Editorial
Starting new businesses made easier
Red tape cut to help SMEs
IN the midst of all the gloom that pervades the political scenario in the country, there is some good news coming out of the business sector. According to 'Doing Business 2014,' an annual publication brought out by the International Finance Corporation, Bangladesh has made significant gains that make it easier to start and run a business in the country. The significance of Bangladesh jumping 21 places to rank 74 out of 189 economies cannot be understated.
The new ranking is testament to the fact that qualitative steps have been underway to speed up the process of business registration, simplification of rules and regulations and integrating automation in some crucial areas such as service delivery. Compared to the preceding year, days needed to start a business came down to 10.5 days from 18.5. Although, Bangladesh's overall ranking has improved only 2 steps from 132 to 130 in respect of doing business overall, the country remains ahead of the regional economic superpower India. Another area where starting up a new business has improved markedly is time needed for issuance and renewal of trade license.
Yet for Bangladesh to improve its ranking markedly, significant hurdles must be addressed. The country needs to improve its investment climate and successfully market its brand image as an attractive destination for FDI. Though held back by a myriad of problems, at the end of the day, the reform programmes initiated by government and regulatory bodies are starting to bear fruit.
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