Doing Business Report 2017
Category : Economy
The Doing Business is an annual Report created by the World Bank Group, in which 190 economies are ranked on their ease of doing business. It sheds light on how easy or difficult it is for an entrepreneur to open and run a small to medium-size business when complying with relevant regulations. A high ease of doing business ranking means the regulatory environment is more conducive to the set-up and operation of a local business. In essence, the Report measures and tracks changes in regulations affecting 10 areas in the life cycle of a business.
The Doing Business Report presents results for 2 aggregate measures: the ease of doing business ranking (ordinal ranking) and the distance to frontier (DTF) score (cardinal ranking). The ranking of economies is determined by sorting the aggregate distance to frontier scores, rounded to two decimals. An economy’s distance to frontier score is indicated on a scale from 0 to 100, where 0 represents the worst performance and 100 the frontier.
According to the Doing Business Report 2017, Cyprus has lost four positions in the ordinal ranking as it is ranked 45th, compared to 41st in 2016. However, at the same time, in the cardinal ranking, its distance to frontier increased by 0.17, at 72.65%, which indicates that the business environment within the economy, is actually better than last year.
In the individual topics ordinal rankings, Cyprus has improved its position in the areas of Starting a Business (53rd), Getting Electricity (63rd) and Paying Taxes (34th). At the same time it has retained the same position as in 2016 in the areas of Trading across Borders (45th), Enforcing Contracts (139th) and Resolving Insolvency (16th), whilst it has lost ground in the areas of Dealing with Construction Permits (125th), Registering Property (91st), Getting Credit (62nd) and Protecting Minority Investors (27th).
In the individual topics cardinal rankings, Cyprus has improved its position and reduced the distance to frontier in the areas of Starting a Business (2.02), Dealing with Construction Permits (0.06), Getting Electricity (3.15), Registering Property (0.04), Paying Taxes (0.71) and Resolving Insolvency (0.78). It has only lost ground in the areas of Getting Credit (-5.00), whilst it has remained stable in the areas of Protecting Minority Investors, Trading across Borders and Enforcing Contracts.
Finally, when comparing the EU countries, Cyprus is above average in the areas of Starting a Business, Protecting Minority Investors, Paying Taxes, and Resolving Insolvency.