection index (0­10) .. Cost (% of estate) 18 Nonwage labor cost (% of salary) 7 Recovery rate (cents on the dollar) 16.5 Firing cost (weeks of salary) 26 Paying taxes (rank) 123 Payments (number per year) 40 Time (hours per year) 140 Total tax rate (% of profit) 286.7 CAMBODIA East Asia & Pacific GNI per capita (US$) 380 Ease of doing business (rank) 143 Low income Population (m) 14.1 Starting a business (rank) 159 Registering property (rank) 100 Trading across borders (rank) 114 Procedures (number) 10 Procedures (number) 7 Documents to export (number) 8 Time (days) 86 Time (days) 56 Time to export (days) 36 Cost (% of income per capita) 236.4 Cost (% of property value) 4.6 Cost to export (US$ per container) 736 Minimum capital (% of income per capita) 66.2 Documents to import (number) 12 Getting credit (rank) 174 Time to import (days) 45 Dealing with licenses (rank) 159 Strength of legal rights index (0­10) 0 Cost to import (US$ per container) 816 Procedures (number) 28 Depth of credit information index (0­6) 0 Time (days) 181 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 118 Cost (% of income per capita) 1640.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 31 Time (days) 401 Employing workers (rank) 124 Protecting investors (rank) 60 Cost (% of claim) 121.3 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 9 Closing a business (rank) 151 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 2 Time (years) NO PRACTICE Rigidity of employment index (0­100) 49 Strength of investor protection index (0­10) 5.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 39 Paying taxes (rank) 16 Payments (number per year) 27 Time (hours per year) 121 Total tax rate (% of profit) 22.3 COUNTRYTABLES 103 CAMEROON Sub-Saharan Africa GNI per capita (US$) 1,010 Ease of doing business (rank) 152 Lower middle income Population (m) 16.3 Starting a business (rank) 152 Registering property (rank) 131 Trading across borders (rank) 140 Procedures (number) 12 Procedures (number) 5 Documents to export (number) 10 Time (days) 37 Time (days) 93 Time to export (days) 38 Cost (% of income per capita) 152.2 Cost (% of property value) 18.7 Cost to export (US$ per container) 524 Minimum capital (% of income per capita) 187.3 Documents to import (number) 14 Getting credit (rank) 117 Time to import (days) 51 Dealing with licenses (rank) 151 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,360 Procedures (number) 15 Depth of credit information index (0­6) 2 Time (days) 444 Public registry coverage (% of adults) 3.4 Enforcing contracts (rank) 170 Cost (% of income per capita) 1165.6 Private bureau coverage (% of adults) 0.0 Procedures (number) 58 Time (days) 800 Employing workers (rank) 135 Protecting investors (rank) 60 Cost (% of claim) 36.4 Difficulty of hiring index (0­100) 28 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 96 Difficulty of firing index (0­100) 80 Ease of shareholder suits index (0­10) 6 Time (years) 3.2 Rigidity of employment index (0­100) 56 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 16 Recovery rate (cents on the dollar) 24.1 Firing cost (weeks of salary) 33 Paying taxes (rank) 143 Payments (number per year) 39 Time (hours per year) 1300 Total tax rate (% of profit) 46.2 CANADA OECD: High Income GNI per capita (US$) 32,600 Ease of doing business (rank) 4 High income Population (m) 32.3 Starting a business (rank) 1 Registering property (rank) 22 Trading across borders (rank) 8 Procedures (number) 2 Procedures (number) 6 Documents to export (number) 3 Time (days) 3 Time (days) 10 Time to export (days) 7 Cost (% of income per capita) 0.9 Cost (% of property value) 1.7 Cost to export (US$ per container) 700 Minimum capital (% of income per capita) 0.0 Documents to import (number) 4 Getting credit (rank) 7 Time to import (days) 10 Dealing with licenses (rank) 32 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 850 Procedures (number) 15 Depth of credit information index (0­6) 6 Time (days) 77 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 16 Cost (% of income per capita) 117.9 Private bureau coverage (% of adults) 100.0 Procedures (number) 17 Time (days) 346 Employing workers (rank) 13 Protecting investors (rank) 5 Cost (% of claim) 12.0 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 9 Closing a business (rank) 5 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 0.8 Rigidity of employment index (0­100) 4 Strength of investor protection index (0­10) 8.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 14 Recovery rate (cents on the dollar) 89.3 Firing cost (weeks of salary) 28 Paying taxes (rank) 22 Payments (number per year) 10 Time (hours per year) 119 Total tax rate (% of profit) 43.0 CAPE VERDE Sub-Saharan Africa GNI per capita (US$) 1,870 Ease of doing business (rank) 125 Lower middle income Population (m) 0.5 Starting a business (rank) 144 Registering property (rank) 122 Trading across borders (rank) 20 Procedures (number) 12 Procedures (number) 6 Documents to export (number) 4 Time (days) 52 Time (days) 83 Time to export (days) 18 Cost (% of income per capita) 45.6 Cost (% of property value) 7.9 Cost to export (US$ per container) 533 Minimum capital (% of income per capita) 60.7 Documents to import (number) 9 Getting credit (rank) 65 Time to import (days) 16 Dealing with licenses (rank) 93 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 533 Procedures (number) 17 Depth of credit information index (0­6) 3 Time (days) 141 Public registry coverage (% of adults) 11.9 Enforcing contracts (rank) 80 Cost (% of income per capita) 1526.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 40 Time (days) 465 Employing workers (rank) 137 Protecting investors (rank) 135 Cost (% of claim) 15.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 151 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 6 Time (years) NO PRACTICE Rigidity of employment index (0­100) 44 Strength of investor protection index (0­10) 4.0 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 91 Paying taxes (rank) 100 Payments (number per year) 49 Time (hours per year) 100 Total tax rate (% of profit) 54.4 104 DOiNgBUSiNESS2007 CENTRAL AFRICAN REPUBLIC Sub-Saharan Africa GNI per capita (US$) 350 Ease of doing business (rank) 167 Low income Population (m) 4.0 Starting a business (rank) 132 Registering property (rank) 92 Trading across borders (rank) 156 Procedures (number) 10 Procedures (number) 3 Documents to export (number) 9 Time (days) 14 Time (days) 69 Time to export (days) 63 Cost (% of income per capita) 209.3 Cost (% of property value) 11.7 Cost to export (US$ per container) 1,502 Minimum capital (% of income per capita) 554.6 Documents to import (number) 19 Getting credit (rank) 117 Time to import (days) 60 Dealing with licenses (rank) 148 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,572 Procedures (number) 21 Depth of credit information index (0­6) 2 Time (days) 245 Public registry coverage (% of adults) 1.1 Enforcing contracts (rank) 161 Cost (% of income per capita) 301.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 45 Time (days) 660 Employing workers (rank) 160 Protecting investors (rank) 46 Cost (% of claim) 43.7 Difficulty of hiring index (0­100) 89 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 6 Closing a business (rank) 151 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 7 Time (years) 4.8 Rigidity of employment index (0­100) 73 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 76 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 22 Paying taxes (rank) 171 Payments (number per year) 54 Time (hours per year) 504 Total tax rate (% of profit) 209.5 CHAD Sub-Saharan Africa GNI per capita (US$) 400 Ease of doing business (rank) 172 Low income Population (m) 9.7 Starting a business (rank) 174 Registering property (rank) 122 Trading across borders (rank) 157 Procedures (number) 19 Procedures (number) 6 Documents to export (number) 7 Time (days) 75 Time (days) 44 Time to export (days) 87 Cost (% of income per capita) 226.1 Cost (% of property value) 21.2 Cost to export (US$ per container) 1,860 Minimum capital (% of income per capita) 414.1 Documents to import (number) 14 Getting credit (rank) 117 Time to import (days) 111 Dealing with licenses (rank) 114 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 2,400 Procedures (number) 16 Depth of credit information index (0­6) 1 Time (days) 199 Public registry coverage (% of adults) 0.2 Enforcing contracts (rank) 171 Cost (% of income per capita) 1139.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 52 Time (days) 743 Employing workers (rank) 148 Protecting investors (rank) 99 Cost (% of claim) 54.9 Difficulty of hiring index (0­100) 39 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 151 Difficulty of firing index (0­100) 80 Ease of shareholder suits index (0­10) 7 Time (years) 10.0 Rigidity of employment index (0­100) 60 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 63 Nonwage labor cost (% of salary) 21 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 36 Paying taxes (rank) 132 Payments (number per year) 65 Time (hours per year) 122 Total tax rate (% of profit) 68.2 CHILE Latin America & Caribbean GNI per capita (US$) 5,870 Ease of doing business (rank) 28 Upper middle income Population (m) 16.3 Starting a business (rank) 32 Registering property (rank) 30 Trading across borders (rank) 44 Procedures (number) 9 Procedures (number) 6 Documents to export (number) 7 Time (days) 27 Time (days) 31 Time to export (days) 20 Cost (% of income per capita) 9.8 Cost (% of property value) 1.3 Cost to export (US$ per container) 510 Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 33 Time to import (days) 24 Dealing with licenses (rank) 40 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 510 Procedures (number) 12 Depth of credit information index (0­6) 6 Time (days) 171 Public registry coverage (% of adults) 31.3 Enforcing contracts (rank) 73 Cost (% of income per capita) 114.2 Private bureau coverage (% of adults) 19.3 Procedures (number) 33 Time (days) 480 Employing workers (rank) 58 Protecting investors (rank) 19 Cost (% of claim) 16.3 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 6 Closing a business (rank) 107 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 5 Time (years) 5.6 Rigidity of employment index (0­100) 24 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 3 Recovery rate (cents on the dollar) 20.0 Firing cost (weeks of salary) 52 Paying taxes (rank) 37 Payments (number per year) 10 Time (hours per year) 432 Total tax rate (% of profit) 26.3 COUNTRYTABLES 105 CHINA East Asia & Pacific GNI per capita (US$) 1,740 Ease of doing business (rank) 93 Lower middle income Population (m) 1304.5 Starting a business (rank) 128 Registering property (rank) 21 Trading across borders (rank) 38 Procedures (number) 13 Procedures (number) 3 Documents to export (number) 6 Time (days) 35 Time (days) 32 Time to export (days) 18 Cost (% of income per capita) 9.3 Cost (% of property value) 3.1 Cost to export (US$ per container) 335 Minimum capital (% of income per capita) 213.1 Documents to import (number) 12 Getting credit (rank) 101 Time to import (days) 22 Dealing with licenses (rank) 153 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 375 Procedures (number) 29 Depth of credit information index (0­6) 4 Time (days) 367 Public registry coverage (% of adults) 10.2 Enforcing contracts (rank) 63 Cost (% of income per capita) 84.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 31 Time (days) 292 Employing workers (rank) 78 Protecting investors (rank) 83 Cost (% of claim) 26.8 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 1 Closing a business (rank) 75 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 4 Time (years) 2.4 Rigidity of employment index (0­100) 24 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 22 Nonwage labor cost (% of salary) 44 Recovery rate (cents on the dollar) 31.5 Firing cost (weeks of salary) 91 Paying taxes (rank) 168 Payments (number per year) 44 Time (hours per year) 872 Total tax rate (% of profit) 77.1 COLOMBIA Latin America & Caribbean GNI per capita (US$) 2,290 Ease of doing business (rank) 79 Lower middle income Population (m) 45.6 Starting a business (rank) 90 Registering property (rank) 56 Trading across borders (rank) 128 Procedures (number) 13 Procedures (number) 7 Documents to export (number) 6 Time (days) 44 Time (days) 23 Time to export (days) 34 Cost (% of income per capita) 19.8 Cost (% of property value) 3.5 Cost to export (US$ per container) 1,745 Minimum capital (% of income per capita) 0.0 Documents to import (number) 11 Getting credit (rank) 83 Time to import (days) 35 Dealing with licenses (rank) 60 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,773 Procedures (number) 12 Depth of credit information index (0­6) 4 Time (days) 150 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 141 Cost (% of income per capita) 646.3 Private bureau coverage (% of adults) 28.3 Procedures (number) 37 Time (days) 1346 Employing workers (rank) 77 Protecting investors (rank) 33 Cost (% of claim) 20.0 Difficulty of hiring index (0­100) 22 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 2 Closing a business (rank) 26 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 9 Time (years) 3.0 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 1 Nonwage labor cost (% of salary) 28 Recovery rate (cents on the dollar) 57.7 Firing cost (weeks of salary) 59 Paying taxes (rank) 172 Payments (number per year) 68 Time (hours per year) 456 Total tax rate (% of profit) 82.8 COMOROS Sub-Saharan Africa GNI per capita (US$) 640 Ease of doing business (rank) 144 Low income Population (m) 0.6 Starting a business (rank) 136 Registering property (rank) 83 Trading across borders (rank) 118 Procedures (number) 11 Procedures (number) 5 Documents to export (number) 9 Time (days) 23 Time (days) 24 Time to export (days) 28 Cost (% of income per capita) 192.3 Cost (% of property value) 20.8 Cost to export (US$ per container) 1,481 Minimum capital (% of income per capita) 291.7 Documents to import (number) 8 Getting credit (rank) 159 Time to import (days) 22 Dealing with licenses (rank) 68 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,481 Procedures (number) 17 Depth of credit information index (0­6) 0 Time (days) 196 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 167 Cost (% of income per capita) 80.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 60 Time (days) 721 Employing workers (rank) 149 Protecting investors (rank) 83 Cost (% of claim) 29.4 Difficulty of hiring index (0­100) 39 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 151 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) NO PRACTICE Rigidity of employment index (0­100) 46 Strength of investor protection index (0­10) 5.0 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 100 Paying taxes (rank) 34 Payments (number per year) 20 Time (hours per year) 100 Total tax rate (% of profit) 47.5 106 DOiNgBUSiNESS2007 CONGO, DEM. REP. Sub-Saharan Africa GNI per capita (US$) 120 Ease of doing business (rank) 175 Low income Population (m) 57.5 Starting a business (rank) 172 Registering property (rank) 141 Trading across borders (rank) 159 Procedures (number) 13 Procedures (number) 8 Documents to export (number) 8 Time (days) 155 Time (days) 57 Time to export (days) 64 Cost (% of income per capita) 481.1 Cost (% of property value) 9.5 Cost to export (US$ per container) 3,120 Minimum capital (% of income per capita) 177.3 Documents to import (number) 12 Getting credit (rank) 159 Time to import (days) 92 Dealing with licenses (rank) 140 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 3,308 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 306 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 171 Cost (% of income per capita) 2281.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 51 Time (days) 685 Employing workers (rank) 170 Protecting investors (rank) 142 Cost (% of claim) 156.8 Difficulty of hiring index (0­100) 83 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 3 Closing a business (rank) 145 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 5 Time (years) 5.2 Rigidity of employment index (0­100) 78 Strength of investor protection index (0­10) 3.7 Cost (% of estate) 22 Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 4.9 Firing cost (weeks of salary) 31 Paying taxes (rank) 147 Payments (number per year) 34 Time (hours per year) 312 Total tax rate (% of profit) 235.4 CONGO, REP. Sub-Saharan Africa GNI per capita (US$) 950 Ease of doing business (rank) 171 Lower middle income Population (m) 4.0 Starting a business (rank) 146 Registering property (rank) 163 Trading across borders (rank) 166 Procedures (number) 8 Procedures (number) 7 Documents to export (number) 12 Time (days) 71 Time (days) 137 Time to export (days) 50 Cost (% of income per capita) 214.8 Cost (% of property value) 27.2 Cost to export (US$ per container) 1,732 Minimum capital (% of income per capita) 192.4 Documents to import (number) 15 Getting credit (rank) 117 Time to import (days) 62 Dealing with licenses (rank) 95 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 2,201 Procedures (number) 15 Depth of credit information index (0­6) 2 Time (days) 175 Public registry coverage (% of adults) 1.4 Enforcing contracts (rank) 155 Cost (% of income per capita) 1243.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 47 Time (days) 560 Employing workers (rank) 163 Protecting investors (rank) 83 Cost (% of claim) 45.6 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 110 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 6 Time (years) 3.0 Rigidity of employment index (0­100) 69 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 24 Nonwage labor cost (% of salary) 29 Recovery rate (cents on the dollar) 19.4 Firing cost (weeks of salary) 41 Paying taxes (rank) 170 Payments (number per year) 94 Time (hours per year) 576 Total tax rate (% of profit) 57.3 COSTA RICA Latin America & Caribbean GNI per capita (US$) 4,590 Ease of doing business (rank) 105 Upper middle income Population (m) 4.3 Starting a business (rank) 99 Registering property (rank) 37 Trading across borders (rank) 100 Procedures (number) 11 Procedures (number) 6 Documents to export (number) 7 Time (days) 77 Time (days) 21 Time to export (days) 36 Cost (% of income per capita) 23.5 Cost (% of property value) 3.5 Cost to export (US$ per container) 660 Minimum capital (% of income per capita) 0.0 Documents to import (number) 13 Getting credit (rank) 33 Time to import (days) 42 Dealing with licenses (rank) 57 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 660 Procedures (number) 19 Depth of credit information index (0­6) 6 Time (days) 119 Public registry coverage (% of adults) 2.5 Enforcing contracts (rank) 114 Cost (% of income per capita) 140.2 Private bureau coverage (% of adults) 39.2 Procedures (number) 34 Time (days) 615 Employing workers (rank) 65 Protecting investors (rank) 156 Cost (% of claim) 18.7 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 118 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 2 Time (years) 3.5 Rigidity of employment index (0­100) 32 Strength of investor protection index (0­10) 3.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 26 Recovery rate (cents on the dollar) 17.6 Firing cost (weeks of salary) 35 Paying taxes (rank) 160 Payments (number per year) 41 Time (hours per year) 402 Total tax rate (% of profit) 83.0 COUNTRYTABLES 107 COTE D'IVOIRE Sub-Saharan Africa GNI per capita (US$) 840 Ease of doing business (rank) 141 Low income Population (m) 18.2 Starting a business (rank) 154 Registering property (rank) 101 Trading across borders (rank) 132 Procedures (number) 11 Procedures (number) 6 Documents to export (number) 9 Time (days) 45 Time (days) 32 Time to export (days) 21 Cost (% of income per capita) 134.1 Cost (% of property value) 14.3 Cost to export (US$ per container) 781 Minimum capital (% of income per capita) 226.7 Documents to import (number) 19 Getting credit (rank) 143 Time to import (days) 48 Dealing with licenses (rank) 158 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,395 Procedures (number) 22 Depth of credit information index (0­6) 1 Time (days) 569 Public registry coverage (% of adults) 3.1 Enforcing contracts (rank) 92 Cost (% of income per capita) 196.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 25 Time (days) 525 Employing workers (rank) 133 Protecting investors (rank) 99 Cost (% of claim) 29.5 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 5 Closing a business (rank) 68 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 3 Time (years) 2.2 Rigidity of employment index (0­100) 45 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 18 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 33.8 Firing cost (weeks of salary) 49 Paying taxes (rank) 134 Payments (number per year) 71 Time (hours per year) 270 Total tax rate (% of profit) 45.7 CROATIA Eastern Europe & Central Asia GNI per capita (US$) 8,060 Ease of doing business (rank) 124 Upper middle income Population (m) 4.4 Starting a business (rank) 100 Registering property (rank) 109 Trading across borders (rank) 92 Procedures (number) 10 Procedures (number) 5 Documents to export (number) 7 Time (days) 45 Time (days) 399 Time to export (days) 26 Cost (% of income per capita) 12.2 Cost (% of property value) 5.0 Cost to export (US$ per container) 1,250 Minimum capital (% of income per capita) 20.6 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 18 Dealing with licenses (rank) 170 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,250 Procedures (number) 28 Depth of credit information index (0­6) 0 Time (days) 278 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 28 Cost (% of income per capita) 1164.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 22 Time (days) 561 Employing workers (rank) 130 Protecting investors (rank) 156 Cost (% of claim) 10.0 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 80 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 2 Time (years) 3.1 Rigidity of employment index (0­100) 50 Strength of investor protection index (0­10) 3.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 28.9 Firing cost (weeks of salary) 39 Paying taxes (rank) 58 Payments (number per year) 39 Time (hours per year) 196 Total tax rate (% of profit) 37.1 CZECH REPUBLIC Eastern Europe & Central Asia GNI per capita (US$) 10,710 Ease of doing business (rank) 52 Upper middle income Population (m) 10.2 Starting a business (rank) 74 Registering property (rank) 58 Trading across borders (rank) 41 Procedures (number) 10 Procedures (number) 4 Documents to export (number) 5 Time (days) 24 Time (days) 123 Time to export (days) 20 Cost (% of income per capita) 8.9 Cost (% of property value) 3.0 Cost to export (US$ per container) 713 Minimum capital (% of income per capita) 36.8 Documents to import (number) 8 Getting credit (rank) 21 Time to import (days) 22 Dealing with licenses (rank) 110 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 833 Procedures (number) 31 Depth of credit information index (0­6) 5 Time (days) 271 Public registry coverage (% of adults) 3.5 Enforcing contracts (rank) 57 Cost (% of income per capita) 14.5 Private bureau coverage (% of adults) 51.0 Procedures (number) 21 Time (days) 820 Employing workers (rank) 45 Protecting investors (rank) 83 Cost (% of claim) 14.1 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 5 Closing a business (rank) 113 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 8 Time (years) 9.2 Rigidity of employment index (0­100) 28 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 35 Recovery rate (cents on the dollar) 18.5 Firing cost (weeks of salary) 22 Paying taxes (rank) 110 Payments (number per year) 14 Time (hours per year) 930 Total tax rate (% of profit) 49.0 108 DOiNgBUSiNESS2007 DENMARK OECD: High Income GNI per capita (US$) 47,390 Ease of doing business (rank) 7 High income Population (m) 5.4 Starting a business (rank) 14 Registering property (rank) 36 Trading across borders (rank) 3 Procedures (number) 3 Procedures (number) 6 Documents to export (number) 3 Time (days) 5 Time (days) 42 Time to export (days) 5 Cost (% of income per capita) 0.0 Cost (% of property value) 0.6 Cost to export (US$ per container) 540 Minimum capital (% of income per capita) 44.6 Documents to import (number) 3 Getting credit (rank) 13 Time to import (days) 5 Dealing with licenses (rank) 6 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 540 Procedures (number) 7 Depth of credit information index (0­6) 4 Time (days) 70 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 1 Cost (% of income per capita) 67.8 Private bureau coverage (% of adults) 11.5 Procedures (number) 15 Time (days) 190 Employing workers (rank) 15 Protecting investors (rank) 19 Cost (% of claim) 6.5 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 20 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 7 Time (years) 3.0 Rigidity of employment index (0­100) 17 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 1 Recovery rate (cents on the dollar) 70.5 Firing cost (weeks of salary) 10 Paying taxes (rank) 15 Payments (number per year) 18 Time (hours per year) 135 Total tax rate (% of profit) 31.5 DJIBOUTI Middle East & North Africa GNI per capita (US$) 1,020 Ease of doing business (rank) 161 Lower middle income Population (m) 0.8 Starting a business (rank) 157 Registering property (rank) 137 Trading across borders (rank) 148 Procedures (number) 11 Procedures (number) 7 Documents to export (number) 15 Time (days) 37 Time (days) 49 Time to export (days) 25 Cost (% of income per capita) 222.0 Cost (% of property value) 13.3 Cost to export (US$ per container) 2,035 Minimum capital (% of income per capita) 571.4 Documents to import (number) 14 Getting credit (rank) 117 Time to import (days) 26 Dealing with licenses (rank) 106 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 2,035 Procedures (number) 15 Depth of credit information index (0­6) 1 Time (days) 203 Public registry coverage (% of adults) 0.2 Enforcing contracts (rank) 169 Cost (% of income per capita) 1050.6 Private bureau coverage (% of adults) 0.0 Procedures (number) 59 Time (days) 1225 Employing workers (rank) 125 Protecting investors (rank) 168 Cost (% of claim) 27.0 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 2 Closing a business (rank) 122 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 0 Time (years) 5.0 Rigidity of employment index (0­100) 46 Strength of investor protection index (0­10) 2.3 Cost (% of estate) 18 Nonwage labor cost (% of salary) 16 Recovery rate (cents on the dollar) 15.9 Firing cost (weeks of salary) 56 Paying taxes (rank) 51 Payments (number per year) 36 Time (hours per year) 114 Total tax rate (% of profit) 41.7 DOMINICA Latin America & Caribbean GNI per capita (US$) 3,790 Ease of doing business (rank) 72 Upper middle income Population (m) 0.1 Starting a business (rank) 24 Registering property (rank) 78 Trading across borders (rank) 97 Procedures (number) 5 Procedures (number) 4 Documents to export (number) 7 Time (days) 19 Time (days) 40 Time to export (days) 11 Cost (% of income per capita) 30.0 Cost (% of property value) 13.0 Cost to export (US$ per container) 1,477 Minimum capital (% of income per capita) 0.0 Documents to import (number) 13 Getting credit (rank) 101 Time to import (days) 17 Dealing with licenses (rank) 51 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,512 Procedures (number) 11 Depth of credit information index (0­6) 0 Time (days) 228 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 159 Cost (% of income per capita) 82.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 52 Time (days) 681 Employing workers (rank) 50 Protecting investors (rank) 19 Cost (% of claim) 28.2 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 8 Closing a business (rank) 151 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) NO PRACTICE Rigidity of employment index (0­100) 17 Strength of investor protection index (0­10) 6.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 7 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 58 Paying taxes (rank) 20 Payments (number per year) 30 Time (hours per year) 65 Total tax rate (% of profit) 34.8 COUNTRYTABLES 109 DOMINICAN REPUBLIC Latin America & Caribbean GNI per capita (US$) 2,370 Ease of doing business (rank) 117 Lower middle income Population (m) 8.9 Starting a business (rank) 119 Registering property (rank) 126 Trading across borders (rank) 55 Procedures (number) 10 Procedures (number) 7 Documents to export (number) 7 Time (days) 73 Time (days) 107 Time to export (days) 17 Cost (% of income per capita) 30.2 Cost (% of property value) 5.1 Cost to export (US$ per container) 770 Minimum capital (% of income per capita) 1.1 Documents to import (number) 11 Getting credit (rank) 33 Time to import (days) 17 Dealing with licenses (rank) 77 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 990 Procedures (number) 17 Depth of credit information index (0­6) 6 Time (days) 165 Public registry coverage (% of adults) 11.9 Enforcing contracts (rank) 108 Cost (% of income per capita) 240.1 Private bureau coverage (% of adults) 57.1 Procedures (number) 29 Time (days) 460 Employing workers (rank) 127 Protecting investors (rank) 135 Cost (% of claim) 35.0 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 0 Closing a business (rank) 142 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 7 Time (years) 3.5 Rigidity of employment index (0­100) 42 Strength of investor protection index (0­10) 4.0 Cost (% of estate) 38 Nonwage labor cost (% of salary) 14 Recovery rate (cents on the dollar) 7.4 Firing cost (weeks of salary) 88 Paying taxes (rank) 146 Payments (number per year) 87 Time (hours per year) 178 Total tax rate (% of profit) 67.9 ECUADOR Latin America & Caribbean GNI per capita (US$) 2,630 Ease of doing business (rank) 123 Lower middle income Population (m) 13.2 Starting a business (rank) 139 Registering property (rank) 84 Trading across borders (rank) 126 Procedures (number) 14 Procedures (number) 10 Documents to export (number) 12 Time (days) 65 Time (days) 20 Time to export (days) 20 Cost (% of income per capita) 31.8 Cost (% of property value) 3.9 Cost to export (US$ per container) 1,090 Minimum capital (% of income per capita) 7.7 Documents to import (number) 11 Getting credit (rank) 65 Time to import (days) 41 Dealing with licenses (rank) 60 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,090 Procedures (number) 19 Depth of credit information index (0­6) 5 Time (days) 149 Public registry coverage (% of adults) 15.2 Enforcing contracts (rank) 96 Cost (% of income per capita) 83.7 Private bureau coverage (% of adults) 43.7 Procedures (number) 41 Time (days) 498 Employing workers (rank) 161 Protecting investors (rank) 135 Cost (% of claim) 15.3 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 134 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 6 Time (years) 8.0 Rigidity of employment index (0­100) 51 Strength of investor protection index (0­10) 4.0 Cost (% of estate) 18 Nonwage labor cost (% of salary) 12 Recovery rate (cents on the dollar) 12.7 Firing cost (weeks of salary) 135 Paying taxes (rank) 53 Payments (number per year) 8 Time (hours per year) 600 Total tax rate (% of profit) 34.9 EGYPT Middle East & North Africa GNI per capita (US$) 1,250 Ease of doing business (rank) 165 Lower middle income Population (m) 74.0 Starting a business (rank) 125 Registering property (rank) 141 Trading across borders (rank) 83 Procedures (number) 10 Procedures (number) 7 Documents to export (number) 8 Time (days) 19 Time (days) 193 Time to export (days) 20 Cost (% of income per capita) 68.8 Cost (% of property value) 5.9 Cost to export (US$ per container) 1,014 Minimum capital (% of income per capita) 694.7 Documents to import (number) 8 Getting credit (rank) 159 Time to import (days) 25 Dealing with licenses (rank) 169 Strength of legal rights index (0­10) 1 Cost to import (US$ per container) 1,049 Procedures (number) 30 Depth of credit information index (0­6) 2 Time (days) 263 Public registry coverage (% of adults) 1.5 Enforcing contracts (rank) 157 Cost (% of income per capita) 1002.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 55 Time (days) 1010 Employing workers (rank) 144 Protecting investors (rank) 118 Cost (% of claim) 18.4 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 3 Closing a business (rank) 120 Difficulty of firing index (0­100) 100 Ease of shareholder suits index (0­10) 5 Time (years) 4.2 Rigidity of employment index (0­100) 53 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 22 Nonwage labor cost (% of salary) 26 Recovery rate (cents on the dollar) 16.6 Firing cost (weeks of salary) 186 Paying taxes (rank) 144 Payments (number per year) 41 Time (hours per year) 536 Total tax rate (% of profit) 50.4 110 DOiNgBUSiNESS2007 EL SALVADOR Latin America & Caribbean GNI per capita (US$) 2,450 Ease of doing business (rank) 71 Lower middle income Population (m) 6.9 Starting a business (rank) 123 Registering property (rank) 49 Trading across borders (rank) 58 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 7 Time (days) 26 Time (days) 33 Time to export (days) 22 Cost (% of income per capita) 75.6 Cost (% of property value) 3.6 Cost to export (US$ per container) 515 Minimum capital (% of income per capita) 119.7 Documents to import (number) 12 Getting credit (rank) 33 Time to import (days) 30 Dealing with licenses (rank) 90 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 515 Procedures (number) 22 Depth of credit information index (0­6) 6 Time (days) 144 Public registry coverage (% of adults) 30.5 Enforcing contracts (rank) 116 Cost (% of income per capita) 201.0 Private bureau coverage (% of adults) 79.6 Procedures (number) 41 Time (days) 626 Employing workers (rank) 70 Protecting investors (rank) 99 Cost (% of claim) 15.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 2 Closing a business (rank) 79 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 6 Time (years) 4.0 Rigidity of employment index (0­100) 24 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 9 Nonwage labor cost (% of salary) 9 Recovery rate (cents on the dollar) 29.2 Firing cost (weeks of salary) 86 Paying taxes (rank) 85 Payments (number per year) 66 Time (hours per year) 224 Total tax rate (% of profit) 27.4 EQUATORIAL GUINEA Sub-Saharan Africa GNI per capita (US$) 14,497 Ease of doing business (rank) 150 Upper middle income Population (m) 0.5 Starting a business (rank) 162 Registering property (rank) 57 Trading across borders (rank) 96 Procedures (number) 20 Procedures (number) 6 Documents to export (number) 6 Time (days) 136 Time (days) 23 Time to export (days) 26 Cost (% of income per capita) 100.7 Cost (% of property value) 6.2 Cost to export (US$ per container) 1,203 Minimum capital (% of income per capita) 13.1 Documents to import (number) 6 Getting credit (rank) 143 Time to import (days) 50 Dealing with licenses (rank) 96 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 1,203 Procedures (number) 19 Depth of credit information index (0­6) 2 Time (days) 156 Public registry coverage (% of adults) 2.4 Enforcing contracts (rank) 91 Cost (% of income per capita) 364.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 38 Time (days) 553 Employing workers (rank) 172 Protecting investors (rank) 83 Cost (% of claim) 14.5 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 151 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 5 Time (years) NO PRACTICE Rigidity of employment index (0­100) 66 Strength of investor protection index (0­10) 5.0 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 23 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 133 Paying taxes (rank) 137 Payments (number per year) 48 Time (hours per year) 212 Total tax rate (% of profit) 62.4 ERITREA Sub-Saharan Africa GNI per capita (US$) 220 Ease of doing business (rank) 170 Low income Population (m) 4.4 Starting a business (rank) 168 Registering property (rank) 153 Trading across borders (rank) 151 Procedures (number) 13 Procedures (number) 12 Documents to export (number) 11 Time (days) 76 Time (days) 101 Time to export (days) 69 Cost (% of income per capita) 115.9 Cost (% of property value) 5.2 Cost to export (US$ per container) 935 Minimum capital (% of income per capita) 449.8 Documents to import (number) 18 Getting credit (rank) 159 Time to import (days) 69 Dealing with licenses (rank) 173 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,185 Procedures (number) NO PRACTICE Depth of credit information index (0­6) 0 Time (days) NO PRACTICE Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 58 Cost (% of income per capita) NO PRACTICE Private bureau coverage (% of adults) 0.0 Procedures (number) 35 Time (days) 305 Employing workers (rank) 55 Protecting investors (rank) 99 Cost (% of claim) 18.6 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 151 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 5 Time (years) 1.7 Rigidity of employment index (0­100) 20 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 15 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 69 Paying taxes (rank) 101 Payments (number per year) 18 Time (hours per year) 216 Total tax rate (% of profit) 86.3 COUNTRYTABLES 111 ESTONIA Eastern Europe & Central Asia GNI per capita (US$) 9,100 Ease of doing business (rank) 17 Upper middle income Population (m) 1.3 Starting a business (rank) 51 Registering property (rank) 23 Trading across borders (rank) 6 Procedures (number) 6 Procedures (number) 3 Documents to export (number) 5 Time (days) 35 Time (days) 51 Time to export (days) 3 Cost (% of income per capita) 5.1 Cost (% of property value) 0.7 Cost to export (US$ per container) 640 Minimum capital (% of income per capita) 34.3 Documents to import (number) 6 Getting credit (rank) 48 Time to import (days) 5 Dealing with licenses (rank) 13 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 640 Procedures (number) 13 Depth of credit information index (0­6) 5 Time (days) 117 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 20 Cost (% of income per capita) 34.3 Private bureau coverage (% of adults) 18.2 Procedures (number) 25 Time (days) 275 Employing workers (rank) 151 Protecting investors (rank) 33 Cost (% of claim) 11.5 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 4 Closing a business (rank) 47 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 6 Time (years) 3.0 Rigidity of employment index (0­100) 58 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 34 Recovery rate (cents on the dollar) 39.9 Firing cost (weeks of salary) 35 Paying taxes (rank) 29 Payments (number per year) 11 Time (hours per year) 104 Total tax rate (% of profit) 50.2 ETHIOPIA Sub-Saharan Africa GNI per capita (US$) 160 Ease of doing business (rank) 97 Low income Population (m) 71.3 Starting a business (rank) 95 Registering property (rank) 146 Trading across borders (rank) 149 Procedures (number) 7 Procedures (number) 13 Documents to export (number) 8 Time (days) 16 Time (days) 43 Time to export (days) 46 Cost (% of income per capita) 45.9 Cost (% of property value) 7.7 Cost to export (US$ per container) 1,700 Minimum capital (% of income per capita) 1083.8 Documents to import (number) 11 Getting credit (rank) 83 Time to import (days) 52 Dealing with licenses (rank) 59 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 2,455 Procedures (number) 12 Depth of credit information index (0­6) 2 Time (days) 133 Public registry coverage (% of adults) 0.1 Enforcing contracts (rank) 82 Cost (% of income per capita) 1235.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 30 Time (days) 690 Employing workers (rank) 79 Protecting investors (rank) 118 Cost (% of claim) 14.8 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 4 Closing a business (rank) 55 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 5 Time (years) 2.4 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 36.9 Firing cost (weeks of salary) 40 Paying taxes (rank) 31 Payments (number per year) 20 Time (hours per year) 212 Total tax rate (% of profit) 32.8 FIJI East Asia & Pacific GNI per capita (US$) 3,280 Ease of doing business (rank) 31 Lower middle income Population (m) 0.8 Starting a business (rank) 55 Registering property (rank) 71 Trading across borders (rank) 70 Procedures (number) 8 Procedures (number) 3 Documents to export (number) 7 Time (days) 46 Time (days) 48 Time to export (days) 22 Cost (% of income per capita) 25.8 Cost (% of property value) 12.0 Cost to export (US$ per container) 418 Minimum capital (% of income per capita) 0.0 Documents to import (number) 12 Getting credit (rank) 21 Time to import (days) 22 Dealing with licenses (rank) 27 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,170 Procedures (number) 16 Depth of credit information index (0­6) 4 Time (days) 114 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 86 Cost (% of income per capita) 41.7 Private bureau coverage (% of adults) 33.4 Procedures (number) 26 Time (days) 397 Employing workers (rank) 28 Protecting investors (rank) 19 Cost (% of claim) 62.1 Difficulty of hiring index (0­100) 22 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 8 Closing a business (rank) 106 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 1.8 Rigidity of employment index (0­100) 21 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 38 Nonwage labor cost (% of salary) 9 Recovery rate (cents on the dollar) 20.8 Firing cost (weeks of salary) 28 Paying taxes (rank) 49 Payments (number per year) 34 Time (hours per year) 145 Total tax rate (% of profit) 40.1 112 DOiNgBUSiNESS2007 FINLAND OECD: High Income GNI per capita (US$) 37,460 Ease of doing business (rank) 14 High income Population (m) 5.2 Starting a business (rank) 18 Registering property (rank) 15 Trading across borders (rank) 2 Procedures (number) 3 Procedures (number) 3 Documents to export (number) 4 Time (days) 14 Time (days) 14 Time to export (days) 7 Cost (% of income per capita) 1.1 Cost (% of property value) 4.0 Cost to export (US$ per container) 420 Minimum capital (% of income per capita) 27.1 Documents to import (number) 3 Getting credit (rank) 21 Time to import (days) 7 Dealing with licenses (rank) 35 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 420 Procedures (number) 17 Depth of credit information index (0­6) 5 Time (days) 56 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 13 Cost (% of income per capita) 108.0 Private bureau coverage (% of adults) 14.9 Procedures (number) 27 Time (days) 228 Employing workers (rank) 111 Protecting investors (rank) 46 Cost (% of claim) 5.9 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 6 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 0.9 Rigidity of employment index (0­100) 48 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 4 Nonwage labor cost (% of salary) 25 Recovery rate (cents on the dollar) 89.1 Firing cost (weeks of salary) 26 Paying taxes (rank) 75 Payments (number per year) 19 Time (hours per year) 264 Total tax rate (% of profit) 47.9 FRANCE OECD: High Income GNI per capita (US$) 34,810 Ease of doing business (rank) 35 High income Population (m) 60.7 Starting a business (rank) 12 Registering property (rank) 160 Trading across borders (rank) 26 Procedures (number) 7 Procedures (number) 9 Documents to export (number) 4 Time (days) 8 Time (days) 183 Time to export (days) 15 Cost (% of income per capita) 1.1 Cost (% of property value) 6.8 Cost to export (US$ per container) 886 Minimum capital (% of income per capita) 0.0 Documents to import (number) 5 Getting credit (rank) 48 Time to import (days) 15 Dealing with licenses (rank) 26 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 886 Procedures (number) 10 Depth of credit information index (0­6) 4 Time (days) 155 Public registry coverage (% of adults) 12.3 Enforcing contracts (rank) 19 Cost (% of income per capita) 75.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 21 Time (days) 331 Employing workers (rank) 134 Protecting investors (rank) 60 Cost (% of claim) 11.8 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 1 Closing a business (rank) 32 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) 1.9 Rigidity of employment index (0­100) 56 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 47 Recovery rate (cents on the dollar) 48.0 Firing cost (weeks of salary) 32 Paying taxes (rank) 92 Payments (number per year) 33 Time (hours per year) 128 Total tax rate (% of profit) 68.2 GABON Sub-Saharan Africa GNI per capita (US$) 5,010 Ease of doing business (rank) 132 Upper middle income Population (m) 1.4 Starting a business (rank) 142 Registering property (rank) 149 Trading across borders (rank) 112 Procedures (number) 10 Procedures (number) 8 Documents to export (number) 4 Time (days) 60 Time (days) 60 Time to export (days) 19 Cost (% of income per capita) 162.8 Cost (% of property value) 10.5 Cost to export (US$ per container) 4,000 Minimum capital (% of income per capita) 36.1 Documents to import (number) 10 Getting credit (rank) 101 Time to import (days) 26 Dealing with licenses (rank) 54 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 4,031 Procedures (number) 13 Depth of credit information index (0­6) 2 Time (days) 268 Public registry coverage (% of adults) 2.6 Enforcing contracts (rank) 77 Cost (% of income per capita) 45.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 32 Time (days) 880 Employing workers (rank) 159 Protecting investors (rank) 99 Cost (% of claim) 9.8 Difficulty of hiring index (0­100) 17 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 4 Closing a business (rank) 130 Difficulty of firing index (0­100) 80 Ease of shareholder suits index (0­10) 5 Time (years) 5.0 Rigidity of employment index (0­100) 59 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 15 Nonwage labor cost (% of salary) 20 Recovery rate (cents on the dollar) 13.9 Firing cost (weeks of salary) 43 Paying taxes (rank) 94 Payments (number per year) 27 Time (hours per year) 272 Total tax rate (% of profit) 48.3 COUNTRYTABLES 113 GAMBIA Sub-Saharan Africa GNI per capita (US$) 290 Ease of doing business (rank) 113 Low income Population (m) 1.5 Starting a business (rank) 124 Registering property (rank) 130 Trading across borders (rank) 24 Procedures (number) 8 Procedures (number) 5 Documents to export (number) 4 Time (days) 27 Time (days) 371 Time to export (days) 19 Cost (% of income per capita) 292.1 Cost (% of property value) 7.6 Cost to export (US$ per container) 422 Minimum capital (% of income per capita) 119.7 Documents to import (number) 8 Getting credit (rank) 143 Time to import (days) 23 Dealing with licenses (rank) 73 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 494 Procedures (number) 17 Depth of credit information index (0­6) 0 Time (days) 145 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 53 Cost (% of income per capita) 276.8 Private bureau coverage (% of adults) 0.0 Procedures (number) 26 Time (days) 247 Employing workers (rank) 25 Protecting investors (rank) 162 Cost (% of claim) 35.9 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 1 Closing a business (rank) 76 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) 3.0 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 2.7 Cost (% of estate) 15 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 31.4 Firing cost (weeks of salary) 9 Paying taxes (rank) 165 Payments (number per year) 47 Time (hours per year) 376 Total tax rate (% of profit) 291.4 GEORGIA Eastern Europe & Central Asia GNI per capita (US$) 1,350 Ease of doing business (rank) 37 Lower middle income Population (m) 4.5 Starting a business (rank) 36 Registering property (rank) 16 Trading across borders (rank) 95 Procedures (number) 7 Procedures (number) 6 Documents to export (number) 8 Time (days) 16 Time (days) 9 Time to export (days) 13 Cost (% of income per capita) 10.9 Cost (% of property value) 0.5 Cost to export (US$ per container) 1,370 Minimum capital (% of income per capita) 3.7 Documents to import (number) 11 Getting credit (rank) 48 Time to import (days) 15 Dealing with licenses (rank) 42 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,370 Procedures (number) 17 Depth of credit information index (0­6) 3 Time (days) 137 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 32 Cost (% of income per capita) 71.7 Private bureau coverage (% of adults) 0.0 Procedures (number) 24 Time (days) 285 Employing workers (rank) 6 Protecting investors (rank) 135 Cost (% of claim) 20.5 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 4 Closing a business (rank) 86 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 4 Time (years) 3.3 Rigidity of employment index (0­100) 7 Strength of investor protection index (0­10) 4.0 Cost (% of estate) 4 Nonwage labor cost (% of salary) 20 Recovery rate (cents on the dollar) 27.5 Firing cost (weeks of salary) 4 Paying taxes (rank) 104 Payments (number per year) 35 Time (hours per year) 423 Total tax rate (% of profit) 37.8 GERMANY OECD: High Income GNI per capita (US$) 34,580 Ease of doing business (rank) 21 High income Population (m) 82.5 Starting a business (rank) 66 Registering property (rank) 42 Trading across borders (rank) 7 Procedures (number) 9 Procedures (number) 4 Documents to export (number) 4 Time (days) 24 Time (days) 40 Time to export (days) 6 Cost (% of income per capita) 5.1 Cost (% of property value) 4.5 Cost to export (US$ per container) 731 Minimum capital (% of income per capita) 46.2 Documents to import (number) 4 Getting credit (rank) 3 Time to import (days) 6 Dealing with licenses (rank) 21 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 750 Procedures (number) 11 Depth of credit information index (0­6) 6 Time (days) 133 Public registry coverage (% of adults) 0.5 Enforcing contracts (rank) 29 Cost (% of income per capita) 89.1 Private bureau coverage (% of adults) 93.9 Procedures (number) 30 Time (days) 394 Employing workers (rank) 129 Protecting investors (rank) 83 Cost (% of claim) 10.5 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 28 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) 1.2 Rigidity of employment index (0­100) 44 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 8 Nonwage labor cost (% of salary) 19 Recovery rate (cents on the dollar) 53.1 Firing cost (weeks of salary) 69 Paying taxes (rank) 73 Payments (number per year) 32 Time (hours per year) 105 Total tax rate (% of profit) 57.1 114 DOiNgBUSiNESS2007 GHANA Sub-Saharan Africa GNI per capita (US$) 450 Ease of doing business (rank) 94 Low income Population (m) 22.1 Starting a business (rank) 145 Registering property (rank) 113 Trading across borders (rank) 61 Procedures (number) 12 Procedures (number) 7 Documents to export (number) 5 Time (days) 81 Time (days) 382 Time to export (days) 21 Cost (% of income per capita) 49.6 Cost (% of property value) 1.9 Cost to export (US$ per container) 822 Minimum capital (% of income per capita) 23.2 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 42 Dealing with licenses (rank) 83 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 842 Procedures (number) 16 Depth of credit information index (0­6) 0 Time (days) 127 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 50 Cost (% of income per capita) 1314.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 29 Time (days) 552 Employing workers (rank) 120 Protecting investors (rank) 33 Cost (% of claim) 13.0 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 94 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 6 Time (years) 1.9 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 22 Nonwage labor cost (% of salary) 13 Recovery rate (cents on the dollar) 24.7 Firing cost (weeks of salary) 178 Paying taxes (rank) 77 Payments (number per year) 35 Time (hours per year) 304 Total tax rate (% of profit) 32.3 GREECE OECD: High Income GNI per capita (US$) 19,670 Ease of doing business (rank) 109 High income Population (m) 11.1 Starting a business (rank) 140 Registering property (rank) 94 Trading across borders (rank) 123 Procedures (number) 15 Procedures (number) 12 Documents to export (number) 7 Time (days) 38 Time (days) 23 Time to export (days) 29 Cost (% of income per capita) 24.2 Cost (% of property value) 3.8 Cost to export (US$ per container) 1,328 Minimum capital (% of income per capita) 116.0 Documents to import (number) 11 Getting credit (rank) 83 Time to import (days) 34 Dealing with licenses (rank) 55 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,443 Procedures (number) 17 Depth of credit information index (0­6) 4 Time (days) 176 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 48 Cost (% of income per capita) 68.8 Private bureau coverage (% of adults) 37.5 Procedures (number) 22 Time (days) 730 Employing workers (rank) 166 Protecting investors (rank) 156 Cost (% of claim) 12.7 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 3 Closing a business (rank) 34 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 5 Time (years) 2.0 Rigidity of employment index (0­100) 58 Strength of investor protection index (0­10) 3.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 31 Recovery rate (cents on the dollar) 46.3 Firing cost (weeks of salary) 69 Paying taxes (rank) 108 Payments (number per year) 33 Time (hours per year) 204 Total tax rate (% of profit) 60.2 GRENADA Latin America & Caribbean GNI per capita (US$) 3,920 Ease of doing business (rank) 73 Upper middle income Population (m) 0.1 Starting a business (rank) 50 Registering property (rank) 145 Trading across borders (rank) 84 Procedures (number) 4 Procedures (number) 8 Documents to export (number) 6 Time (days) 52 Time (days) 77 Time to export (days) 19 Cost (% of income per capita) 37.2 Cost (% of property value) 7.6 Cost to export (US$ per container) 1,656 Minimum capital (% of income per capita) 0.0 Documents to import (number) 6 Getting credit (rank) 83 Time to import (days) 20 Dealing with licenses (rank) 12 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,983 Procedures (number) 8 Depth of credit information index (0­6) 0 Time (days) 142 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 143 Cost (% of income per capita) 36.4 Private bureau coverage (% of adults) 0.0 Procedures (number) 50 Time (days) 583 Employing workers (rank) 34 Protecting investors (rank) 19 Cost (% of claim) 22.1 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 8 Closing a business (rank) 151 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 7 Time (years) NO PRACTICE Rigidity of employment index (0­100) 21 Strength of investor protection index (0­10) 6.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 5 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 29 Paying taxes (rank) 45 Payments (number per year) 30 Time (hours per year) 140 Total tax rate (% of profit) 42.8 COUNTRYTABLES 115 GUATEMALA Latin America & Caribbean GNI per capita (US$) 2,400 Ease of doing business (rank) 118 Lower middle income Population (m) 12.6 Starting a business (rank) 130 Registering property (rank) 26 Trading across borders (rank) 122 Procedures (number) 13 Procedures (number) 5 Documents to export (number) 9 Time (days) 30 Time (days) 37 Time to export (days) 20 Cost (% of income per capita) 52.1 Cost (% of property value) 1.1 Cost to export (US$ per container) 1,785 Minimum capital (% of income per capita) 26.4 Documents to import (number) 7 Getting credit (rank) 48 Time to import (days) 33 Dealing with licenses (rank) 165 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,985 Procedures (number) 23 Depth of credit information index (0­6) 5 Time (days) 390 Public registry coverage (% of adults) 16.1 Enforcing contracts (rank) 149 Cost (% of income per capita) 496.5 Private bureau coverage (% of adults) 9.2 Procedures (number) 36 Time (days) 1459 Employing workers (rank) 105 Protecting investors (rank) 135 Cost (% of claim) 26.5 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 3 Closing a business (rank) 83 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 6 Time (years) 3.0 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 4.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 13 Recovery rate (cents on the dollar) 28.3 Firing cost (weeks of salary) 101 Paying taxes (rank) 122 Payments (number per year) 50 Time (hours per year) 294 Total tax rate (% of profit) 40.9 GUINEA Sub-Saharan Africa GNI per capita (US$) 370 Ease of doing business (rank) 157 Low income Population (m) 9.4 Starting a business (rank) 165 Registering property (rank) 147 Trading across borders (rank) 129 Procedures (number) 13 Procedures (number) 6 Documents to export (number) 7 Time (days) 49 Time (days) 104 Time to export (days) 43 Cost (% of income per capita) 186.5 Cost (% of property value) 15.6 Cost to export (US$ per container) 510 Minimum capital (% of income per capita) 423.4 Documents to import (number) 12 Getting credit (rank) 117 Time to import (days) 56 Dealing with licenses (rank) 166 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 2,785 Procedures (number) 29 Depth of credit information index (0­6) 1 Time (days) 278 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 121 Cost (% of income per capita) 535.4 Private bureau coverage (% of adults) 0.0 Procedures (number) 44 Time (days) 276 Employing workers (rank) 85 Protecting investors (rank) 99 Cost (% of claim) 43.8 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 7 Closing a business (rank) 119 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 2 Time (years) 3.8 Rigidity of employment index (0­100) 41 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 8 Nonwage labor cost (% of salary) 27 Recovery rate (cents on the dollar) 17.5 Firing cost (weeks of salary) 26 Paying taxes (rank) 156 Payments (number per year) 55 Time (hours per year) 416 Total tax rate (% of profit) 49.4 GUINEA-BISSAU Sub-Saharan Africa GNI per capita (US$) 180 Ease of doing business (rank) 173 Low income Population (m) 1.6 Starting a business (rank) 175 Registering property (rank) 171 Trading across borders (rank) 125 Procedures (number) 17 Procedures (number) 9 Documents to export (number) 8 Time (days) 233 Time (days) 211 Time to export (days) 27 Cost (% of income per capita) 261.2 Cost (% of property value) 13.2 Cost to export (US$ per container) 1,656 Minimum capital (% of income per capita) 1028.9 Documents to import (number) 9 Getting credit (rank) 143 Time to import (days) 26 Dealing with licenses (rank) 78 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,749 Procedures (number) 11 Depth of credit information index (0­6) 1 Time (days) 161 Public registry coverage (% of adults) 1.0 Enforcing contracts (rank) 154 Cost (% of income per capita) 2664.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 40 Time (days) 1140 Employing workers (rank) 173 Protecting investors (rank) 142 Cost (% of claim) 27.0 Difficulty of hiring index (0­100) 100 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 151 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 6 Time (years) NO PRACTICE Rigidity of employment index (0­100) 77 Strength of investor protection index (0­10) 3.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 22 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 87 Paying taxes (rank) 109 Payments (number per year) 47 Time (hours per year) 208 Total tax rate (% of profit) 47.5 116 DOiNgBUSiNESS2007 GUYANA Latin America & Caribbean GNI per capita (US$) 1,010 Ease of doing business (rank) 136 Lower middle income Population (m) 0.8 Starting a business (rank) 78 Registering property (rank) 52 Trading across borders (rank) 155 Procedures (number) 8 Procedures (number) 6 Documents to export (number) 8 Time (days) 46 Time (days) 27 Time to export (days) 42 Cost (% of income per capita) 100.2 Cost (% of property value) 4.5 Cost to export (US$ per container) 3,606 Minimum capital (% of income per capita) 0.0 Documents to import (number) 11 Getting credit (rank) 159 Time to import (days) 54 Dealing with licenses (rank) 74 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 3,656 Procedures (number) 17 Depth of credit information index (0­6) 0 Time (days) 202 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 122 Cost (% of income per capita) 94.7 Private bureau coverage (% of adults) 0.0 Procedures (number) 30 Time (days) 661 Employing workers (rank) 60 Protecting investors (rank) 151 Cost (% of claim) 24.2 Difficulty of hiring index (0­100) 22 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 4 Closing a business (rank) 131 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 1 Time (years) 2.0 Rigidity of employment index (0­100) 21 Strength of investor protection index (0­10) 3.3 Cost (% of estate) 42 Nonwage labor cost (% of salary) 8 Recovery rate (cents on the dollar) 13.7 Firing cost (weeks of salary) 56 Paying taxes (rank) 121 Payments (number per year) 45 Time (hours per year) 288 Total tax rate (% of profit) 44.2 HAITI Latin America & Caribbean GNI per capita (US$) 450 Ease of doing business (rank) 139 Low income Population (m) 8.5 Starting a business (rank) 167 Registering property (rank) 135 Trading across borders (rank) 138 Procedures (number) 12 Procedures (number) 5 Documents to export (number) 8 Time (days) 203 Time (days) 683 Time to export (days) 58 Cost (% of income per capita) 127.7 Cost (% of property value) 8.7 Cost to export (US$ per container) 1,298 Minimum capital (% of income per capita) 124.7 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 60 Dealing with licenses (rank) 60 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,304 Procedures (number) 12 Depth of credit information index (0­6) 2 Time (days) 141 Public registry coverage (% of adults) 0.7 Enforcing contracts (rank) 107 Cost (% of income per capita) 1003.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 35 Time (days) 368 Employing workers (rank) 37 Protecting investors (rank) 142 Cost (% of claim) 32.6 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 3 Closing a business (rank) 146 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 4 Time (years) 5.7 Rigidity of employment index (0­100) 24 Strength of investor protection index (0­10) 3.7 Cost (% of estate) 30 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 4.1 Firing cost (weeks of salary) 26 Paying taxes (rank) 87 Payments (number per year) 53 Time (hours per year) 160 Total tax rate (% of profit) 40.5 HONDURAS Latin America & Caribbean GNI per capita (US$) 1,190 Ease of doing business (rank) 111 Lower middle income Population (m) 7.2 Starting a business (rank) 138 Registering property (rank) 89 Trading across borders (rank) 85 Procedures (number) 13 Procedures (number) 7 Documents to export (number) 6 Time (days) 44 Time (days) 36 Time to export (days) 28 Cost (% of income per capita) 60.6 Cost (% of property value) 5.8 Cost to export (US$ per container) 500 Minimum capital (% of income per capita) 28.6 Documents to import (number) 15 Getting credit (rank) 21 Time to import (days) 39 Dealing with licenses (rank) 88 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 670 Procedures (number) 14 Depth of credit information index (0­6) 5 Time (days) 199 Public registry coverage (% of adults) 8.3 Enforcing contracts (rank) 124 Cost (% of income per capita) 636.8 Private bureau coverage (% of adults) 18.7 Procedures (number) 36 Time (days) 480 Employing workers (rank) 81 Protecting investors (rank) 151 Cost (% of claim) 30.4 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 102 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 4 Time (years) 3.8 Rigidity of employment index (0­100) 36 Strength of investor protection index (0­10) 3.3 Cost (% of estate) 8 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 23.0 Firing cost (weeks of salary) 43 Paying taxes (rank) 152 Payments (number per year) 48 Time (hours per year) 424 Total tax rate (% of profit) 51.4 COUNTRYTABLES 117 HONG KONG, CHINA East Asia & Pacific GNI per capita (US$) 27,670 Ease of doing business (rank) 5 High income Population (m) 6.9 Starting a business (rank) 5 Registering property (rank) 60 Trading across borders (rank) 1 Procedures (number) 5 Procedures (number) 5 Documents to export (number) 2 Time (days) 11 Time (days) 54 Time to export (days) 6 Cost (% of income per capita) 3.3 Cost (% of property value) 5.0 Cost to export (US$ per container) 425 Minimum capital (% of income per capita) 0.0 Documents to import (number) 2 Getting credit (rank) 2 Time to import (days) 5 Dealing with licenses (rank) 64 Strength of legal rights index (0­10) 10 Cost to import (US$ per container) 425 Procedures (number) 22 Depth of credit information index (0­6) 5 Time (days) 160 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 10 Cost (% of income per capita) 23.3 Private bureau coverage (% of adults) 64.5 Procedures (number) 16 Time (days) 211 Employing workers (rank) 16 Protecting investors (rank) 3 Cost (% of claim) 14.2 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 8 Closing a business (rank) 14 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 9 Time (years) 1.1 Rigidity of employment index (0­100) 0 Strength of investor protection index (0­10) 9.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 5 Recovery rate (cents on the dollar) 78.9 Firing cost (weeks of salary) 62 Paying taxes (rank) 5 Payments (number per year) 4 Time (hours per year) 80 Total tax rate (% of profit) 28.8 HUNGARY Eastern Europe & Central Asia GNI per capita (US$) 10,030 Ease of doing business (rank) 66 Upper middle income Population (m) 10.1 Starting a business (rank) 87 Registering property (rank) 103 Trading across borders (rank) 76 Procedures (number) 6 Procedures (number) 4 Documents to export (number) 6 Time (days) 38 Time (days) 78 Time to export (days) 23 Cost (% of income per capita) 20.9 Cost (% of property value) 11.0 Cost to export (US$ per container) 922 Minimum capital (% of income per capita) 74.2 Documents to import (number) 10 Getting credit (rank) 21 Time to import (days) 24 Dealing with licenses (rank) 143 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,137 Procedures (number) 25 Depth of credit information index (0­6) 5 Time (days) 212 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 12 Cost (% of income per capita) 260.0 Private bureau coverage (% of adults) 5.9 Procedures (number) 21 Time (days) 335 Employing workers (rank) 90 Protecting investors (rank) 118 Cost (% of claim) 9.6 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 4 Closing a business (rank) 48 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 7 Time (years) 2.0 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 35 Recovery rate (cents on the dollar) 39.7 Firing cost (weeks of salary) 35 Paying taxes (rank) 118 Payments (number per year) 24 Time (hours per year) 304 Total tax rate (% of profit) 59.3 ICELAND OECD: High Income GNI per capita (US$) 46,320 Ease of doing business (rank) 12 High income Population (m) 0.3 Starting a business (rank) 16 Registering property (rank) 8 Trading across borders (rank) 18 Procedures (number) 5 Procedures (number) 3 Documents to export (number) 7 Time (days) 5 Time (days) 4 Time to export (days) 15 Cost (% of income per capita) 3.1 Cost (% of property value) 2.4 Cost to export (US$ per container) 469 Minimum capital (% of income per capita) 15.9 Documents to import (number) 6 Getting credit (rank) 13 Time to import (days) 15 Dealing with licenses (rank) 30 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 443 Procedures (number) 19 Depth of credit information index (0­6) 5 Time (days) 111 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 8 Cost (% of income per capita) 15.7 Private bureau coverage (% of adults) 100.0 Procedures (number) 14 Time (days) 352 Employing workers (rank) 42 Protecting investors (rank) 83 Cost (% of claim) 5.9 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 13 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 6 Time (years) 1.0 Rigidity of employment index (0­100) 31 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 4 Nonwage labor cost (% of salary) 12 Recovery rate (cents on the dollar) 79.7 Firing cost (weeks of salary) 13 Paying taxes (rank) 13 Payments (number per year) 18 Time (hours per year) 140 Total tax rate (% of profit) 27.9 118 DOiNgBUSiNESS2007 INDIA South Asia GNI per capita (US$) 720 Ease of doing business (rank) 134 Low income Population (m) 1094.6 Starting a business (rank) 88 Registering property (rank) 110 Trading across borders (rank) 139 Procedures (number) 11 Procedures (number) 6 Documents to export (number) 10 Time (days) 35 Time (days) 62 Time to export (days) 27 Cost (% of income per capita) 73.7 Cost (% of property value) 7.8 Cost to export (US$ per container) 864 Minimum capital (% of income per capita) 0.0 Documents to import (number) 15 Getting credit (rank) 65 Time to import (days) 41 Dealing with licenses (rank) 155 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,244 Procedures (number) 20 Depth of credit information index (0­6) 3 Time (days) 270 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 173 Cost (% of income per capita) 606.0 Private bureau coverage (% of adults) 6.1 Procedures (number) 56 Time (days) 1420 Employing workers (rank) 112 Protecting investors (rank) 33 Cost (% of claim) 35.7 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 4 Closing a business (rank) 133 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 7 Time (years) 10.0 Rigidity of employment index (0­100) 41 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 13.0 Firing cost (weeks of salary) 56 Paying taxes (rank) 158 Payments (number per year) 59 Time (hours per year) 264 Total tax rate (% of profit) 81.1 INDONESIA East Asia & Pacific GNI per capita (US$) 1,280 Ease of doing business (rank) 135 Lower middle income Population (m) 220.6 Starting a business (rank) 161 Registering property (rank) 120 Trading across borders (rank) 60 Procedures (number) 12 Procedures (number) 7 Documents to export (number) 7 Time (days) 97 Time (days) 42 Time to export (days) 25 Cost (% of income per capita) 86.7 Cost (% of property value) 10.5 Cost to export (US$ per container) 546 Minimum capital (% of income per capita) 83.4 Documents to import (number) 10 Getting credit (rank) 83 Time to import (days) 30 Dealing with licenses (rank) 131 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 675 Procedures (number) 19 Depth of credit information index (0­6) 2 Time (days) 224 Public registry coverage (% of adults) 8.4 Enforcing contracts (rank) 145 Cost (% of income per capita) 311.0 Private bureau coverage (% of adults) 0.2 Procedures (number) 34 Time (days) 570 Employing workers (rank) 140 Protecting investors (rank) 60 Cost (% of claim) 126.5 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 5 Closing a business (rank) 136 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 3 Time (years) 5.5 Rigidity of employment index (0­100) 44 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 18 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 11.8 Firing cost (weeks of salary) 108 Paying taxes (rank) 133 Payments (number per year) 52 Time (hours per year) 576 Total tax rate (% of profit) 37.2 IRAN Middle East & North Africa GNI per capita (US$) 2,770 Ease of doing business (rank) 119 Lower middle income Population (m) 67.7 Starting a business (rank) 64 Registering property (rank) 143 Trading across borders (rank) 87 Procedures (number) 8 Procedures (number) 9 Documents to export (number) 5 Time (days) 47 Time (days) 36 Time to export (days) 26 Cost (% of income per capita) 5.4 Cost (% of property value) 10.5 Cost to export (US$ per container) 700 Minimum capital (% of income per capita) 1.3 Documents to import (number) 11 Getting credit (rank) 65 Time to import (days) 38 Dealing with licenses (rank) 167 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,220 Procedures (number) 21 Depth of credit information index (0­6) 3 Time (days) 668 Public registry coverage (% of adults) 13.7 Enforcing contracts (rank) 33 Cost (% of income per capita) 684.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 23 Time (days) 520 Employing workers (rank) 141 Protecting investors (rank) 156 Cost (% of claim) 12.0 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 109 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 0 Time (years) 4.5 Rigidity of employment index (0­100) 49 Strength of investor protection index (0­10) 3.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 23 Recovery rate (cents on the dollar) 19.7 Firing cost (weeks of salary) 91 Paying taxes (rank) 96 Payments (number per year) 28 Time (hours per year) 292 Total tax rate (% of profit) 46.4 COUNTRYTABLES 119 IRAQ Middle East & North Africa GNI per capita (US$) 1,188 Ease of doing business (rank) 145 Lower middle income Population (m) 28.8 Starting a business (rank) 150 Registering property (rank) 37 Trading across borders (rank) 164 Procedures (number) 11 Procedures (number) 5 Documents to export (number) 10 Time (days) 77 Time (days) 8 Time to export (days) 105 Cost (% of income per capita) 67.6 Cost (% of property value) 6.6 Cost to export (US$ per container) 1,010 Minimum capital (% of income per capita) 57.1 Documents to import (number) 19 Getting credit (rank) 143 Time to import (days) 135 Dealing with licenses (rank) 97 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 2,060 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 216 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 131 Cost (% of income per capita) 833.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 65 Time (days) 520 Employing workers (rank) 114 Protecting investors (rank) 99 Cost (% of claim) 15.3 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 151 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) NO PRACTICE Rigidity of employment index (0­100) 59 Strength of investor protection index (0­10) 4.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 12 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 4 Paying taxes (rank) 47 Payments (number per year) 13 Time (hours per year) 312 Total tax rate (% of profit) 38.7 IRELAND OECD: High Income GNI per capita (US$) 40,150 Ease of doing business (rank) 10 High income Population (m) 4.2 Starting a business (rank) 6 Registering property (rank) 80 Trading across borders (rank) 30 Procedures (number) 4 Procedures (number) 5 Documents to export (number) 5 Time (days) 19 Time (days) 38 Time to export (days) 7 Cost (% of income per capita) 0.3 Cost (% of property value) 10.3 Cost to export (US$ per container) 1,146 Minimum capital (% of income per capita) 0.0 Documents to import (number) 4 Getting credit (rank) 7 Time to import (days) 14 Dealing with licenses (rank) 20 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 1,139 Procedures (number) 10 Depth of credit information index (0­6) 5 Time (days) 181 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 24 Cost (% of income per capita) 22.2 Private bureau coverage (% of adults) 100.0 Procedures (number) 18 Time (days) 217 Employing workers (rank) 83 Protecting investors (rank) 5 Cost (% of claim) 21.1 Difficulty of hiring index (0­100) 28 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 6 Closing a business (rank) 7 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 9 Time (years) 0.4 Rigidity of employment index (0­100) 33 Strength of investor protection index (0­10) 8.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 87.9 Firing cost (weeks of salary) 49 Paying taxes (rank) 2 Payments (number per year) 8 Time (hours per year) 76 Total tax rate (% of profit) 25.8 ISRAEL Middle East & North Africa GNI per capita (US$) 18,620 Ease of doing business (rank) 26 High income Population (m) 6.9 Starting a business (rank) 15 Registering property (rank) 150 Trading across borders (rank) 13 Procedures (number) 5 Procedures (number) 7 Documents to export (number) 5 Time (days) 34 Time (days) 144 Time to export (days) 15 Cost (% of income per capita) 5.1 Cost (% of property value) 7.5 Cost to export (US$ per container) 340 Minimum capital (% of income per capita) 0.0 Documents to import (number) 5 Getting credit (rank) 7 Time to import (days) 16 Dealing with licenses (rank) 101 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 700 Procedures (number) 21 Depth of credit information index (0­6) 5 Time (days) 215 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 110 Cost (% of income per capita) 91.1 Private bureau coverage (% of adults) 100.0 Procedures (number) 31 Time (days) 585 Employing workers (rank) 82 Protecting investors (rank) 5 Cost (% of claim) 22.1 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 9 Closing a business (rank) 36 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 9 Time (years) 4.0 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 8.3 Cost (% of estate) 23 Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 43.9 Firing cost (weeks of salary) 91 Paying taxes (rank) 62 Payments (number per year) 33 Time (hours per year) 225 Total tax rate (% of profit) 39.1 120 DOiNgBUSiNESS2007 ITALY OECD: High Income GNI per capita (US$) 30,010 Ease of doing business (rank) 82 High income Population (m) 57.5 Starting a business (rank) 52 Registering property (rank) 53 Trading across borders (rank) 110 Procedures (number) 9 Procedures (number) 8 Documents to export (number) 8 Time (days) 13 Time (days) 27 Time to export (days) 15 Cost (% of income per capita) 15.2 Cost (% of property value) 0.9 Cost to export (US$ per container) 1,253 Minimum capital (% of income per capita) 10.4 Documents to import (number) 16 Getting credit (rank) 65 Time to import (days) 21 Dealing with licenses (rank) 104 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,291 Procedures (number) 17 Depth of credit information index (0­6) 5 Time (days) 284 Public registry coverage (% of adults) 7.0 Enforcing contracts (rank) 141 Cost (% of income per capita) 142.3 Private bureau coverage (% of adults) 67.8 Procedures (number) 40 Time (days) 1210 Employing workers (rank) 101 Protecting investors (rank) 83 Cost (% of claim) 17.6 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 49 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 6 Time (years) 1.2 Rigidity of employment index (0­100) 54 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 22 Nonwage labor cost (% of salary) 42 Recovery rate (cents on the dollar) 39.7 Firing cost (weeks of salary) 2 Paying taxes (rank) 117 Payments (number per year) 15 Time (hours per year) 360 Total tax rate (% of profit) 76.0 JAMAICA Latin America & Caribbean GNI per capita (US$) 3,400 Ease of doing business (rank) 50 Lower middle income Population (m) 2.7 Starting a business (rank) 10 Registering property (rank) 107 Trading across borders (rank) 74 Procedures (number) 6 Procedures (number) 5 Documents to export (number) 6 Time (days) 8 Time (days) 54 Time to export (days) 19 Cost (% of income per capita) 9.4 Cost (% of property value) 13.5 Cost to export (US$ per container) 1,750 Minimum capital (% of income per capita) 0.0 Documents to import (number) 7 Getting credit (rank) 101 Time to import (days) 20 Dealing with licenses (rank) 93 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,350 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 242 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 46 Cost (% of income per capita) 417.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 18 Time (days) 415 Employing workers (rank) 26 Protecting investors (rank) 60 Cost (% of claim) 27.8 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 8 Closing a business (rank) 23 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 4 Time (years) 1.1 Rigidity of employment index (0­100) 4 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 18 Nonwage labor cost (% of salary) 12 Recovery rate (cents on the dollar) 64.3 Firing cost (weeks of salary) 61 Paying taxes (rank) 163 Payments (number per year) 72 Time (hours per year) 414 Total tax rate (% of profit) 52.3 JAPAN OECD: High Income GNI per capita (US$) 38,980 Ease of doing business (rank) 11 High income Population (m) 128.0 Starting a business (rank) 18 Registering property (rank) 39 Trading across borders (rank) 19 Procedures (number) 8 Procedures (number) 6 Documents to export (number) 5 Time (days) 23 Time (days) 14 Time to export (days) 11 Cost (% of income per capita) 7.5 Cost (% of property value) 4.1 Cost to export (US$ per container) 789 Minimum capital (% of income per capita) 0.0 Documents to import (number) 7 Getting credit (rank) 13 Time to import (days) 11 Dealing with licenses (rank) 2 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 847 Procedures (number) 11 Depth of credit information index (0­6) 6 Time (days) 96 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 5 Cost (% of income per capita) 19.8 Private bureau coverage (% of adults) .. Procedures (number) 20 Time (days) 242 Employing workers (rank) 36 Protecting investors (rank) 12 Cost (% of claim) 9.5 Difficulty of hiring index (0­100) 28 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 1 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 0.6 Rigidity of employment index (0­100) 29 Strength of investor protection index (0­10) 7.0 Cost (% of estate) 4 Nonwage labor cost (% of salary) 13 Recovery rate (cents on the dollar) 92.7 Firing cost (weeks of salary) 9 Paying taxes (rank) 98 Payments (number per year) 15 Time (hours per year) 350 Total tax rate (% of profit) 52.8 COUNTRYTABLES 121 JORDAN Middle East & North Africa GNI per capita (US$) 2,500 Ease of doing business (rank) 78 Lower middle income Population (m) 5.4 Starting a business (rank) 133 Registering property (rank) 110 Trading across borders (rank) 78 Procedures (number) 11 Procedures (number) 8 Documents to export (number) 7 Time (days) 18 Time (days) 22 Time to export (days) 24 Cost (% of income per capita) 73.0 Cost (% of property value) 10.0 Cost to export (US$ per container) 720 Minimum capital (% of income per capita) 864.4 Documents to import (number) 12 Getting credit (rank) 83 Time to import (days) 22 Dealing with licenses (rank) 70 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 955 Procedures (number) 16 Depth of credit information index (0­6) 2 Time (days) 122 Public registry coverage (% of adults) 0.7 Enforcing contracts (rank) 75 Cost (% of income per capita) 503.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 43 Time (days) 342 Employing workers (rank) 30 Protecting investors (rank) 118 Cost (% of claim) 16.2 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 4 Closing a business (rank) 84 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 4 Time (years) 4.3 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 28.2 Firing cost (weeks of salary) 4 Paying taxes (rank) 18 Payments (number per year) 26 Time (hours per year) 101 Total tax rate (% of profit) 31.9 KAZAKHSTAN Eastern Europe & Central Asia GNI per capita (US$) 2,930 Ease of doing business (rank) 63 Lower middle income Population (m) 15.1 Starting a business (rank) 40 Registering property (rank) 76 Trading across borders (rank) 172 Procedures (number) 7 Procedures (number) 8 Documents to export (number) 14 Time (days) 20 Time (days) 52 Time to export (days) 93 Cost (% of income per capita) 7.0 Cost (% of property value) 1.8 Cost to export (US$ per container) 2,780 Minimum capital (% of income per capita) 23.1 Documents to import (number) 18 Getting credit (rank) 48 Time to import (days) 87 Dealing with licenses (rank) 119 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 2,880 Procedures (number) 32 Depth of credit information index (0­6) 4 Time (days) 248 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 27 Cost (% of income per capita) 35.0 Private bureau coverage (% of adults) 5.5 Procedures (number) 37 Time (days) 183 Employing workers (rank) 22 Protecting investors (rank) 46 Cost (% of claim) 11.5 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 1 Closing a business (rank) 100 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 9 Time (years) 3.3 Rigidity of employment index (0­100) 23 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 18 Nonwage labor cost (% of salary) 22 Recovery rate (cents on the dollar) 23.6 Firing cost (weeks of salary) 9 Paying taxes (rank) 66 Payments (number per year) 34 Time (hours per year) 156 Total tax rate (% of profit) 45.0 KENYA Sub-Saharan Africa GNI per capita (US$) 530 Ease of doing business (rank) 83 Low income Population (m) 34.3 Starting a business (rank) 111 Registering property (rank) 115 Trading across borders (rank) 145 Procedures (number) 13 Procedures (number) 8 Documents to export (number) 11 Time (days) 54 Time (days) 73 Time to export (days) 25 Cost (% of income per capita) 46.3 Cost (% of property value) 4.1 Cost to export (US$ per container) 1,980 Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 33 Time to import (days) 45 Dealing with licenses (rank) 24 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 2,325 Procedures (number) 11 Depth of credit information index (0­6) 2 Time (days) 170 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 67 Cost (% of income per capita) 37.6 Private bureau coverage (% of adults) 0.1 Procedures (number) 25 Time (days) 360 Employing workers (rank) 68 Protecting investors (rank) 60 Cost (% of claim) 41.3 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 2 Closing a business (rank) 128 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 10 Time (years) 4.5 Rigidity of employment index (0­100) 28 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 22 Nonwage labor cost (% of salary) 4 Recovery rate (cents on the dollar) 14.6 Firing cost (weeks of salary) 47 Paying taxes (rank) 126 Payments (number per year) 17 Time (hours per year) 432 Total tax rate (% of profit) 74.2 122 DOiNgBUSiNESS2007 KIRIBATI East Asia & Pacific GNI per capita (US$) 1,390 Ease of doing business (rank) 60 Lower middle income Population (m) 0.1 Starting a business (rank) 72 Registering property (rank) 62 Trading across borders (rank) 31 Procedures (number) 6 Procedures (number) 5 Documents to export (number) 3 Time (days) 21 Time (days) 513 Time to export (days) 11 Cost (% of income per capita) 50.0 Cost (% of property value) 0.1 Cost to export (US$ per container) 1,300 Minimum capital (% of income per capita) 27.1 Documents to import (number) 2 Getting credit (rank) 101 Time to import (days) 8 Dealing with licenses (rank) 76 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,300 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 174 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 136 Cost (% of income per capita) 545.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 26 Time (days) 660 Employing workers (rank) 18 Protecting investors (rank) 33 Cost (% of claim) 71.0 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 5 Closing a business (rank) 151 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 7 Time (years) NO PRACTICE Rigidity of employment index (0­100) 17 Strength of investor protection index (0­10) 6.0 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 8 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 4 Paying taxes (rank) 14 Payments (number per year) 16 Time (hours per year) 120 Total tax rate (% of profit) 34.4 KOREA OECD: High Income GNI per capita (US$) 15,830 Ease of doing business (rank) 23 High income Population (m) 48.3 Starting a business (rank) 116 Registering property (rank) 67 Trading across borders (rank) 28 Procedures (number) 12 Procedures (number) 7 Documents to export (number) 5 Time (days) 22 Time (days) 11 Time to export (days) 12 Cost (% of income per capita) 15.2 Cost (% of property value) 6.3 Cost to export (US$ per container) 780 Minimum capital (% of income per capita) 299.7 Documents to import (number) 8 Getting credit (rank) 21 Time to import (days) 12 Dealing with licenses (rank) 28 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,040 Procedures (number) 14 Depth of credit information index (0­6) 5 Time (days) 52 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 17 Cost (% of income per capita) 175.9 Private bureau coverage (% of adults) 76.6 Procedures (number) 29 Time (days) 230 Employing workers (rank) 110 Protecting investors (rank) 60 Cost (% of claim) 5.5 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 11 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 7 Time (years) 1.5 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 81.8 Firing cost (weeks of salary) 91 Paying taxes (rank) 48 Payments (number per year) 27 Time (hours per year) 290 Total tax rate (% of profit) 30.9 KUWAIT Middle East & North Africa GNI per capita (US$) 24,040 Ease of doing business (rank) 46 High income Population (m) 2.5 Starting a business (rank) 104 Registering property (rank) 69 Trading across borders (rank) 54 Procedures (number) 13 Procedures (number) 8 Documents to export (number) 5 Time (days) 35 Time (days) 55 Time to export (days) 18 Cost (% of income per capita) 1.6 Cost (% of property value) 0.5 Cost to export (US$ per container) 675 Minimum capital (% of income per capita) 100.8 Documents to import (number) 11 Getting credit (rank) 83 Time to import (days) 27 Dealing with licenses (rank) 109 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,170 Procedures (number) 26 Depth of credit information index (0­6) 3 Time (days) 149 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 79 Cost (% of income per capita) 210.1 Private bureau coverage (% of adults) 16.1 Procedures (number) 52 Time (days) 390 Employing workers (rank) 20 Protecting investors (rank) 19 Cost (% of claim) 13.3 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 7 Closing a business (rank) 63 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 5 Time (years) 4.2 Rigidity of employment index (0­100) 13 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 1 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 34.5 Firing cost (weeks of salary) 43 Paying taxes (rank) 41 Payments (number per year) 14 Time (hours per year) 118 Total tax rate (% of profit) 55.7 COUNTRYTABLES 123 KYRGYZ REPUBLIC Eastern Europe & Central Asia GNI per capita (US$) 440 Ease of doing business (rank) 90 Low income Population (m) 5.2 Starting a business (rank) 41 Registering property (rank) 31 Trading across borders (rank) 173 Procedures (number) 8 Procedures (number) 7 Documents to export (number) .. Time (days) 21 Time (days) 8 Time to export (days) .. Cost (% of income per capita) 9.8 Cost (% of property value) 1.9 Cost to export (US$ per container) .. Minimum capital (% of income per capita) 0.5 Documents to import (number) 18 Getting credit (rank) 65 Time to import (days) 127 Dealing with licenses (rank) 143 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 3,032 Procedures (number) 20 Depth of credit information index (0­6) 3 Time (days) 218 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 38 Cost (% of income per capita) 510.4 Private bureau coverage (% of adults) 0.4 Procedures (number) 44 Time (days) 140 Employing workers (rank) 63 Protecting investors (rank) 33 Cost (% of claim) 12.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 1 Closing a business (rank) 127 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 9 Time (years) 4.0 Rigidity of employment index (0­100) 38 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 25 Recovery rate (cents on the dollar) 14.9 Firing cost (weeks of salary) 17 Paying taxes (rank) 150 Payments (number per year) 89 Time (hours per year) 204 Total tax rate (% of profit) 67.4 LAO PDR East Asia & Pacific GNI per capita (US$) 440 Ease of doing business (rank) 159 Low income Population (m) 5.9 Starting a business (rank) 73 Registering property (rank) 148 Trading across borders (rank) 161 Procedures (number) 8 Procedures (number) 9 Documents to export (number) 12 Time (days) 163 Time (days) 135 Time to export (days) 66 Cost (% of income per capita) 17.3 Cost (% of property value) 4.2 Cost to export (US$ per container) 1,420 Minimum capital (% of income per capita) 0.0 Documents to import (number) 16 Getting credit (rank) 173 Time to import (days) 78 Dealing with licenses (rank) 130 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 1,690 Procedures (number) 24 Depth of credit information index (0­6) 0 Time (days) 192 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 146 Cost (% of income per capita) 204.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 53 Time (days) 443 Employing workers (rank) 71 Protecting investors (rank) 170 Cost (% of claim) 30.3 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 3 Closing a business (rank) 151 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 3 Time (years) 5.0 Rigidity of employment index (0­100) 37 Strength of investor protection index (0­10) 2.0 Cost (% of estate) 76 Nonwage labor cost (% of salary) 5 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 19 Paying taxes (rank) 36 Payments (number per year) 31 Time (hours per year) 180 Total tax rate (% of profit) 32.5 LATVIA Eastern Europe & Central Asia GNI per capita (US$) 6,760 Ease of doing business (rank) 24 Upper middle income Population (m) 2.3 Starting a business (rank) 25 Registering property (rank) 82 Trading across borders (rank) 28 Procedures (number) 5 Procedures (number) 8 Documents to export (number) 6 Time (days) 16 Time (days) 54 Time to export (days) 11 Cost (% of income per capita) 3.5 Cost (% of property value) 2.0 Cost to export (US$ per container) 965 Minimum capital (% of income per capita) 26.1 Documents to import (number) 5 Getting credit (rank) 13 Time to import (days) 12 Dealing with licenses (rank) 65 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 965 Procedures (number) 22 Depth of credit information index (0­6) 4 Time (days) 152 Public registry coverage (% of adults) 1.9 Enforcing contracts (rank) 11 Cost (% of income per capita) 36.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 21 Time (days) 240 Employing workers (rank) 123 Protecting investors (rank) 46 Cost (% of claim) 11.8 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 4 Closing a business (rank) 62 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 8 Time (years) 3.0 Rigidity of employment index (0­100) 59 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 13 Nonwage labor cost (% of salary) 24 Recovery rate (cents on the dollar) 34.8 Firing cost (weeks of salary) 17 Paying taxes (rank) 52 Payments (number per year) 8 Time (hours per year) 320 Total tax rate (% of profit) 42.6 124 DOiNgBUSiNESS2007 LEBANON Middle East & North Africa GNI per capita (US$) 6,180 Ease of doing business (rank) 86 Upper middle income Population (m) 3.6 Starting a business (rank) 116 Registering property (rank) 95 Trading across borders (rank) 82 Procedures (number) 6 Procedures (number) 8 Documents to export (number) 6 Time (days) 46 Time (days) 25 Time to export (days) 22 Cost (% of income per capita) 105.4 Cost (% of property value) 5.9 Cost to export (US$ per container) 969 Minimum capital (% of income per capita) 56.5 Documents to import (number) 12 Getting credit (rank) 48 Time to import (days) 34 Dealing with licenses (rank) 99 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 752 Procedures (number) 16 Depth of credit information index (0­6) 5 Time (days) 275 Public registry coverage (% of adults) 4.3 Enforcing contracts (rank) 148 Cost (% of income per capita) 176.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 39 Time (days) 721 Employing workers (rank) 43 Protecting investors (rank) 83 Cost (% of claim) 27.8 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 9 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 1 Closing a business (rank) 111 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) 4.0 Rigidity of employment index (0­100) 24 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 22 Nonwage labor cost (% of salary) 22 Recovery rate (cents on the dollar) 19.0 Firing cost (weeks of salary) 17 Paying taxes (rank) 54 Payments (number per year) 33 Time (hours per year) 208 Total tax rate (% of profit) 37.3 LESOTHO Sub-Saharan Africa GNI per capita (US$) 960 Ease of doing business (rank) 114 Lower middle income Population (m) 1.8 Starting a business (rank) 113 Registering property (rank) 129 Trading across borders (rank) 121 Procedures (number) 8 Procedures (number) 6 Documents to export (number) 6 Time (days) 73 Time (days) 101 Time to export (days) 46 Cost (% of income per capita) 39.9 Cost (% of property value) 8.4 Cost to export (US$ per container) 1,270 Minimum capital (% of income per capita) 15.7 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 51 Dealing with licenses (rank) 75 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,270 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 265 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 130 Cost (% of income per capita) 128.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 58 Time (days) 695 Employing workers (rank) 91 Protecting investors (rank) 142 Cost (% of claim) 10.6 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 1 Closing a business (rank) 57 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 8 Time (years) 2.6 Rigidity of employment index (0­100) 35 Strength of investor protection index (0­10) 3.7 Cost (% of estate) 8 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 36.6 Firing cost (weeks of salary) 44 Paying taxes (rank) 44 Payments (number per year) 21 Time (hours per year) 352 Total tax rate (% of profit) 25.6 LITHUANIA Eastern Europe & Central Asia GNI per capita (US$) 7,050 Ease of doing business (rank) 16 Upper middle income Population (m) 3.4 Starting a business (rank) 48 Registering property (rank) 3 Trading across borders (rank) 32 Procedures (number) 7 Procedures (number) 3 Documents to export (number) 5 Time (days) 26 Time (days) 3 Time to export (days) 6 Cost (% of income per capita) 2.8 Cost (% of property value) 0.7 Cost to export (US$ per container) 704 Minimum capital (% of income per capita) 48.8 Documents to import (number) 12 Getting credit (rank) 33 Time to import (days) 17 Dealing with licenses (rank) 23 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 782 Procedures (number) 14 Depth of credit information index (0­6) 6 Time (days) 151 Public registry coverage (% of adults) 4.2 Enforcing contracts (rank) 4 Cost (% of income per capita) 18.2 Private bureau coverage (% of adults) 7.2 Procedures (number) 24 Time (days) 166 Employing workers (rank) 119 Protecting investors (rank) 60 Cost (% of claim) 8.6 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 4 Closing a business (rank) 30 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 6 Time (years) 1.7 Rigidity of employment index (0­100) 48 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 7 Nonwage labor cost (% of salary) 31 Recovery rate (cents on the dollar) 50.5 Firing cost (weeks of salary) 30 Paying taxes (rank) 40 Payments (number per year) 13 Time (hours per year) 162 Total tax rate (% of profit) 48.4 COUNTRYTABLES 125 FYR MACEDONIA Eastern Europe & Central Asia GNI per capita (US$) 2,830 Ease of doing business (rank) 92 Lower middle income Population (m) 2.0 Starting a business (rank) 76 Registering property (rank) 87 Trading across borders (rank) 127 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 10 Time (days) 18 Time (days) 98 Time to export (days) 32 Cost (% of income per capita) 7.4 Cost (% of property value) 3.5 Cost to export (US$ per container) 1,070 Minimum capital (% of income per capita) 112.0 Documents to import (number) 10 Getting credit (rank) 48 Time to import (days) 35 Dealing with licenses (rank) 86 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,070 Procedures (number) 18 Depth of credit information index (0­6) 3 Time (days) 222 Public registry coverage (% of adults) 2.1 Enforcing contracts (rank) 72 Cost (% of income per capita) 89.8 Private bureau coverage (% of adults) 0.0 Procedures (number) 27 Time (days) 385 Employing workers (rank) 117 Protecting investors (rank) 83 Cost (% of claim) 32.8 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 123 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 4 Time (years) 3.7 Rigidity of employment index (0­100) 54 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 28 Nonwage labor cost (% of salary) 33 Recovery rate (cents on the dollar) 15.5 Firing cost (weeks of salary) 22 Paying taxes (rank) 79 Payments (number per year) 54 Time (hours per year) 96 Total tax rate (% of profit) 43.5 MADAGASCAR Sub-Saharan Africa GNI per capita (US$) 290 Ease of doing business (rank) 149 Low income Population (m) 18.6 Starting a business (rank) 110 Registering property (rank) 162 Trading across borders (rank) 131 Procedures (number) 10 Procedures (number) 8 Documents to export (number) 8 Time (days) 21 Time (days) 134 Time to export (days) 48 Cost (% of income per capita) 35.0 Cost (% of property value) 11.6 Cost to export (US$ per container) 982 Minimum capital (% of income per capita) 373.1 Documents to import (number) 11 Getting credit (rank) 159 Time to import (days) 48 Dealing with licenses (rank) 152 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 1,282 Procedures (number) 19 Depth of credit information index (0­6) 1 Time (days) 297 Public registry coverage (% of adults) 0.3 Enforcing contracts (rank) 106 Cost (% of income per capita) 387.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 29 Time (days) 591 Employing workers (rank) 136 Protecting investors (rank) 46 Cost (% of claim) 22.8 Difficulty of hiring index (0­100) 72 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 151 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 6 Time (years) NO PRACTICE Rigidity of employment index (0­100) 57 Strength of investor protection index (0­10) 5.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 30 Paying taxes (rank) 86 Payments (number per year) 25 Time (hours per year) 304 Total tax rate (% of profit) 43.2 MALAWI Sub-Saharan Africa GNI per capita (US$) 160 Ease of doing business (rank) 110 Low income Population (m) 12.9 Starting a business (rank) 89 Registering property (rank) 90 Trading across borders (rank) 153 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 8 Time (days) 37 Time (days) 118 Time to export (days) 44 Cost (% of income per capita) 134.7 Cost (% of property value) 3.4 Cost to export (US$ per container) 1,565 Minimum capital (% of income per capita) 0.0 Documents to import (number) 16 Getting credit (rank) 65 Time to import (days) 60 Dealing with licenses (rank) 117 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 1,590 Procedures (number) 22 Depth of credit information index (0­6) 0 Time (days) 185 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 134 Cost (% of income per capita) 236.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 40 Time (days) 337 Employing workers (rank) 68 Protecting investors (rank) 60 Cost (% of claim) 136.5 Difficulty of hiring index (0­100) 22 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 7 Closing a business (rank) 132 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 5 Time (years) 2.6 Rigidity of employment index (0­100) 21 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 30 Nonwage labor cost (% of salary) 1 Recovery rate (cents on the dollar) 13.2 Firing cost (weeks of salary) 84 Paying taxes (rank) 90 Payments (number per year) 29 Time (hours per year) 878 Total tax rate (% of profit) 32.6 126 DOiNgBUSiNESS2007 MALAYSIA East Asia & Pacific GNI per capita (US$) 4,960 Ease of doing business (rank) 25 Upper middle income Population (m) 25.3 Starting a business (rank) 71 Registering property (rank) 66 Trading across borders (rank) 46 Procedures (number) 9 Procedures (number) 5 Documents to export (number) 6 Time (days) 30 Time (days) 144 Time to export (days) 20 Cost (% of income per capita) 19.7 Cost (% of property value) 2.4 Cost to export (US$ per container) 481 Minimum capital (% of income per capita) 0.0 Documents to import (number) 12 Getting credit (rank) 3 Time to import (days) 22 Dealing with licenses (rank) 137 Strength of legal rights index (0­10) 8 Cost to import (US$ per container) 428 Procedures (number) 25 Depth of credit information index (0­6) 6 Time (days) 281 Public registry coverage (% of adults) 42.2 Enforcing contracts (rank) 81 Cost (% of income per capita) 78.2 Private bureau coverage (% of adults) .. Procedures (number) 31 Time (days) 450 Employing workers (rank) 38 Protecting investors (rank) 4 Cost (% of claim) 21.3 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 9 Closing a business (rank) 51 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 7 Time (years) 2.3 Rigidity of employment index (0­100) 10 Strength of investor protection index (0­10) 8.7 Cost (% of estate) 15 Nonwage labor cost (% of salary) 13 Recovery rate (cents on the dollar) 38.7 Firing cost (weeks of salary) 88 Paying taxes (rank) 49 Payments (number per year) 35 Time (hours per year) 190 Total tax rate (% of profit) 35.2 MALDIVES South Asia GNI per capita (US$) 2,390 Ease of doing business (rank) 53 Lower middle income Population (m) 0.3 Starting a business (rank) 31 Registering property (rank) 172 Trading across borders (rank) 91 Procedures (number) 5 Procedures (number) NO PRACTICE Documents to export (number) 8 Time (days) 13 Time (days) NO PRACTICE Time to export (days) 15 Cost (% of income per capita) 18.1 Cost (% of property value) NO PRACTICE Cost to export (US$ per container) 1,000 Minimum capital (% of income per capita) 6.6 Documents to import (number) 9 Getting credit (rank) 143 Time to import (days) 21 Dealing with licenses (rank) 9 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,784 Procedures (number) 10 Depth of credit information index (0­6) 0 Time (days) 118 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 83 Cost (% of income per capita) 40.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 28 Time (days) 665 Employing workers (rank) 5 Protecting investors (rank) 60 Cost (% of claim) 16.2 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 8 Closing a business (rank) 114 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 6.7 Rigidity of employment index (0­100) 0 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 18.2 Firing cost (weeks of salary) 9 Paying taxes (rank) 1 Payments (number per year) 1 Time (hours per year) 0 Total tax rate (% of profit) 9.3 MALI Sub-Saharan Africa GNI per capita (US$) 380 Ease of doing business (rank) 155 Low income Population (m) 13.5 Starting a business (rank) 163 Registering property (rank) 93 Trading across borders (rank) 167 Procedures (number) 13 Procedures (number) 5 Documents to export (number) 10 Time (days) 42 Time (days) 33 Time to export (days) 66 Cost (% of income per capita) 201.9 Cost (% of property value) 20.7 Cost to export (US$ per container) 1,752 Minimum capital (% of income per capita) 519.8 Documents to import (number) 16 Getting credit (rank) 143 Time to import (days) 61 Dealing with licenses (rank) 122 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 2,680 Procedures (number) 15 Depth of credit information index (0­6) 1 Time (days) 209 Public registry coverage (% of adults) 2.9 Enforcing contracts (rank) 140 Cost (% of income per capita) 1813.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 28 Time (days) 860 Employing workers (rank) 131 Protecting investors (rank) 99 Cost (% of claim) 45.0 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 99 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 3 Time (years) 3.6 Rigidity of employment index (0­100) 51 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 18 Nonwage labor cost (% of salary) 27 Recovery rate (cents on the dollar) 23.7 Firing cost (weeks of salary) 31 Paying taxes (rank) 141 Payments (number per year) 60 Time (hours per year) 270 Total tax rate (% of profit) 50.0 COUNTRYTABLES 127 MARSHALL ISLANDS East Asia & Pacific GNI per capita (US$) 2,930 Ease of doing business (rank) 87 Lower middle income Population (m) 0.1 Starting a business (rank) 13 Registering property (rank) 172 Trading across borders (rank) 90 Procedures (number) 5 Procedures (number) NO PRACTICE Documents to export (number) .. Time (days) 17 Time (days) NO PRACTICE Time to export (days) .. Cost (% of income per capita) 18.1 Cost (% of property value) NO PRACTICE Cost to export (US$ per container) .. Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 15 Dealing with licenses (rank) 5 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 2,115 Procedures (number) 9 Depth of credit information index (0­6) 0 Time (days) 81 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 103 Cost (% of income per capita) 37.6 Private bureau coverage (% of adults) 0.0 Procedures (number) 34 Time (days) 432 Employing workers (rank) 1 Protecting investors (rank) 151 Cost (% of claim) 26.5 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 0 Closing a business (rank) 117 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 2.0 Rigidity of employment index (0­100) 0 Strength of investor protection index (0­10) 3.3 Cost (% of estate) 38 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 17.9 Firing cost (weeks of salary) 0 Paying taxes (rank) 69 Payments (number per year) 20 Time (hours per year) 128 Total tax rate (% of profit) 66.6 MAURITANIA Sub-Saharan Africa GNI per capita (US$) 560 Ease of doing business (rank) 148 Low income Population (m) 3.1 Starting a business (rank) 164 Registering property (rank) 55 Trading across borders (rank) 142 Procedures (number) 11 Procedures (number) 4 Documents to export (number) 9 Time (days) 82 Time (days) 49 Time to export (days) 25 Cost (% of income per capita) 121.6 Cost (% of property value) 5.2 Cost to export (US$ per container) 3,733 Minimum capital (% of income per capita) 632.0 Documents to import (number) 7 Getting credit (rank) 101 Time to import (days) 40 Dealing with licenses (rank) 105 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 3,733 Procedures (number) 19 Depth of credit information index (0­6) 1 Time (days) 152 Public registry coverage (% of adults) 0.2 Enforcing contracts (rank) 85 Cost (% of income per capita) 710.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 40 Time (days) 400 Employing workers (rank) 142 Protecting investors (rank) .. Cost (% of claim) 17.9 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) .. Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) .. Closing a business (rank) 141 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) .. Time (years) 8.0 Rigidity of employment index (0­100) 59 Strength of investor protection index (0­10) .. Cost (% of estate) 9 Nonwage labor cost (% of salary) 16 Recovery rate (cents on the dollar) 7.8 Firing cost (weeks of salary) 31 Paying taxes (rank) 173 Payments (number per year) 61 Time (hours per year) 696 Total tax rate (% of profit) 104.3 MAURITIUS Sub-Saharan Africa GNI per capita (US$) 5,260 Ease of doing business (rank) 32 Upper middle income Population (m) 1.2 Starting a business (rank) 30 Registering property (rank) 156 Trading across borders (rank) 21 Procedures (number) 6 Procedures (number) 6 Documents to export (number) 5 Time (days) 46 Time (days) 210 Time to export (days) 16 Cost (% of income per capita) 8.0 Cost (% of property value) 15.8 Cost to export (US$ per container) 683 Minimum capital (% of income per capita) 0.0 Documents to import (number) 7 Getting credit (rank) 83 Time to import (days) 16 Dealing with licenses (rank) 49 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 683 Procedures (number) 21 Depth of credit information index (0­6) 1 Time (days) 145 Public registry coverage (% of adults) 10.2 Enforcing contracts (rank) 109 Cost (% of income per capita) 13.7 Private bureau coverage (% of adults) 0.0 Procedures (number) 37 Time (days) 630 Employing workers (rank) 64 Protecting investors (rank) 11 Cost (% of claim) 15.7 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 8 Closing a business (rank) 67 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 9 Time (years) 1.7 Rigidity of employment index (0­100) 30 Strength of investor protection index (0­10) 7.7 Cost (% of estate) 15 Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 34.3 Firing cost (weeks of salary) 35 Paying taxes (rank) 11 Payments (number per year) 7 Time (hours per year) 158 Total tax rate (% of profit) 24.8 128 DOiNgBUSiNESS2007 MEXICO Latin America & Caribbean GNI per capita (US$) 7,310 Ease of doing business (rank) 43 Upper middle income Population (m) 103.1 Starting a business (rank) 61 Registering property (rank) 79 Trading across borders (rank) 86 Procedures (number) 8 Procedures (number) 5 Documents to export (number) 6 Time (days) 27 Time (days) 74 Time to export (days) 17 Cost (% of income per capita) 14.2 Cost (% of property value) 5.2 Cost to export (US$ per container) 1,049 Minimum capital (% of income per capita) 12.5 Documents to import (number) 8 Getting credit (rank) 65 Time to import (days) 26 Dealing with licenses (rank) 30 Strength of legal rights index (0­10) 2 Cost to import (US$ per container) 2,152 Procedures (number) 12 Depth of credit information index (0­6) 6 Time (days) 142 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 87 Cost (% of income per capita) 104.5 Private bureau coverage (% of adults) 69.5 Procedures (number) 37 Time (days) 415 Employing workers (rank) 108 Protecting investors (rank) 33 Cost (% of claim) 20.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 25 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) 1.8 Rigidity of employment index (0­100) 38 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 18 Nonwage labor cost (% of salary) 24 Recovery rate (cents on the dollar) 63.2 Firing cost (weeks of salary) 74 Paying taxes (rank) 126 Payments (number per year) 49 Time (hours per year) 552 Total tax rate (% of profit) 37.1 MICRONESIA East Asia & Pacific GNI per capita (US$) 2,300 Ease of doing business (rank) 106 Lower middle income Population (m) 0.1 Starting a business (rank) 39 Registering property (rank) 172 Trading across borders (rank) 40 Procedures (number) 7 Procedures (number) NO PRACTICE Documents to export (number) .. Time (days) 16 Time (days) NO PRACTICE Time to export (days) .. Cost (% of income per capita) 135.9 Cost (% of property value) NO PRACTICE Cost to export (US$ per container) .. Minimum capital (% of income per capita) 0.0 Documents to import (number) 7 Getting credit (rank) 101 Time to import (days) 21 Dealing with licenses (rank) 11 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 895 Procedures (number) 15 Depth of credit information index (0­6) 0 Time (days) 73 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 139 Cost (% of income per capita) 21.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 25 Time (days) 775 Employing workers (rank) 12 Protecting investors (rank) 162 Cost (% of claim) 77.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 0 Closing a business (rank) 148 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 5.3 Rigidity of employment index (0­100) 11 Strength of investor protection index (0­10) 2.7 Cost (% of estate) 38 Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 3.1 Firing cost (weeks of salary) 0 Paying taxes (rank) 45 Payments (number per year) 9 Time (hours per year) 128 Total tax rate (% of profit) 61.3 MOLDOVA Eastern Europe & Central Asia GNI per capita (US$) 880 Ease of doing business (rank) 103 Lower middle income Population (m) 4.2 Starting a business (rank) 84 Registering property (rank) 47 Trading across borders (rank) 105 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 7 Time (days) 30 Time (days) 48 Time to export (days) 33 Cost (% of income per capita) 13.3 Cost (% of property value) 1.5 Cost to export (US$ per container) 1,185 Minimum capital (% of income per capita) 18.8 Documents to import (number) 7 Getting credit (rank) 101 Time to import (days) 35 Dealing with licenses (rank) 119 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,285 Procedures (number) 34 Depth of credit information index (0­6) 0 Time (days) 158 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 55 Cost (% of income per capita) 165.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 37 Time (days) 310 Employing workers (rank) 128 Protecting investors (rank) 99 Cost (% of claim) 16.2 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 1 Closing a business (rank) 78 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 6 Time (years) 2.8 Rigidity of employment index (0­100) 54 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 9 Nonwage labor cost (% of salary) 29 Recovery rate (cents on the dollar) 29.4 Firing cost (weeks of salary) 29 Paying taxes (rank) 119 Payments (number per year) 44 Time (hours per year) 250 Total tax rate (% of profit) 48.8 COUNTRYTABLES 129 MONGOLIA East Asia & Pacific GNI per capita (US$) 690 Ease of doing business (rank) 45 Low income Population (m) 2.6 Starting a business (rank) 55 Registering property (rank) 17 Trading across borders (rank) 162 Procedures (number) 8 Procedures (number) 5 Documents to export (number) 11 Time (days) 20 Time (days) 11 Time to export (days) 66 Cost (% of income per capita) 5.1 Cost (% of property value) 2.2 Cost to export (US$ per container) 3,007 Minimum capital (% of income per capita) 115.3 Documents to import (number) 10 Getting credit (rank) 65 Time to import (days) 74 Dealing with licenses (rank) 34 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 3,030 Procedures (number) 18 Depth of credit information index (0­6) 3 Time (days) 96 Public registry coverage (% of adults) 10.2 Enforcing contracts (rank) 41 Cost (% of income per capita) 48.4 Private bureau coverage (% of adults) 0.0 Procedures (number) 29 Time (days) 314 Employing workers (rank) 61 Protecting investors (rank) 19 Cost (% of claim) 17.6 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 8 Closing a business (rank) 115 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 6 Time (years) 4.0 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 8 Nonwage labor cost (% of salary) 20 Recovery rate (cents on the dollar) 18.0 Firing cost (weeks of salary) 9 Paying taxes (rank) 56 Payments (number per year) 42 Time (hours per year) 204 Total tax rate (% of profit) 32.2 MONTENEGRO Eastern Europe & Central Asia GNI per capita (US$) 3,600 Ease of doing business (rank) 70 Lower middle income Population (m) 0.6 Starting a business (rank) 83 Registering property (rank) 106 Trading across borders (rank) 80 Procedures (number) 15 Procedures (number) 8 Documents to export (number) 6 Time (days) 24 Time (days) 86 Time to export (days) 19 Cost (% of income per capita) 6.6 Cost (% of property value) 2.5 Cost to export (US$ per container) 1,515 Minimum capital (% of income per capita) 0.0 Documents to import (number) 8 Getting credit (rank) 83 Time to import (days) 17 Dealing with licenses (rank) 154 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,715 Procedures (number) 22 Depth of credit information index (0­6) 0 Time (days) 179 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 115 Cost (% of income per capita) 5869.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 49 Time (days) 545 Employing workers (rank) 76 Protecting investors (rank) 19 Cost (% of claim) 15.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 8 Closing a business (rank) 43 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 6 Time (years) 2.0 Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 16 Recovery rate (cents on the dollar) 41.0 Firing cost (weeks of salary) 39 Paying taxes (rank) 97 Payments (number per year) 75 Time (hours per year) 208 Total tax rate (% of profit) 33.9 MOROCCO Middle East & North Africa GNI per capita (US$) 1,730 Ease of doing business (rank) 115 Lower middle income Population (m) 30.2 Starting a business (rank) 47 Registering property (rank) 45 Trading across borders (rank) 77 Procedures (number) 6 Procedures (number) 4 Documents to export (number) 6 Time (days) 12 Time (days) 46 Time to export (days) 18 Cost (% of income per capita) 12.7 Cost (% of property value) 4.4 Cost to export (US$ per container) 700 Minimum capital (% of income per capita) 66.7 Documents to import (number) 11 Getting credit (rank) 143 Time to import (days) 30 Dealing with licenses (rank) 133 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,500 Procedures (number) 21 Depth of credit information index (0­6) 1 Time (days) 217 Public registry coverage (% of adults) 2.3 Enforcing contracts (rank) 127 Cost (% of income per capita) 264.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 42 Time (days) 615 Employing workers (rank) 156 Protecting investors (rank) 118 Cost (% of claim) 16.5 Difficulty of hiring index (0­100) 100 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 6 Closing a business (rank) 61 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 1 Time (years) 1.8 Rigidity of employment index (0­100) 63 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 18 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 35.1 Firing cost (weeks of salary) 85 Paying taxes (rank) 128 Payments (number per year) 28 Time (hours per year) 468 Total tax rate (% of profit) 52.7 130 DOiNgBUSiNESS2007 MOZAMBIQUE Sub-Saharan Africa GNI per capita (US$) 310 Ease of doing business (rank) 140 Low income Population (m) 19.8 Starting a business (rank) 153 Registering property (rank) 105 Trading across borders (rank) 141 Procedures (number) 13 Procedures (number) 8 Documents to export (number) 6 Time (days) 113 Time (days) 42 Time to export (days) 39 Cost (% of income per capita) 85.7 Cost (% of property value) 5.4 Cost to export (US$ per container) 1,516 Minimum capital (% of income per capita) 10.4 Documents to import (number) 16 Getting credit (rank) 83 Time to import (days) 38 Dealing with licenses (rank) 103 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,616 Procedures (number) 13 Depth of credit information index (0­6) 3 Time (days) 364 Public registry coverage (% of adults) 0.7 Enforcing contracts (rank) 168 Cost (% of income per capita) 279.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 38 Time (days) 1010 Employing workers (rank) 157 Protecting investors (rank) 83 Cost (% of claim) 132.1 Difficulty of hiring index (0­100) 83 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 126 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 6 Time (years) 5.0 Rigidity of employment index (0­100) 54 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 4 Recovery rate (cents on the dollar) 15.0 Firing cost (weeks of salary) 143 Paying taxes (rank) 80 Payments (number per year) 36 Time (hours per year) 230 Total tax rate (% of profit) 39.2 NAMIBIA Sub-Saharan Africa GNI per capita (US$) 2,990 Ease of doing business (rank) 42 Lower middle income Population (m) 2.0 Starting a business (rank) 86 Registering property (rank) 127 Trading across borders (rank) 144 Procedures (number) 10 Procedures (number) 9 Documents to export (number) 9 Time (days) 95 Time (days) 23 Time to export (days) 32 Cost (% of income per capita) 18.0 Cost (% of property value) 10.0 Cost to export (US$ per container) 1,672 Minimum capital (% of income per capita) 0.0 Documents to import (number) 14 Getting credit (rank) 33 Time to import (days) 25 Dealing with licenses (rank) 19 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,549 Procedures (number) 11 Depth of credit information index (0­6) 5 Time (days) 105 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 64 Cost (% of income per capita) 134.9 Private bureau coverage (% of adults) 35.2 Procedures (number) 31 Time (days) 270 Employing workers (rank) 44 Protecting investors (rank) 60 Cost (% of claim) 28.3 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 42 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 6 Time (years) 1.5 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 41.3 Firing cost (weeks of salary) 24 Paying taxes (rank) 28 Payments (number per year) 34 Time (hours per year) .. Total tax rate (% of profit) 25.6 NEPAL South Asia GNI per capita (US$) 270 Ease of doing business (rank) 100 Low income Population (m) 27.1 Starting a business (rank) 49 Registering property (rank) 25 Trading across borders (rank) 136 Procedures (number) 7 Procedures (number) 3 Documents to export (number) 7 Time (days) 31 Time (days) 5 Time to export (days) 44 Cost (% of income per capita) 78.5 Cost (% of property value) 6.4 Cost to export (US$ per container) 1,599 Minimum capital (% of income per capita) 0.0 Documents to import (number) 10 Getting credit (rank) 101 Time to import (days) 37 Dealing with licenses (rank) 127 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,800 Procedures (number) 15 Depth of credit information index (0­6) 2 Time (days) 424 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 105 Cost (% of income per capita) 324.0 Private bureau coverage (% of adults) 0.1 Procedures (number) 28 Time (days) 590 Employing workers (rank) 150 Protecting investors (rank) 60 Cost (% of claim) 24.4 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 1 Closing a business (rank) 95 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 9 Time (years) 5.0 Rigidity of employment index (0­100) 52 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 24.5 Firing cost (weeks of salary) 90 Paying taxes (rank) 88 Payments (number per year) 35 Time (hours per year) 408 Total tax rate (% of profit) 32.8 COUNTRYTABLES 131 NETHERLANDS OECD: High Income GNI per capita (US$) 36,620 Ease of doing business (rank) 22 High income Population (m) 16.3 Starting a business (rank) 38 Registering property (rank) 20 Trading across borders (rank) 16 Procedures (number) 6 Procedures (number) 2 Documents to export (number) 5 Time (days) 10 Time (days) 5 Time to export (days) 7 Cost (% of income per capita) 7.2 Cost (% of property value) 6.2 Cost to export (US$ per container) 875 Minimum capital (% of income per capita) 62.3 Documents to import (number) 4 Getting credit (rank) 13 Time to import (days) 8 Dealing with licenses (rank) 80 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 950 Procedures (number) 18 Depth of credit information index (0­6) 5 Time (days) 184 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 31 Cost (% of income per capita) 137.6 Private bureau coverage (% of adults) 68.9 Procedures (number) 22 Time (days) 408 Employing workers (rank) 86 Protecting investors (rank) 99 Cost (% of claim) 15.9 Difficulty of hiring index (0­100) 17 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 4 Closing a business (rank) 9 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 6 Time (years) 1.7 Rigidity of employment index (0­100) 42 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 1 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 86.3 Firing cost (weeks of salary) 17 Paying taxes (rank) 82 Payments (number per year) 22 Time (hours per year) 250 Total tax rate (% of profit) 48.1 NEW ZEALAND OECD: High Income GNI per capita (US$) 25,960 Ease of doing business (rank) 2 High income Population (m) 4.1 Starting a business (rank) 3 Registering property (rank) 1 Trading across borders (rank) 12 Procedures (number) 2 Procedures (number) 2 Documents to export (number) 5 Time (days) 12 Time (days) 2 Time to export (days) 8 Cost (% of income per capita) 0.2 Cost (% of property value) 0.1 Cost to export (US$ per container) 355 Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 3 Time to import (days) 13 Dealing with licenses (rank) 18 Strength of legal rights index (0­10) 9 Cost to import (US$ per container) 555 Procedures (number) 7 Depth of credit information index (0­6) 5 Time (days) 184 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 15 Cost (% of income per capita) 27.2 Private bureau coverage (% of adults) 100.0 Procedures (number) 28 Time (days) 109 Employing workers (rank) 10 Protecting investors (rank) 1 Cost (% of claim) 10.9 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 9 Closing a business (rank) 21 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 10 Time (years) 2.0 Rigidity of employment index (0­100) 7 Strength of investor protection index (0­10) 9.7 Cost (% of estate) 4 Nonwage labor cost (% of salary) 1 Recovery rate (cents on the dollar) 68.6 Firing cost (weeks of salary) 0 Paying taxes (rank) 10 Payments (number per year) 9 Time (hours per year) 70 Total tax rate (% of profit) 36.5 NICARAGUA Latin America & Caribbean GNI per capita (US$) 910 Ease of doing business (rank) 67 Lower middle income Population (m) 5.5 Starting a business (rank) 62 Registering property (rank) 127 Trading across borders (rank) 72 Procedures (number) 6 Procedures (number) 8 Documents to export (number) 5 Time (days) 39 Time (days) 124 Time to export (days) 36 Cost (% of income per capita) 131.6 Cost (% of property value) 3.5 Cost to export (US$ per container) 1,020 Minimum capital (% of income per capita) 0.0 Documents to import (number) 5 Getting credit (rank) 48 Time to import (days) 38 Dealing with licenses (rank) 82 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,020 Procedures (number) 12 Depth of credit information index (0­6) 5 Time (days) 192 Public registry coverage (% of adults) 12.5 Enforcing contracts (rank) 49 Cost (% of income per capita) 1002.2 Private bureau coverage (% of adults) 3.4 Procedures (number) 20 Time (days) 486 Employing workers (rank) 32 Protecting investors (rank) 83 Cost (% of claim) 21.8 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 66 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 6 Time (years) 2.2 Rigidity of employment index (0­100) 24 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 34.3 Firing cost (weeks of salary) 24 Paying taxes (rank) 153 Payments (number per year) 64 Time (hours per year) 240 Total tax rate (% of profit) 66.4 132 DOiNgBUSiNESS2007 NIGER Sub-Saharan Africa GNI per capita (US$) 240 Ease of doing business (rank) 160 Low income Population (m) 14.0 Starting a business (rank) 147 Registering property (rank) 103 Trading across borders (rank) 174 Procedures (number) 11 Procedures (number) 5 Documents to export (number) .. Time (days) 24 Time (days) 49 Time to export (days) .. Cost (% of income per capita) 416.8 Cost (% of property value) 14.0 Cost to export (US$ per container) .. Minimum capital (% of income per capita) 778.1 Documents to import (number) 19 Getting credit (rank) 143 Time to import (days) 89 Dealing with licenses (rank) 126 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 3,266 Procedures (number) 19 Depth of credit information index (0­6) 1 Time (days) 148 Public registry coverage (% of adults) 1.2 Enforcing contracts (rank) 104 Cost (% of income per capita) 2986.7 Private bureau coverage (% of adults) 0.0 Procedures (number) 33 Time (days) 360 Employing workers (rank) 168 Protecting investors (rank) 99 Cost (% of claim) 42.0 Difficulty of hiring index (0­100) 100 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 5 Closing a business (rank) 129 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 5 Time (years) 5.0 Rigidity of employment index (0­100) 77 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 18 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 14.2 Firing cost (weeks of salary) 31 Paying taxes (rank) 115 Payments (number per year) 44 Time (hours per year) 270 Total tax rate (% of profit) 46.0 NIGERIA Sub-Saharan Africa GNI per capita (US$) 560 Ease of doing business (rank) 108 Low income Population (m) 131.5 Starting a business (rank) 118 Registering property (rank) 170 Trading across borders (rank) 137 Procedures (number) 9 Procedures (number) 16 Documents to export (number) 11 Time (days) 43 Time (days) 80 Time to export (days) 25 Cost (% of income per capita) 54.4 Cost (% of property value) 21.2 Cost to export (US$ per container) 798 Minimum capital (% of income per capita) 29.0 Documents to import (number) 13 Getting credit (rank) 83 Time to import (days) 45 Dealing with licenses (rank) 129 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,460 Procedures (number) 16 Depth of credit information index (0­6) 0 Time (days) 465 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 66 Cost (% of income per capita) 238.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 23 Time (days) 457 Employing workers (rank) 56 Protecting investors (rank) 46 Cost (% of claim) 27.0 Difficulty of hiring index (0­100) 22 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 7 Closing a business (rank) 72 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 4 Time (years) 1.5 Rigidity of employment index (0­100) 21 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 22 Nonwage labor cost (% of salary) 9 Recovery rate (cents on the dollar) 32.1 Firing cost (weeks of salary) 50 Paying taxes (rank) 105 Payments (number per year) 35 Time (hours per year) 1120 Total tax rate (% of profit) 31.4 NORWAY OECD: High Income GNI per capita (US$) 59,590 Ease of doing business (rank) 9 High income Population (m) 4.6 Starting a business (rank) 21 Registering property (rank) 6 Trading across borders (rank) 5 Procedures (number) 4 Procedures (number) 1 Documents to export (number) 4 Time (days) 13 Time (days) 1 Time to export (days) 7 Cost (% of income per capita) 2.5 Cost (% of property value) 2.5 Cost to export (US$ per container) 518 Minimum capital (% of income per capita) 25.1 Documents to import (number) 4 Getting credit (rank) 33 Time to import (days) 7 Dealing with licenses (rank) 14 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 468 Procedures (number) 13 Depth of credit information index (0­6) 4 Time (days) 104 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 3 Cost (% of income per capita) 50.4 Private bureau coverage (% of adults) 100.0 Procedures (number) 14 Time (days) 277 Employing workers (rank) 109 Protecting investors (rank) 15 Cost (% of claim) 9.0 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 3 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 0.9 Rigidity of employment index (0­100) 54 Strength of investor protection index (0­10) 6.7 Cost (% of estate) 1 Nonwage labor cost (% of salary) 14 Recovery rate (cents on the dollar) 91.1 Firing cost (weeks of salary) 13 Paying taxes (rank) 16 Payments (number per year) 3 Time (hours per year) 87 Total tax rate (% of profit) 46.1 COUNTRYTABLES 133 OMAN Middle East & North Africa GNI per capita (US$) 9,070 Ease of doing business (rank) 55 Upper middle income Population (m) 2.6 Starting a business (rank) 81 Registering property (rank) 14 Trading across borders (rank) 115 Procedures (number) 9 Procedures (number) 2 Documents to export (number) 9 Time (days) 34 Time (days) 16 Time to export (days) 23 Cost (% of income per capita) 4.5 Cost (% of property value) 3.0 Cost to export (US$ per container) 987 Minimum capital (% of income per capita) 84.7 Documents to import (number) 13 Getting credit (rank) 143 Time to import (days) 27 Dealing with licenses (rank) 127 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 987 Procedures (number) 16 Depth of credit information index (0­6) 1 Time (days) 242 Public registry coverage (% of adults) 17.5 Enforcing contracts (rank) 101 Cost (% of income per capita) 883.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 41 Time (days) 598 Employing workers (rank) 51 Protecting investors (rank) 60 Cost (% of claim) 12.9 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 60 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 3 Time (years) 4.0 Rigidity of employment index (0­100) 35 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 35.4 Firing cost (weeks of salary) 4 Paying taxes (rank) 3 Payments (number per year) 14 Time (hours per year) 52 Total tax rate (% of profit) 20.2 PAKISTAN South Asia GNI per capita (US$) 690 Ease of doing business (rank) 74 Low income Population (m) 155.8 Starting a business (rank) 54 Registering property (rank) 68 Trading across borders (rank) 98 Procedures (number) 11 Procedures (number) 6 Documents to export (number) 8 Time (days) 24 Time (days) 50 Time to export (days) 24 Cost (% of income per capita) 21.3 Cost (% of property value) 4.4 Cost to export (US$ per container) 997 Minimum capital (% of income per capita) 0.0 Documents to import (number) 12 Getting credit (rank) 65 Time to import (days) 19 Dealing with licenses (rank) 89 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,005 Procedures (number) 12 Depth of credit information index (0­6) 4 Time (days) 218 Public registry coverage (% of adults) 0.3 Enforcing contracts (rank) 163 Cost (% of income per capita) 972.9 Private bureau coverage (% of adults) 1.1 Procedures (number) 55 Time (days) 880 Employing workers (rank) 126 Protecting investors (rank) 19 Cost (% of claim) 22.6 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 6 Closing a business (rank) 46 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 7 Time (years) 2.8 Rigidity of employment index (0­100) 43 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 12 Recovery rate (cents on the dollar) 39.9 Firing cost (weeks of salary) 90 Paying taxes (rank) 140 Payments (number per year) 47 Time (hours per year) 560 Total tax rate (% of profit) 43.4 PALAU East Asia & Pacific GNI per capita (US$) 7,630 Ease of doing business (rank) 62 Upper middle income Population (m) 0.0 Starting a business (rank) 45 Registering property (rank) 13 Trading across borders (rank) 66 Procedures (number) 8 Procedures (number) 5 Documents to export (number) 7 Time (days) 28 Time (days) 14 Time to export (days) 20 Cost (% of income per capita) 4.9 Cost (% of property value) 0.4 Cost to export (US$ per container) 860 Minimum capital (% of income per capita) 13.1 Documents to import (number) 9 Getting credit (rank) 117 Time to import (days) 27 Dealing with licenses (rank) 42 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 860 Procedures (number) 23 Depth of credit information index (0­6) 0 Time (days) 114 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 151 Cost (% of income per capita) 6.8 Private bureau coverage (% of adults) 0.0 Procedures (number) 43 Time (days) 622 Employing workers (rank) 7 Protecting investors (rank) 162 Cost (% of claim) 33.2 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 0 Closing a business (rank) 52 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 1.0 Rigidity of employment index (0­100) 4 Strength of investor protection index (0­10) 2.7 Cost (% of estate) 23 Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 38.2 Firing cost (weeks of salary) 0 Paying taxes (rank) 70 Payments (number per year) 18 Time (hours per year) 128 Total tax rate (% of profit) 74.6 134 DOiNgBUSiNESS2007 PANAMA Latin America & Caribbean GNI per capita (US$) 4,630 Ease of doing business (rank) 81 Upper middle income Population (m) 3.2 Starting a business (rank) 26 Registering property (rank) 63 Trading across borders (rank) 57 Procedures (number) 7 Procedures (number) 7 Documents to export (number) 9 Time (days) 19 Time (days) 44 Time to export (days) 16 Cost (% of income per capita) 23.9 Cost (% of property value) 2.4 Cost to export (US$ per container) 920 Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 13 Time to import (days) 13 Dealing with licenses (rank) 72 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 920 Procedures (number) 22 Depth of credit information index (0­6) 6 Time (days) 121 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 164 Cost (% of income per capita) 114.7 Private bureau coverage (% of adults) 59.8 Procedures (number) 45 Time (days) 686 Employing workers (rank) 139 Protecting investors (rank) 99 Cost (% of claim) 50.0 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 4 Closing a business (rank) 71 Difficulty of firing index (0­100) 70 Ease of shareholder suits index (0­10) 7 Time (years) 2.5 Rigidity of employment index (0­100) 56 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 18 Nonwage labor cost (% of salary) 19 Recovery rate (cents on the dollar) 32.3 Firing cost (weeks of salary) 44 Paying taxes (rank) 164 Payments (number per year) 59 Time (hours per year) 560 Total tax rate (% of profit) 52.4 PAPUA NEW GUINEA East Asia & Pacific GNI per capita (US$) 660 Ease of doing business (rank) 57 Low income Population (m) 5.9 Starting a business (rank) 69 Registering property (rank) 64 Trading across borders (rank) 52 Procedures (number) 8 Procedures (number) 4 Documents to export (number) 5 Time (days) 56 Time (days) 72 Time to export (days) 30 Cost (% of income per capita) 28.2 Cost (% of property value) 5.1 Cost to export (US$ per container) 584 Minimum capital (% of income per capita) 0.0 Documents to import (number) 10 Getting credit (rank) 101 Time to import (days) 32 Dealing with licenses (rank) 102 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 642 Procedures (number) 20 Depth of credit information index (0­6) 0 Time (days) 218 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 88 Cost (% of income per capita) 110.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 22 Time (days) 440 Employing workers (rank) 19 Protecting investors (rank) 33 Cost (% of claim) 110.3 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 5 Closing a business (rank) 97 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 3.0 Rigidity of employment index (0­100) 10 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 23 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 24.1 Firing cost (weeks of salary) 39 Paying taxes (rank) 91 Payments (number per year) 44 Time (hours per year) 198 Total tax rate (% of profit) 44.3 PARAGUAY Latin America & Caribbean GNI per capita (US$) 1,280 Ease of doing business (rank) 112 Lower middle income Population (m) 6.2 Starting a business (rank) 135 Registering property (rank) 48 Trading across borders (rank) 117 Procedures (number) 17 Procedures (number) 6 Documents to export (number) 9 Time (days) 74 Time (days) 46 Time to export (days) 34 Cost (% of income per capita) 136.8 Cost (% of property value) 2.0 Cost to export (US$ per container) 685 Minimum capital (% of income per capita) 0.0 Documents to import (number) 13 Getting credit (rank) 48 Time to import (days) 31 Dealing with licenses (rank) 124 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,077 Procedures (number) 15 Depth of credit information index (0­6) 6 Time (days) 273 Public registry coverage (% of adults) 10.6 Enforcing contracts (rank) 147 Cost (% of income per capita) 564.4 Private bureau coverage (% of adults) 52.2 Procedures (number) 46 Time (days) 478 Employing workers (rank) 169 Protecting investors (rank) 46 Cost (% of claim) 39.8 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 124 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 6 Time (years) 3.9 Rigidity of employment index (0­100) 59 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 9 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 15.4 Firing cost (weeks of salary) 113 Paying taxes (rank) 103 Payments (number per year) 33 Time (hours per year) 328 Total tax rate (% of profit) 43.2 COUNTRYTABLES 135 PERU Latin America & Caribbean GNI per capita (US$) 2,610 Ease of doing business (rank) 65 Lower middle income Population (m) 28.0 Starting a business (rank) 92 Registering property (rank) 32 Trading across borders (rank) 93 Procedures (number) 10 Procedures (number) 5 Documents to export (number) 7 Time (days) 72 Time (days) 33 Time to export (days) 24 Cost (% of income per capita) 32.5 Cost (% of property value) 3.3 Cost to export (US$ per container) 800 Minimum capital (% of income per capita) 0.0 Documents to import (number) 13 Getting credit (rank) 33 Time to import (days) 31 Dealing with licenses (rank) 121 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 820 Procedures (number) 19 Depth of credit information index (0­6) 6 Time (days) 201 Public registry coverage (% of adults) 19.2 Enforcing contracts (rank) 95 Cost (% of income per capita) 337.9 Private bureau coverage (% of adults) 28.6 Procedures (number) 35 Time (days) 300 Employing workers (rank) 158 Protecting investors (rank) 15 Cost (% of claim) 34.7 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 73 Difficulty of firing index (0­100) 80 Ease of shareholder suits index (0­10) 7 Time (years) 3.1 Rigidity of employment index (0­100) 61 Strength of investor protection index (0­10) 6.7 Cost (% of estate) 7 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 31.8 Firing cost (weeks of salary) 52 Paying taxes (rank) 135 Payments (number per year) 53 Time (hours per year) 424 Total tax rate (% of profit) 40.8 PHILIPPINES East Asia & Pacific GNI per capita (US$) 1,300 Ease of doing business (rank) 126 Lower middle income Population (m) 83.1 Starting a business (rank) 108 Registering property (rank) 98 Trading across borders (rank) 63 Procedures (number) 11 Procedures (number) 8 Documents to export (number) 6 Time (days) 48 Time (days) 33 Time to export (days) 18 Cost (% of income per capita) 18.7 Cost (% of property value) 5.7 Cost to export (US$ per container) 1,336 Minimum capital (% of income per capita) 1.8 Documents to import (number) 7 Getting credit (rank) 101 Time to import (days) 20 Dealing with licenses (rank) 113 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,336 Procedures (number) 23 Depth of credit information index (0­6) 3 Time (days) 197 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 59 Cost (% of income per capita) 113.4 Private bureau coverage (% of adults) 4.8 Procedures (number) 25 Time (days) 600 Employing workers (rank) 118 Protecting investors (rank) 151 Cost (% of claim) 16.0 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 2 Closing a business (rank) 147 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) 5.7 Rigidity of employment index (0­100) 39 Strength of investor protection index (0­10) 3.3 Cost (% of estate) 38 Nonwage labor cost (% of salary) 9 Recovery rate (cents on the dollar) 4.0 Firing cost (weeks of salary) 91 Paying taxes (rank) 106 Payments (number per year) 59 Time (hours per year) 94 Total tax rate (% of profit) 53.0 POLAND Eastern Europe & Central Asia GNI per capita (US$) 7,110 Ease of doing business (rank) 75 Upper middle income Population (m) 38.2 Starting a business (rank) 114 Registering property (rank) 86 Trading across borders (rank) 102 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 6 Time (days) 31 Time (days) 197 Time to export (days) 19 Cost (% of income per capita) 21.4 Cost (% of property value) 2.0 Cost to export (US$ per container) 2,260 Minimum capital (% of income per capita) 204.4 Documents to import (number) 7 Getting credit (rank) 65 Time to import (days) 26 Dealing with licenses (rank) 146 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 2,260 Procedures (number) 25 Depth of credit information index (0­6) 4 Time (days) 322 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 112 Cost (% of income per capita) 85.6 Private bureau coverage (% of adults) 38.1 Procedures (number) 41 Time (days) 980 Employing workers (rank) 49 Protecting investors (rank) 33 Cost (% of claim) 10.0 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 85 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 9 Time (years) 3.0 Rigidity of employment index (0­100) 33 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 22 Nonwage labor cost (% of salary) 21 Recovery rate (cents on the dollar) 27.9 Firing cost (weeks of salary) 13 Paying taxes (rank) 71 Payments (number per year) 43 Time (hours per year) 175 Total tax rate (% of profit) 38.4 136 DOiNgBUSiNESS2007 PORTUGAL OECD: High Income GNI per capita (US$) 16,170 Ease of doing business (rank) 40 High income Population (m) 10.6 Starting a business (rank) 33 Registering property (rank) 98 Trading across borders (rank) 27 Procedures (number) 8 Procedures (number) 5 Documents to export (number) 4 Time (days) 8 Time (days) 81 Time to export (days) 14 Cost (% of income per capita) 4.3 Cost (% of property value) 7.4 Cost to export (US$ per container) 495 Minimum capital (% of income per capita) 38.7 Documents to import (number) 9 Getting credit (rank) 65 Time to import (days) 17 Dealing with licenses (rank) 115 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 994 Procedures (number) 20 Depth of credit information index (0­6) 4 Time (days) 327 Public registry coverage (% of adults) 72.0 Enforcing contracts (rank) 35 Cost (% of income per capita) 60.3 Private bureau coverage (% of adults) 9.1 Procedures (number) 24 Time (days) 495 Employing workers (rank) 155 Protecting investors (rank) 33 Cost (% of claim) 14.5 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 18 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 7 Time (years) 2.0 Rigidity of employment index (0­100) 51 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 24 Recovery rate (cents on the dollar) 75.0 Firing cost (weeks of salary) 99 Paying taxes (rank) 61 Payments (number per year) 7 Time (hours per year) 328 Total tax rate (% of profit) 47.0 PUERTO RICO Latin America & Caribbean GNI per capita (US$) 13,648 Ease of doing business (rank) 19 High income Population (m) 3.9 Starting a business (rank) 8 Registering property (rank) 46 Trading across borders (rank) 50 Procedures (number) 7 Procedures (number) 8 Documents to export (number) 9 Time (days) 7 Time (days) 15 Time to export (days) 15 Cost (% of income per capita) 0.8 Cost (% of property value) 1.4 Cost to export (US$ per container) 535 Minimum capital (% of income per capita) 0.0 Documents to import (number) 10 Getting credit (rank) 21 Time to import (days) 19 Dealing with licenses (rank) 91 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 535 Procedures (number) 20 Depth of credit information index (0­6) 5 Time (days) 212 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 127 Cost (% of income per capita) 82.9 Private bureau coverage (% of adults) 63.6 Procedures (number) 43 Time (days) 620 Employing workers (rank) 33 Protecting investors (rank) 12 Cost (% of claim) 16.1 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 6 Closing a business (rank) 27 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 8 Time (years) 3.8 Rigidity of employment index (0­100) 32 Strength of investor protection index (0­10) 7.0 Cost (% of estate) 8 Nonwage labor cost (% of salary) 8 Recovery rate (cents on the dollar) 56.0 Firing cost (weeks of salary) 0 Paying taxes (rank) 26 Payments (number per year) 17 Time (hours per year) 140 Total tax rate (% of profit) 40.9 ROMANIA Eastern Europe & Central Asia GNI per capita (US$) 0 Ease of doing business (rank) 49 Upper middle income Population (m) 21.6 Starting a business (rank) 7 Registering property (rank) 114 Trading across borders (rank) 35 Procedures (number) 5 Procedures (number) 8 Documents to export (number) 4 Time (days) 11 Time (days) 150 Time to export (days) 14 Cost (% of income per capita) 4.4 Cost (% of property value) 1.9 Cost to export (US$ per container) 1,300 Minimum capital (% of income per capita) 0.0 Documents to import (number) 4 Getting credit (rank) 48 Time to import (days) 14 Dealing with licenses (rank) 116 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,200 Procedures (number) 17 Depth of credit information index (0­6) 5 Time (days) 242 Public registry coverage (% of adults) 2.6 Enforcing contracts (rank) 45 Cost (% of income per capita) 332.6 Private bureau coverage (% of adults) 5.5 Procedures (number) 43 Time (days) 335 Employing workers (rank) 101 Protecting investors (rank) 33 Cost (% of claim) 10.7 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 9 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 5 Closing a business (rank) 108 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 4 Time (years) 4.6 Rigidity of employment index (0­100) 51 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 9 Nonwage labor cost (% of salary) 33 Recovery rate (cents on the dollar) 19.9 Firing cost (weeks of salary) 3 Paying taxes (rank) 131 Payments (number per year) 89 Time (hours per year) 198 Total tax rate (% of profit) 48.9 COUNTRYTABLES 137 RUSSIA Eastern Europe & Central Asia GNI per capita (US$) 4,460 Ease of doing business (rank) 96 Upper middle income Population (m) 143.2 Starting a business (rank) 33 Registering property (rank) 44 Trading across borders (rank) 143 Procedures (number) 7 Procedures (number) 6 Documents to export (number) 8 Time (days) 28 Time (days) 52 Time to export (days) 39 Cost (% of income per capita) 2.7 Cost (% of property value) 0.3 Cost to export (US$ per container) 2,237 Minimum capital (% of income per capita) 3.4 Documents to import (number) 8 Getting credit (rank) 159 Time to import (days) 38 Dealing with licenses (rank) 163 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 2,237 Procedures (number) 22 Depth of credit information index (0­6) 0 Time (days) 531 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 25 Cost (% of income per capita) 275.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 31 Time (days) 178 Employing workers (rank) 87 Protecting investors (rank) 60 Cost (% of claim) 13.5 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 2 Closing a business (rank) 81 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 3.8 Rigidity of employment index (0­100) 44 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 31 Recovery rate (cents on the dollar) 28.7 Firing cost (weeks of salary) 17 Paying taxes (rank) 98 Payments (number per year) 23 Time (hours per year) 256 Total tax rate (% of profit) 54.2 RWANDA Sub-Saharan Africa GNI per capita (US$) 230 Ease of doing business (rank) 158 Low income Population (m) 9.0 Starting a business (rank) 58 Registering property (rank) 134 Trading across borders (rank) 175 Procedures (number) 9 Procedures (number) 5 Documents to export (number) 14 Time (days) 16 Time (days) 371 Time to export (days) 60 Cost (% of income per capita) 188.3 Cost (% of property value) 9.6 Cost to export (US$ per container) 3,840 Minimum capital (% of income per capita) 0.0 Documents to import (number) 20 Getting credit (rank) 159 Time to import (days) 95 Dealing with licenses (rank) 133 Strength of legal rights index (0­10) 1 Cost to import (US$ per container) 4,080 Procedures (number) 17 Depth of credit information index (0­6) 2 Time (days) 252 Public registry coverage (% of adults) 0.2 Enforcing contracts (rank) 69 Cost (% of income per capita) 626.5 Private bureau coverage (% of adults) 0.0 Procedures (number) 27 Time (days) 310 Employing workers (rank) 106 Protecting investors (rank) 162 Cost (% of claim) 43.2 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 151 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 1 Time (years) NO PRACTICE Rigidity of employment index (0­100) 49 Strength of investor protection index (0­10) 2.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 5 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 26 Paying taxes (rank) 83 Payments (number per year) 43 Time (hours per year) 168 Total tax rate (% of profit) 41.1 SAMOA East Asia & Pacific GNI per capita (US$) 2,090 Ease of doing business (rank) 41 Lower middle income Population (m) 0.2 Starting a business (rank) 91 Registering property (rank) 60 Trading across borders (rank) 62 Procedures (number) 9 Procedures (number) 5 Documents to export (number) 7 Time (days) 35 Time (days) 147 Time to export (days) 15 Cost (% of income per capita) 45.5 Cost (% of property value) 1.8 Cost to export (US$ per container) 1,120 Minimum capital (% of income per capita) 0.0 Documents to import (number) 8 Getting credit (rank) 83 Time to import (days) 19 Dealing with licenses (rank) 51 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,265 Procedures (number) 19 Depth of credit information index (0­6) 0 Time (days) 88 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 54 Cost (% of income per capita) 105.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 30 Time (days) 455 Employing workers (rank) 11 Protecting investors (rank) 19 Cost (% of claim) 15.3 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 6 Closing a business (rank) 125 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 8 Time (years) 2.5 Rigidity of employment index (0­100) 10 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 38 Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 15.2 Firing cost (weeks of salary) 9 Paying taxes (rank) 42 Payments (number per year) 36 Time (hours per year) 224 Total tax rate (% of profit) 22.1 138 DOiNgBUSiNESS2007 SAO TOME AND PRINCIPE Sub-Saharan Africa GNI per capita (US$) 390 Ease of doing business (rank) 169 Low income Population (m) 0.2 Starting a business (rank) 122 Registering property (rank) 144 Trading across borders (rank) 69 Procedures (number) 10 Procedures (number) 7 Documents to export (number) 8 Time (days) 144 Time (days) 62 Time to export (days) 27 Cost (% of income per capita) 147.2 Cost (% of property value) 12.7 Cost to export (US$ per container) 490 Minimum capital (% of income per capita) 0.0 Documents to import (number) 10 Getting credit (rank) 117 Time to import (days) 29 Dealing with licenses (rank) 142 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 577 Procedures (number) 16 Depth of credit information index (0­6) 0 Time (days) 259 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 152 Cost (% of income per capita) 1647.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 67 Time (days) 405 Employing workers (rank) 175 Protecting investors (rank) 118 Cost (% of claim) 69.5 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 80 Extent of director liability index (0­10) 1 Closing a business (rank) 151 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 6 Time (years) NO PRACTICE Rigidity of employment index (0­100) 67 Strength of investor protection index (0­10) 4.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 6 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 91 Paying taxes (rank) 149 Payments (number per year) 42 Time (hours per year) 424 Total tax rate (% of profit) 55.2 SAUDI ARABIA Middle East & North Africa GNI per capita (US$) 11,770 Ease of doing business (rank) 38 High income Population (m) 24.6 Starting a business (rank) 156 Registering property (rank) 4 Trading across borders (rank) 33 Procedures (number) 13 Procedures (number) 4 Documents to export (number) 5 Time (days) 39 Time (days) 4 Time to export (days) 13 Cost (% of income per capita) 58.6 Cost (% of property value) 0.0 Cost to export (US$ per container) 654 Minimum capital (% of income per capita) 1057.5 Documents to import (number) 9 Getting credit (rank) 65 Time to import (days) 34 Dealing with licenses (rank) 44 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 605 Procedures (number) 18 Depth of credit information index (0­6) 5 Time (days) 125 Public registry coverage (% of adults) 0.2 Enforcing contracts (rank) 97 Cost (% of income per capita) 70.2 Private bureau coverage (% of adults) 12.5 Procedures (number) 44 Time (days) 360 Employing workers (rank) 21 Protecting investors (rank) 99 Cost (% of claim) 20.0 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 5 Closing a business (rank) 87 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 1 Time (years) 2.8 Rigidity of employment index (0­100) 7 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 22 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 27.3 Firing cost (weeks of salary) 80 Paying taxes (rank) 6 Payments (number per year) 14 Time (hours per year) 75 Total tax rate (% of profit) 14.9 SENEGAL Sub-Saharan Africa GNI per capita (US$) 710 Ease of doing business (rank) 146 Low income Population (m) 11.7 Starting a business (rank) 150 Registering property (rank) 151 Trading across borders (rank) 94 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 6 Time (days) 58 Time (days) 114 Time to export (days) 22 Cost (% of income per capita) 112.6 Cost (% of property value) 18.1 Cost to export (US$ per container) 978 Minimum capital (% of income per capita) 269.6 Documents to import (number) 10 Getting credit (rank) 143 Time to import (days) 26 Dealing with licenses (rank) 66 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,674 Procedures (number) 15 Depth of credit information index (0­6) 1 Time (days) 185 Public registry coverage (% of adults) 4.7 Enforcing contracts (rank) 138 Cost (% of income per capita) 151.6 Private bureau coverage (% of adults) 0.0 Procedures (number) 33 Time (days) 780 Employing workers (rank) 152 Protecting investors (rank) 135 Cost (% of claim) 23.8 Difficulty of hiring index (0­100) 72 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 74 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 4 Time (years) 3.0 Rigidity of employment index (0­100) 61 Strength of investor protection index (0­10) 4.0 Cost (% of estate) 7 Nonwage labor cost (% of salary) 21 Recovery rate (cents on the dollar) 31.6 Firing cost (weeks of salary) 38 Paying taxes (rank) 159 Payments (number per year) 59 Time (hours per year) 696 Total tax rate (% of profit) 47.7 COUNTRYTABLES 139 SERBIA Eastern Europe & Central Asia GNI per capita (US$) 3,280 Ease of doing business (rank) 68 Lower middle income Population (m) 10.0 Starting a business (rank) 60 Registering property (rank) 110 Trading across borders (rank) 51 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 6 Time (days) 18 Time (days) 111 Time to export (days) 11 Cost (% of income per capita) 10.2 Cost (% of property value) 5.4 Cost to export (US$ per container) 1,240 Minimum capital (% of income per capita) 7.6 Documents to import (number) 8 Getting credit (rank) 33 Time to import (days) 12 Dealing with licenses (rank) 157 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,440 Procedures (number) 20 Depth of credit information index (0­6) 5 Time (days) 211 Public registry coverage (% of adults) 0.1 Enforcing contracts (rank) 76 Cost (% of income per capita) 1946.7 Private bureau coverage (% of adults) 43.4 Procedures (number) 33 Time (days) 635 Employing workers (rank) 73 Protecting investors (rank) 60 Cost (% of claim) 12.7 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 6 Closing a business (rank) 103 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 3 Time (years) 2.7 Rigidity of employment index (0­100) 38 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 23 Nonwage labor cost (% of salary) 18 Recovery rate (cents on the dollar) 22.6 Firing cost (weeks of salary) 27 Paying taxes (rank) 64 Payments (number per year) 41 Time (hours per year) 168 Total tax rate (% of profit) 38.9 SEYCHELLES Sub-Saharan Africa GNI per capita (US$) 8,290 Ease of doing business (rank) 84 Upper middle income Population (m) 0.1 Starting a business (rank) 42 Registering property (rank) 50 Trading across borders (rank) 81 Procedures (number) 9 Procedures (number) 4 Documents to export (number) 6 Time (days) 38 Time (days) 33 Time to export (days) 17 Cost (% of income per capita) 9.1 Cost (% of property value) 7.0 Cost to export (US$ per container) 1,842 Minimum capital (% of income per capita) 0.0 Documents to import (number) 7 Getting credit (rank) 159 Time to import (days) 19 Dealing with licenses (rank) 69 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 1,842 Procedures (number) 22 Depth of credit information index (0­6) 0 Time (days) 147 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 73 Cost (% of income per capita) 51.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 29 Time (days) 720 Employing workers (rank) 84 Protecting investors (rank) 46 Cost (% of claim) 13.0 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 8 Closing a business (rank) 151 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 5 Time (years) NO PRACTICE Rigidity of employment index (0­100) 34 Strength of investor protection index (0­10) 5.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 25 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 39 Paying taxes (rank) 24 Payments (number per year) 15 Time (hours per year) 76 Total tax rate (% of profit) 48.8 SIERRA LEONE Sub-Saharan Africa GNI per capita (US$) 220 Ease of doing business (rank) 168 Low income Population (m) 5.5 Starting a business (rank) 80 Registering property (rank) 168 Trading across borders (rank) 124 Procedures (number) 9 Procedures (number) 8 Documents to export (number) 7 Time (days) 26 Time (days) 235 Time to export (days) 29 Cost (% of income per capita) 1194.5 Cost (% of property value) 15.6 Cost to export (US$ per container) 2,075 Minimum capital (% of income per capita) 0.0 Documents to import (number) 7 Getting credit (rank) 117 Time to import (days) 33 Dealing with licenses (rank) 156 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 2,218 Procedures (number) 48 Depth of credit information index (0­6) 0 Time (days) 236 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 166 Cost (% of income per capita) 218.4 Private bureau coverage (% of adults) 0.0 Procedures (number) 58 Time (days) 515 Employing workers (rank) 171 Protecting investors (rank) 99 Cost (% of claim) 227.3 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 140 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 5 Time (years) 2.6 Rigidity of employment index (0­100) 63 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 42 Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 8.7 Firing cost (weeks of salary) 329 Paying taxes (rank) 138 Payments (number per year) 20 Time (hours per year) 399 Total tax rate (% of profit) 277.0 140 DOiNgBUSiNESS2007 SINGAPORE East Asia & Pacific GNI per capita (US$) 27,490 Ease of doing business (rank) 1 High income Population (m) 4.4 Starting a business (rank) 11 Registering property (rank) 12 Trading across borders (rank) 4 Procedures (number) 6 Procedures (number) 3 Documents to export (number) 5 Time (days) 6 Time (days) 9 Time to export (days) 6 Cost (% of income per capita) 0.8 Cost (% of property value) 2.8 Cost to export (US$ per container) 382 Minimum capital (% of income per capita) 0.0 Documents to import (number) 6 Getting credit (rank) 7 Time to import (days) 3 Dealing with licenses (rank) 8 Strength of legal rights index (0­10) 9 Cost to import (US$ per container) 333 Procedures (number) 11 Depth of credit information index (0­6) 4 Time (days) 129 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 23 Cost (% of income per capita) 22.0 Private bureau coverage (% of adults) 38.6 Procedures (number) 29 Time (days) 120 Employing workers (rank) 3 Protecting investors (rank) 2 Cost (% of claim) 14.6 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 0 Extent of director liability index (0­10) 9 Closing a business (rank) 2 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 9 Time (years) 0.8 Rigidity of employment index (0­100) 0 Strength of investor protection index (0­10) 9.3 Cost (% of estate) 1 Nonwage labor cost (% of salary) 13 Recovery rate (cents on the dollar) 91.3 Firing cost (weeks of salary) 4 Paying taxes (rank) 8 Payments (number per year) 16 Time (hours per year) 30 Total tax rate (% of profit) 28.8 SLOVAKIA Eastern Europe & Central Asia GNI per capita (US$) 7,950 Ease of doing business (rank) 36 Upper middle income Population (m) 5.4 Starting a business (rank) 63 Registering property (rank) 5 Trading across borders (rank) 88 Procedures (number) 9 Procedures (number) 3 Documents to export (number) 9 Time (days) 25 Time (days) 17 Time to export (days) 20 Cost (% of income per capita) 4.8 Cost (% of property value) 0.1 Cost to export (US$ per container) 1,015 Minimum capital (% of income per capita) 39.1 Documents to import (number) 8 Getting credit (rank) 13 Time to import (days) 21 Dealing with licenses (rank) 47 Strength of legal rights index (0­10) 9 Cost to import (US$ per container) 1,050 Procedures (number) 13 Depth of credit information index (0­6) 3 Time (days) 272 Public registry coverage (% of adults) 1.0 Enforcing contracts (rank) 59 Cost (% of income per capita) 17.1 Private bureau coverage (% of adults) 45.3 Procedures (number) 27 Time (days) 565 Employing workers (rank) 72 Protecting investors (rank) 118 Cost (% of claim) 15.7 Difficulty of hiring index (0­100) 17 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 31 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 4.0 Rigidity of employment index (0­100) 39 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 18 Nonwage labor cost (% of salary) 35 Recovery rate (cents on the dollar) 48.1 Firing cost (weeks of salary) 13 Paying taxes (rank) 113 Payments (number per year) 30 Time (hours per year) 344 Total tax rate (% of profit) 48.9 SLOVENIA Eastern Europe & Central Asia GNI per capita (US$) 17,350 Ease of doing business (rank) 61 High income Population (m) 2.0 Starting a business (rank) 98 Registering property (rank) 97 Trading across borders (rank) 108 Procedures (number) 9 Procedures (number) 6 Documents to export (number) 9 Time (days) 60 Time (days) 391 Time to export (days) 20 Cost (% of income per capita) 9.4 Cost (% of property value) 2.0 Cost to export (US$ per container) 1,070 Minimum capital (% of income per capita) 16.1 Documents to import (number) 11 Getting credit (rank) 48 Time to import (days) 24 Dealing with licenses (rank) 63 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,107 Procedures (number) 14 Depth of credit information index (0­6) 3 Time (days) 207 Public registry coverage (% of adults) 2.9 Enforcing contracts (rank) 84 Cost (% of income per capita) 122.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 25 Time (days) 1350 Employing workers (rank) 146 Protecting investors (rank) 46 Cost (% of claim) 15.2 Difficulty of hiring index (0­100) 61 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 8 Closing a business (rank) 35 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 6 Time (years) 2.0 Rigidity of employment index (0­100) 57 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 8 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 44.9 Firing cost (weeks of salary) 40 Paying taxes (rank) 84 Payments (number per year) 34 Time (hours per year) 272 Total tax rate (% of profit) 39.4 COUNTRYTABLES 141 SOLOMON ISLANDS East Asia & Pacific GNI per capita (US$) 590 Ease of doing business (rank) 69 Low income Population (m) 0.5 Starting a business (rank) 76 Registering property (rank) 159 Trading across borders (rank) 34 Procedures (number) 7 Procedures (number) 10 Documents to export (number) 8 Time (days) 57 Time (days) 297 Time to export (days) 15 Cost (% of income per capita) 68.9 Cost (% of property value) 4.9 Cost to export (US$ per container) 805 Minimum capital (% of income per capita) 0.0 Documents to import (number) 5 Getting credit (rank) 143 Time to import (days) 12 Dealing with licenses (rank) 40 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 788 Procedures (number) 13 Depth of credit information index (0­6) 0 Time (days) 74 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 102 Cost (% of income per capita) 501.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 25 Time (days) 455 Employing workers (rank) 53 Protecting investors (rank) 46 Cost (% of claim) 69.8 Difficulty of hiring index (0­100) 22 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 7 Closing a business (rank) 101 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) 1.0 Rigidity of employment index (0­100) 21 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 38 Nonwage labor cost (% of salary) 8 Recovery rate (cents on the dollar) 23.3 Firing cost (weeks of salary) 44 Paying taxes (rank) 23 Payments (number per year) 33 Time (hours per year) 80 Total tax rate (% of profit) 33.6 SOUTH AFRICA Sub-Saharan Africa GNI per capita (US$) 4,960 Ease of doing business (rank) 29 Upper middle income Population (m) 45.2 Starting a business (rank) 57 Registering property (rank) 69 Trading across borders (rank) 67 Procedures (number) 9 Procedures (number) 6 Documents to export (number) 5 Time (days) 35 Time (days) 23 Time to export (days) 31 Cost (% of income per capita) 6.9 Cost (% of property value) 8.9 Cost to export (US$ per container) 850 Minimum capital (% of income per capita) 0.0 Documents to import (number) 9 Getting credit (rank) 33 Time to import (days) 34 Dealing with licenses (rank) 45 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 850 Procedures (number) 17 Depth of credit information index (0­6) 5 Time (days) 174 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 43 Cost (% of income per capita) 33.5 Private bureau coverage (% of adults) 53.0 Procedures (number) 26 Time (days) 600 Employing workers (rank) 87 Protecting investors (rank) 9 Cost (% of claim) 11.5 Difficulty of hiring index (0­100) 44 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 8 Closing a business (rank) 65 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 8 Time (years) 2.0 Rigidity of employment index (0­100) 41 Strength of investor protection index (0­10) 8.0 Cost (% of estate) 18 Nonwage labor cost (% of salary) 2 Recovery rate (cents on the dollar) 34.4 Firing cost (weeks of salary) 24 Paying taxes (rank) 74 Payments (number per year) 23 Time (hours per year) 350 Total tax rate (% of profit) 38.3 SPAIN OECD: High Income GNI per capita (US$) 25,360 Ease of doing business (rank) 39 High income Population (m) 43.4 Starting a business (rank) 102 Registering property (rank) 33 Trading across borders (rank) 25 Procedures (number) 10 Procedures (number) 3 Documents to export (number) 4 Time (days) 47 Time (days) 17 Time to export (days) 9 Cost (% of income per capita) 16.2 Cost (% of property value) 7.2 Cost to export (US$ per container) 1,050 Minimum capital (% of income per capita) 14.6 Documents to import (number) 5 Getting credit (rank) 21 Time to import (days) 10 Dealing with licenses (rank) 53 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,050 Procedures (number) 11 Depth of credit information index (0­6) 6 Time (days) 277 Public registry coverage (% of adults) 44.9 Enforcing contracts (rank) 42 Cost (% of income per capita) 65.7 Private bureau coverage (% of adults) 7.4 Procedures (number) 23 Time (days) 515 Employing workers (rank) 161 Protecting investors (rank) 83 Cost (% of claim) 15.7 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 5 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 15 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 4 Time (years) 1.0 Rigidity of employment index (0­100) 63 Strength of investor protection index (0­10) 5.0 Cost (% of estate) 15 Nonwage labor cost (% of salary) 30 Recovery rate (cents on the dollar) 77.6 Firing cost (weeks of salary) 56 Paying taxes (rank) 112 Payments (number per year) 7 Time (hours per year) 602 Total tax rate (% of profit) 59.1 142 DOiNgBUSiNESS2007 SRI LANKA South Asia GNI per capita (US$) 1,160 Ease of doing business (rank) 89 Lower middle income Population (m) 19.6 Starting a business (rank) 44 Registering property (rank) 125 Trading across borders (rank) 99 Procedures (number) 8 Procedures (number) 8 Documents to export (number) 8 Time (days) 50 Time (days) 63 Time to export (days) 25 Cost (% of income per capita) 9.2 Cost (% of property value) 5.1 Cost to export (US$ per container) 797 Minimum capital (% of income per capita) 0.0 Documents to import (number) 13 Getting credit (rank) 101 Time to import (days) 27 Dealing with licenses (rank) 71 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 789 Procedures (number) 17 Depth of credit information index (0­6) 3 Time (days) 167 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 90 Cost (% of income per capita) 151.0 Private bureau coverage (% of adults) 3.1 Procedures (number) 20 Time (days) 837 Employing workers (rank) 98 Protecting investors (rank) 60 Cost (% of claim) 21.3 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 5 Closing a business (rank) 59 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 7 Time (years) 2.2 Rigidity of employment index (0­100) 27 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 18 Nonwage labor cost (% of salary) 15 Recovery rate (cents on the dollar) 35.6 Firing cost (weeks of salary) 178 Paying taxes (rank) 157 Payments (number per year) 61 Time (hours per year) 256 Total tax rate (% of profit) 74.9 ST. KITTS AND NEVIS Latin America & Caribbean GNI per capita (US$) 8,210 Ease of doing business (rank) 85 Upper middle income Population (m) 0.1 Starting a business (rank) 105 Registering property (rank) 136 Trading across borders (rank) 37 Procedures (number) 8 Procedures (number) 6 Documents to export (number) 8 Time (days) 47 Time (days) 81 Time to export (days) 11 Cost (% of income per capita) 26.7 Cost (% of property value) 13.3 Cost to export (US$ per container) 706 Minimum capital (% of income per capita) 45.4 Documents to import (number) 8 Getting credit (rank) 117 Time to import (days) 13 Dealing with licenses (rank) 7 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 756 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 72 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 135 Cost (% of income per capita) 15.2 Private bureau coverage (% of adults) 0.0 Procedures (number) 49 Time (days) 578 Employing workers (rank) 35 Protecting investors (rank) 19 Cost (% of claim) 17.1 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 8 Closing a business (rank) 151 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) NO PRACTICE Rigidity of employment index (0­100) 13 Strength of investor protection index (0­10) 6.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 10 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 60 Paying taxes (rank) 116 Payments (number per year) 23 Time (hours per year) 368 Total tax rate (% of profit) 52.7 ST. LUCIA Latin America & Caribbean GNI per capita (US$) 4,800 Ease of doing business (rank) 27 Upper middle income Population (m) 0.2 Starting a business (rank) 43 Registering property (rank) 51 Trading across borders (rank) 45 Procedures (number) 6 Procedures (number) 5 Documents to export (number) 5 Time (days) 40 Time (days) 20 Time to export (days) 9 Cost (% of income per capita) 25.9 Cost (% of property value) 7.3 Cost to export (US$ per container) 1,053 Minimum capital (% of income per capita) 0.0 Documents to import (number) 8 Getting credit (rank) 101 Time to import (days) 19 Dealing with licenses (rank) 10 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,163 Procedures (number) 9 Depth of credit information index (0­6) 0 Time (days) 139 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 160 Cost (% of income per capita) 34.9 Private bureau coverage (% of adults) 0.0 Procedures (number) 51 Time (days) 635 Employing workers (rank) 29 Protecting investors (rank) 19 Cost (% of claim) 31.2 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 8 Closing a business (rank) 39 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) 2.0 Rigidity of employment index (0­100) 13 Strength of investor protection index (0­10) 6.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 5 Recovery rate (cents on the dollar) 42.2 Firing cost (weeks of salary) 56 Paying taxes (rank) 9 Payments (number per year) 16 Time (hours per year) 41 Total tax rate (% of profit) 31.5 COUNTRYTABLES 143 ST. VINCENT AND THE GRENADINES Latin America & Caribbean GNI per capita (US$) 3,590 Ease of doing business (rank) 44 Upper middle income Population (m) 0.1 Starting a business (rank) 29 Registering property (rank) 101 Trading across borders (rank) 48 Procedures (number) 8 Procedures (number) 6 Documents to export (number) 7 Time (days) 12 Time (days) 37 Time to export (days) 15 Cost (% of income per capita) 33.8 Cost (% of property value) 11.9 Cost to export (US$ per container) 756 Minimum capital (% of income per capita) 0.0 Documents to import (number) 6 Getting credit (rank) 83 Time to import (days) 13 Dealing with licenses (rank) 1 Strength of legal rights index (0­10) 7 Cost to import (US$ per container) 1,354 Procedures (number) 11 Depth of credit information index (0­6) 0 Time (days) 74 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 125 Cost (% of income per capita) 10.6 Private bureau coverage (% of adults) 0.0 Procedures (number) 52 Time (days) 394 Employing workers (rank) 48 Protecting investors (rank) 19 Cost (% of claim) 22.2 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 4 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 8 Closing a business (rank) 151 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 7 Time (years) NO PRACTICE Rigidity of employment index (0­100) 17 Strength of investor protection index (0­10) 6.3 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 4 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 54 Paying taxes (rank) 32 Payments (number per year) 21 Time (hours per year) 208 Total tax rate (% of profit) 33.6 SUDAN Sub-Saharan Africa GNI per capita (US$) 640 Ease of doing business (rank) 154 Low income Population (m) 36.2 Starting a business (rank) 82 Registering property (rank) 29 Trading across borders (rank) 165 Procedures (number) 10 Procedures (number) 6 Documents to export (number) 12 Time (days) 39 Time (days) 9 Time to export (days) 56 Cost (% of income per capita) 58.6 Cost (% of property value) 3.3 Cost to export (US$ per container) 1,870 Minimum capital (% of income per capita) 0.0 Documents to import (number) 13 Getting credit (rank) 143 Time to import (days) 83 Dealing with licenses (rank) 92 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 1,970 Procedures (number) 17 Depth of credit information index (0­6) 0 Time (days) 172 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 158 Cost (% of income per capita) 506.1 Private bureau coverage (% of adults) 0.0 Procedures (number) 67 Time (days) 770 Employing workers (rank) 164 Protecting investors (rank) 142 Cost (% of claim) 20.6 Difficulty of hiring index (0­100) 56 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 6 Closing a business (rank) 151 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 5 Time (years) NO PRACTICE Rigidity of employment index (0­100) 55 Strength of investor protection index (0­10) 3.7 Cost (% of estate) NO PRACTICE Nonwage labor cost (% of salary) 25 Recovery rate (cents on the dollar) 0.0 Firing cost (weeks of salary) 118 Paying taxes (rank) 93 Payments (number per year) 66 Time (hours per year) 180 Total tax rate (% of profit) 37.1 SURINAME Latin America & Caribbean GNI per capita (US$) 2,540 Ease of doing business (rank) 122 Lower middle income Population (m) 0.4 Starting a business (rank) 158 Registering property (rank) 120 Trading across borders (rank) 43 Procedures (number) 13 Procedures (number) 4 Documents to export (number) 7 Time (days) 694 Time (days) 193 Time to export (days) 16 Cost (% of income per capita) 153.8 Cost (% of property value) 10.2 Cost to export (US$ per container) 905 Minimum capital (% of income per capita) 1.4 Documents to import (number) 7 Getting credit (rank) 117 Time to import (days) 15 Dealing with licenses (rank) 100 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 815 Procedures (number) 14 Depth of credit information index (0­6) 0 Time (days) 431 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 111 Cost (% of income per capita) 196.3 Private bureau coverage (% of adults) 0.0 Procedures (number) 29 Time (days) 1290 Employing workers (rank) 39 Protecting investors (rank) 156 Cost (% of claim) 15.9 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 2 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 2 Closing a business (rank) 143 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 5 Time (years) 5.0 Rigidity of employment index (0­100) 23 Strength of investor protection index (0­10) 3.0 Cost (% of estate) 30 Nonwage labor cost (% of salary) 0 Recovery rate (cents on the dollar) 7.1 Firing cost (weeks of salary) 26 Paying taxes (rank) 21 Payments (number per year) 17 Time (hours per year) 199 Total tax rate (% of profit) 27.8 144 DOiNgBUSiNESS2007 SWAZILAND Sub-Saharan Africa GNI per capita (US$) 2,280 Ease of doing business (rank) 76 Lower middle income Population (m) 1.1 Starting a business (rank) 112 Registering property (rank) 140 Trading across borders (rank) 133 Procedures (number) 13 Procedures (number) 11 Documents to export (number) 9 Time (days) 61 Time (days) 46 Time to export (days) 9 Cost (% of income per capita) 41.1 Cost (% of property value) 7.1 Cost to export (US$ per container) 1,857 Minimum capital (% of income per capita) 0.0 Documents to import (number) 14 Getting credit (rank) 21 Time to import (days) 35 Dealing with licenses (rank) 16 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,950 Procedures (number) 11 Depth of credit information index (0­6) 5 Time (days) 114 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 132 Cost (% of income per capita) 97.1 Private bureau coverage (% of adults) 39.0 Procedures (number) 31 Time (days) 972 Employing workers (rank) 47 Protecting investors (rank) 168 Cost (% of claim) 20.1 Difficulty of hiring index (0­100) 11 Extent of disclosure index (0­10) 1 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 1 Closing a business (rank) 56 Difficulty of firing index (0­100) 20 Ease of shareholder suits index (0­10) 5 Time (years) 2.0 Rigidity of employment index (0­100) 17 Strength of investor protection index (0­10) 2.3 Cost (% of estate) 15 Nonwage labor cost (% of salary) 3 Recovery rate (cents on the dollar) 36.9 Firing cost (weeks of salary) 53 Paying taxes (rank) 38 Payments (number per year) 34 Time (hours per year) 104 Total tax rate (% of profit) 39.5 SWEDEN OECD: High Income GNI per capita (US$) 41,060 Ease of doing business (rank) 13 High income Population (m) 9.0 Starting a business (rank) 20 Registering property (rank) 7 Trading across borders (rank) 9 Procedures (number) 3 Procedures (number) 1 Documents to export (number) 4 Time (days) 16 Time (days) 2 Time to export (days) 6 Cost (% of income per capita) 0.7 Cost (% of property value) 3.0 Cost to export (US$ per container) 831 Minimum capital (% of income per capita) 33.7 Documents to import (number) 3 Getting credit (rank) 33 Time to import (days) 6 Dealing with licenses (rank) 17 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 831 Procedures (number) 8 Depth of credit information index (0­6) 4 Time (days) 116 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 2 Cost (% of income per capita) 115.3 Private bureau coverage (% of adults) 100.0 Procedures (number) 19 Time (days) 208 Employing workers (rank) 94 Protecting investors (rank) 46 Cost (% of claim) 5.9 Difficulty of hiring index (0­100) 28 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 17 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 7 Time (years) 2.0 Rigidity of employment index (0­100) 43 Strength of investor protection index (0­10) 5.7 Cost (% of estate) 9 Nonwage labor cost (% of salary) 33 Recovery rate (cents on the dollar) 75.7 Firing cost (weeks of salary) 26 Paying taxes (rank) 39 Payments (number per year) 5 Time (hours per year) 122 Total tax rate (% of profit) 57.0 SWITZERLAND OECD: High Income GNI per capita (US$) 54,930 Ease of doing business (rank) 15 High income Population (m) 7.4 Starting a business (rank) 27 Registering property (rank) 11 Trading across borders (rank) 49 Procedures (number) 6 Procedures (number) 4 Documents to export (number) 4 Time (days) 20 Time (days) 16 Time to export (days) 17 Cost (% of income per capita) 2.2 Cost (% of property value) 0.4 Cost to export (US$ per container) 1,238 Minimum capital (% of income per capita) 15.1 Documents to import (number) 5 Getting credit (rank) 21 Time to import (days) 18 Dealing with licenses (rank) 38 Strength of legal rights index (0­10) 6 Cost to import (US$ per container) 1,333 Procedures (number) 15 Depth of credit information index (0­6) 5 Time (days) 152 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 9 Cost (% of income per capita) 57.2 Private bureau coverage (% of adults) 24.5 Procedures (number) 22 Time (days) 215 Employing workers (rank) 24 Protecting investors (rank) 156 Cost (% of claim) 11.0 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 5 Closing a business (rank) 33 Difficulty of firing index (0­100) 10 Ease of shareholder suits index (0­10) 4 Time (years) 3.0 Rigidity of employment index (0­100) 23 Strength of investor protection index (0­10) 3.0 Cost (% of estate) 4 Nonwage labor cost (% of salary) 14 Recovery rate (cents on the dollar) 47.1 Firing cost (weeks of salary) 13 Paying taxes (rank) 7 Payments (number per year) 13 Time (hours per year) 68 Total tax rate (% of profit) 24.9 COUNTRYTABLES 145 SYRIA Middle East & North Africa GNI per capita (US$) 1,380 Ease of doing business (rank) 130 Lower middle income Population (m) 19.0 Starting a business (rank) 142 Registering property (rank) 88 Trading across borders (rank) 147 Procedures (number) 12 Procedures (number) 4 Documents to export (number) 9 Time (days) 43 Time (days) 34 Time to export (days) 40 Cost (% of income per capita) 21.1 Cost (% of property value) 27.9 Cost to export (US$ per container) 1,300 Minimum capital (% of income per capita) 4233.5 Documents to import (number) 11 Getting credit (rank) 117 Time to import (days) 49 Dealing with licenses (rank) 87 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,962 Procedures (number) 20 Depth of credit information index (0­6) 0 Time (days) 134 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 153 Cost (% of income per capita) 298.0 Private bureau coverage (% of adults) 0.0 Procedures (number) 47 Time (days) 872 Employing workers (rank) 89 Protecting investors (rank) 118 Cost (% of claim) 21.9 Difficulty of hiring index (0­100) 0 Extent of disclosure index (0­10) 6 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 5 Closing a business (rank) 77 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 2 Time (years) 4.1 Rigidity of employment index (0­100) 30 Strength of investor protection index (0­10) 4.3 Cost (% of estate) 9 Nonwage labor cost (% of salary) 17 Recovery rate (cents on the dollar) 29.6 Firing cost (weeks of salary) 80 Paying taxes (rank) 59 Payments (number per year) 21 Time (hours per year) 336 Total tax rate (% of profit) 35.5 TAIWAN, CHINA East Asia & Pacific GNI per capita (US$) 16,170 Ease of doing business (rank) 47 High income Population (m) 22.9 Starting a business (rank) 94 Registering property (rank) 24 Trading across borders (rank) 42 Procedures (number) 8 Procedures (number) 3 Documents to export (number) 8 Time (days) 48 Time (days) 5 Time to export (days) 14 Cost (% of income per capita) 4.6 Cost (% of property value) 6.2 Cost to export (US$ per container) 747 Minimum capital (% of income per capita) 200.0 Documents to import (number) 8 Getting credit (rank) 48 Time to import (days) 14 Dealing with licenses (rank) 148 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 747 Procedures (number) 32 Depth of credit information index (0­6) 5 Time (days) 206 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 62 Cost (% of income per capita) 231.9 Private bureau coverage (% of adults) 59.5 Procedures (number) 28 Time (days) 510 Employing workers (rank) 154 Protecting investors (rank) 60 Cost (% of claim) 16.6 Difficulty of hiring index (0­100) 78 Extent of disclosure index (0­10) 8 Rigidity of hours index (0­100) 60 Extent of director liability index (0­10) 4 Closing a business (rank) 4 Difficulty of firing index (0­100) 30 Ease of shareholder suits index (0­10) 4 Time (years) 0.8 Rigidity of employment index (0­100) 56 Strength of investor protection index (0­10) 5.3 Cost (% of estate) 4 Nonwage labor cost (% of salary) 11 Recovery rate (cents on the dollar) 89.5 Firing cost (weeks of salary) 91 Paying taxes (rank) 78 Payments (number per year) 15 Time (hours per year) 1104 Total tax rate (% of profit) 35.8 TAJIKISTAN Eastern Europe & Central Asia GNI per capita (US$) 330 Ease of doing business (rank) 133 Low income Population (m) 6.5 Starting a business (rank) 166 Registering property (rank) 40 Trading across borders (rank) 163 Procedures (number) 14 Procedures (number) 6 Documents to export (number) 14 Time (days) 67 Time (days) 37 Time to export (days) 72 Cost (% of income per capita) 75.1 Cost (% of property value) 2.0 Cost to export (US$ per container) 4,300 Minimum capital (% of income per capita) 378.6 Documents to import (number) 10 Getting credit (rank) 143 Time to import (days) 44 Dealing with licenses (rank) 85 Strength of legal rights index (0­10) 4 Cost to import (US$ per container) 3,550 Procedures (number) 18 Depth of credit information index (0­6) 0 Time (days) 187 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 39 Cost (% of income per capita) 154.7 Private bureau coverage (% of adults) 0.0 Procedures (number) 46 Time (days) 257 Employing workers (rank) 52 Protecting investors (rank) 172 Cost (% of claim) 10.3 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 0 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 0 Closing a business (rank) 50 Difficulty of firing index (0­100) 40 Ease of shareholder suits index (0­10) 5 Time (years) 3.0 Rigidity of employment index (0­100) 31 Strength of investor protection index (0­10) 1.7 Cost (% of estate) 9 Nonwage labor cost (% of salary) 25 Recovery rate (cents on the dollar) 39.1 Firing cost (weeks of salary) 22 Paying taxes (rank) 154 Payments (number per year) 55 Time (hours per year) 224 Total tax rate (% of profit) 87.0 146 DOiNgBUSiNESS2007 TANZANIA Sub-Saharan Africa GNI per capita (US$) 340 Ease of doing business (rank) 142 Low income Population (m) 38.3 Starting a business (rank) 127 Registering property (rank) 157 Trading across borders (rank) 67 Procedures (number) 13 Procedures (number) 10 Documents to export (number) 3 Time (days) 30 Time (days) 123 Time to export (days) 24 Cost (% of income per capita) 91.6 Cost (% of property value) 5.5 Cost to export (US$ per container) 822 Minimum capital (% of income per capita) 5.5 Documents to import (number) 10 Getting credit (rank) 117 Time to import (days) 39 Dealing with licenses (rank) 172 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 917 Procedures (number) 26 Depth of credit information index (0­6) 0 Time (days) 313 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 65 Cost (% of income per capita) 3796.6 Private bureau coverage (% of adults) 0.0 Procedures (number) 21 Time (days) 393 Employing workers (rank) 143 Protecting investors (rank) 99 Cost (% of claim) 51.5 Difficulty of hiring index (0­100) 100 Extent of disclosure index (0­10) 3 Rigidity of hours index (0­100) 40 Extent of director liability index (0­10) 4 Closing a business (rank) 105 Difficulty of firing index (0­100) 60 Ease of shareholder suits index (0­10) 7 Time (years) 3.0 Rigidity of employment index (0­100) 67 Strength of investor protection index (0­10) 4.7 Cost (% of estate) 22 Nonwage labor cost (% of salary) 16 Recovery rate (cents on the dollar) 21.9 Firing cost (weeks of salary) 32 Paying taxes (rank) 113 Payments (number per year) 48 Time (hours per year) 248 Total tax rate (% of profit) 45.0 THAILAND East Asia & Pacific GNI per capita (US$) 2,750 Ease of doing business (rank) 18 Lower middle income Population (m) 64.2 Starting a business (rank) 28 Registering property (rank) 18 Trading across borders (rank) 103 Procedures (number) 8 Procedures (number) 2 Documents to export (number) 9 Time (days) 33 Time (days) 2 Time to export (days) 24 Cost (% of income per capita) 5.8 Cost (% of property value) 6.3 Cost to export (US$ per container) 848 Minimum capital (% of income per capita) 0.0 Documents to import (number) 12 Getting credit (rank) 33 Time to import (days) 22 Dealing with licenses (rank) 3 Strength of legal rights index (0­10) 5 Cost to import (US$ per container) 1,042 Procedures (number) 9 Depth of credit information index (0­6) 5 Time (days) 127 Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 44 Cost (% of income per capita) 11.1 Private bureau coverage (% of adults) 21.7 Procedures (number) 26 Time (days) 425 Employing workers (rank) 46 Protecting investors (rank) 33 Cost (% of claim) 17.5 Difficulty of hiring index (0­100) 33 Extent of disclosure index (0­10) 10 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 2 Closing a business (rank) 38 Difficulty of firing index (0­100) 0 Ease of shareholder suits index (0­10) 6 Time (years) 2.7 Rigidity of employment index (0­100) 18 Strength of investor protection index (0­10) 6.0 Cost (% of estate) 36 Nonwage labor cost (% of salary) 5 Recovery rate (cents on the dollar) 42.6 Firing cost (weeks of salary) 54 Paying taxes (rank) 57 Payments (number per year) 46 Time (hours per year) 104 Total tax rate (% of profit) 40.2 TIMOR-LESTE East Asia & Pacific GNI per capita (US$) 750 Ease of doing business (rank) 174 Low income Population (m) 1.0 Starting a business (rank) 160 Registering property (rank) 172 Trading across borders (rank) 73 Procedures (number) 10 Procedures (number) NO PRACTICE Documents to export (number) 6 Time (days) 92 Time (days) NO PRACTICE Time to export (days) 32 Cost (% of income per capita) 92.8 Cost (% of property value) NO PRACTICE Cost to export (US$ per container) 700 Minimum capital (% of income per capita) 666.7 Documents to import (number) 11 Getting credit (rank) 159 Time to import (days) 37 Dealing with licenses (rank) 173 Strength of legal rights index (0­10) 3 Cost to import (US$ per container) 700 Procedures (number) NO PRACTICE Depth of credit information index (0­6) 0 Time (days) NO PRACTICE Public registry coverage (% of adults) 0.0 Enforcing contracts (rank) 175 Cost (% of income per capita) NO PRACTICE Private bureau coverage (% of adults) 0.0 Procedures (number) 69 Time (days) 1170 Employing workers (rank) 115 Protecting investors (rank) 142 Cost (% of claim) 183.1 Difficulty of hiring index (0­100) 67 Extent of disclosure index (0­10) 7 Rigidity of hours index (0­100) 20 Extent of director liability index (0­10) 1 Closing a business (rank) 151 Difficulty of firing index (0­100) 50 Ease of shareholder suits index (0­10) 3 Time (years)