Nepal’s rank in ‘Ease of Doing Business Index’ improves to 94th position; ranks third among South Asian countries

Nepal’s rank has improved by 16 places in the ‘Ease of Doing Business Index’ published by the World Bank. In the previous year, Nepal ranked at 110^th place in the index. However, this year the rank has improved to 94^th place as per the latest reports.

The pre-fabrication process before construction work has been made easier, the license fee for construction of building has been reduced and online processing has improved boosting the country’s rank in the index.

Similarly, access to credit information has improved and the reach of credit bureau has increased. The country has cut down on time and cost of exports and imports by establishing an integrated check-post in Birgunj at the Nepal-India border. A new code of civil procedure has been introduced that makes it easier to enforce contracts.

However, due to the requirement of in-person follow up for employee registration in social security has made it more difficult to start a new business in the country. Similarly, the property transfer registration fess was increased making property registration more expensive. The quality of land administration system was improved by publishing official service standards.

Despite the strong improvement in the rankings, Nepal failed to fall in the top 20 countries to improve. The top countries to improve included China, India, Pakistan, Nigeria, Saudi Arabia, Jordan, Kuwait etc.

Ease of Doing Business Index is the official report published by the World Bank based on certain parameters that reflect the economic improvement and foreign investment attraction. The index takes into consideration the condition of all 190 countries in the world.

Among South Asian countries, India stood in the first place standing at 63^rd rank. Nepal manages to get the third position after Bhutan takes the second position among South Asian countries with rank of 89^th position. Nepal is followed by Sri Lank in the fourth place at 99^th rank.