Business doing it easier as nation rises in rankings
Business doing it easier as nation rises in rankings
The Lao economy has moved up seven places in the global rankings on the ease of doing business.
The nation improved its po sition from 155 to 148 among 189 economies surveyed.
Entrepreneurs seeking to invest in the country continue to face significant challenges compared with some regional neighbours.
Laos still lags far behind in the ease-of-doing-business rankings as compared with Malaysia at 18 and Thailand at 26.
The economy's higher ranking this year reflects improvements in its business environment such as measures to strengthen the legal rights of borrowers and lenders by establishing a collateral registry and strengthening of protections for minority investors by improving disclosure standards for directors of firms listed on the Lao Securities Exchange.
Commerce-friendly Singapore found itself atop of the global ranking on the ease of doing business for this year, followed in the rankings by New Zealand, Hong Kong, China, Denmark, the Republic of Korea, Norway, the United States, the United Kingdom, Finland and Australia.
According to the new World Bank Group Doing Business Annual Report 2014 released yesterday during a press video conference, four members from Laos, Malaysia, Philippine and Thailand gathered to share ideas and provide feedback on the report's findings.
The latest edition of the Annual Report, first published in 2003, focused on regulations applying to small and medium enterprises across 10 areas.
These include starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency.
It also measured labour market regulation, which was not included in any of the aggregate measures.
Head of International Finance Corporation Office in Laos, Mr Phongsavan Phomkong said further efforts such as support for law reform were still required to assist the Lao government to improve the environment for doing business, Mr Phongsavan said.
According to a press release supplied, Country Manager for World Bank in Laos Sally Burningham said while rankings showed Laos beginning to move up in the ease of doing business, entrepreneurs still suffered from expenses such as the cost of dealing with cumbersome regulations and licensing requirements.
A lack of predictability was also an issue, with many regulations not consistently enforced.
As such it was important that reform efforts were continued to make it easier to do business in Laos, Ms Burningham said.
The World Bank Group supports key reforms toward tax simplification, streamlined business start-up procedures, and more efficient import and export processes.
vientiane times
