UAE ADVANCED THREE RANKS IN THE LATEST WORLD BANK’S DOING BUSINESS 2015 REPORT
DUBAI (WAM) — The UAE advanced three ranks in the latest World Bank’s Doing Business 2015 report to settle at 22 compared to last year’s rankings, maintaining its lead in the Arab Region and beating some advanced European and Asian economies.
Doing Business 2015: ”Going Beyond Efficiency” ranked the UAE among the 10 economies that have improved the most in performance on its indicators since the previous year. This year’s report highlights 10 economies that have done so, including five in Sub-Saharan Africa. The report measures the ease of doing business in 189 economies based on 11 business-related regulations, including business start-up, getting credit, getting electricity, and trading across borders. This year’s report, “Doing Business 2015: Going Beyond Efficiency,” uses new data and methodology in three areas: resolving insolvency, protecting minority investors, and getting credit.
The new World Bank report finds that in the past year, governments around the world continued to implement a broad range of reforms aimed at improving the regulatory environment for local entrepreneurs. Economies that both improve the efficiency of regulatory procedures and strengthen the legal institutions that support enterprise, trade, and exchange are better able to facilitate growth and development.
Commenting on this landmark achievement, Reem Al Hashemi, Chairperson of Emirates Competitiveness Council, said: ‘Advancing in the international benchmark is getting more tougher year after year for many reasons including the state’s increasing awareness of the vital importance of continuous improvement in performance of government entities providing services to investors and commercial corporations and this sharpens competition among states in attracting investors.” She attributed the UAE’s stellar performance in the World Bank report to the far-sighted vision of the wise leadership, spearheaded by President His Highness Sheikh Khalifa bin Zayed Al Nahyan and Vice President and Prime Minister and Ruler of Dubai His Highness Sheikh Mohammed bin Rashid Al Maktoum.
The World Bank report noted that the UAE was the only Arab country in 10 economies which have introduced quality regulatory improvements in the ease of doing business. The report singled out three sectors; registering property, getting credit and protecting minority investors, which the UAE has reformed significantly.
According the World Bank flagship report, the UAE ranked (1) in paying taxes category, (4) in dealing with constructive permits, getting electricity and registering property and (8) in trading across borders.
Registering Property: The United Arab Emirates made transferring property easier by introducing new service centers and a standard contract for property transactions.
Getting Credit: In the United Arab Emirates the credit bureau improved access to credit information by starting to exchange credit information with a utility.
Protecting Minority Investors: The United Arab Emirates strengthened minority investor protections by introducing additional approval requirements for related-party transactions and greater requirements for disclosure of such transactions to the stock exchange; by introducing a requirement that interested directors be held liable in a related-party transaction that is unfair or constitutes a conflict of interest; and by making it possible for shareholders to inspect the documents pertaining to a related-party transaction, appoint auditors to inspect the transaction and request a rescission of the transaction if it should prove to be unfair.
Minister of Economy Sultan Al Mansouri said the UAE’s advanced ranking in the World Bank Doing Business report was boosted by tireless efforts being made by the Ministry of Economy to enhance national economy, create business friendly environment in order to achieve balanced, sustainable development.
He stressed the vital importance of the continuous reform and updating of government policies and legislations as well as procedures and practices that allow investor do business easily.
In this year’s ranking, the UAE came ahead of many major European and Asian economic powerhouses which have well-known proven record in doing business and entrepreneurship. It overtook Netherland (27), Japan (29), Turkey (55) and Italy (56).
Regionally, the UAE retained its first rank in the Arab and Gulf region for the second running year.
The report finds that Singapore tops the global ranking on the ease of doing business. Joining it on the list of the top 10 economies with the most business-friendly regulatory environments are New Zealand; Hong Kong SAR, China; Denmark; the Republic of Korea; Norway; the United States; the United Kingdom; Finland; and Australia.