Ease of doing business: What's behind India's 64-rank leap in 4 yrs - TIMES TODAY

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Friday, 2 November 2018

Ease of doing business: What's behind India's 64-rank leap in 4 yrs

NEW DELHI: Sometime last year, the department of industrial policy and promotion (DIPP), which was largely an agency dealing with foreign direct investment (FDI) in the past, received feedback that those setting up offices in South Delhi were unable to get no-objection certificates online from the fire department. A closer scrutiny revealed that the municipal corporation had not changed the rules, prompting the Centre’s intervention for tweaking the regulation.

Similarly, those setting up factories would often have to wait for days to get a water pipeline, which could only be laid by agencies designated by the municipal bodies. But that’s no longer the case if the pipeline is more than five metres.


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There were several instances, where some of the government agencies were not granting online approvals unless the applicant met officials. Through aids such as WhatsApp group comprising architects, the government managed to set the house in order.
Steps like this helped India climb 23 spots to be ranked 77th in the World Bank’s Doing Business report + , released on Wednesday, which finance minister Arun Jaitley said was possible as DIPP looked at minute details and finalised sub-steps. “You literally have to crack the code,” he said. There was interaction at multiple levels over the last two years, when India jumped 53 places. “A lot of times our interaction and training of front-line staff has helped us in finding solutions to change rules and make life easier for businesses,” DIPP secretary Ramesh Abhishek told TOI.
DELHI BEATS MUMBAI ON EASE OF BUSINESS
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There were back room parleys too with users — from exporters, architects and developers to company secretaries, involved with setting up of companies, and chartered accountants, who help in filing returns and paying taxes. Feedback was received at multiple levels, analysed and acted upon. Three rounds of interaction with World Bank (WB) teams in the US too helped as the government sought to set its house in order. But there are areas such as registering property, where India ranks poorly despite a major push from the Centre. Jaitley suggested that to address these concerns, the government may have to go for business process re-engineering with online solutions that can help you transfer property sitting at home.
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