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Report: Business gets easier in China

Updated: 2013-10-30 08:39
By Yao Jing ( China Daily)

China has made steady progress in improving business regulations for local entrepreneurs in East Asia and the Pacific since 2005, a report released by World Bank Group said on Tuesday.

Doing Business 2014, the 11th in a series of annual reports benchmarking the regulations that affect private-sector firms across 189 economies, said China now ranks 13th among the top 50 economies for narrowing the distance to frontier the most since 2005.

The report analyzed regulations that apply to an economy's businesses during their life cycles, including startup and operations, trading across borders, paying taxes and resolving insolvency.

The report noted China's good practices in such sectors as construction permits, out-of-court settlements, approval processes and online procedures.

For example, China improved its credit information system by introducing industry regulations that guarantee a borrower's right to inspect his or her data.

China also has made enforcing contracts easier by amending its civil procedure code to speed up court proceedings.

Still, gaps remain between China and economies with regulations that are more business-friendly, the report said.

In rankings on the ease of doing business, China slumped five spots to No 96 and was placed behind the emerging African economies of Zambia and Rwanda.

"Governments play a crucial role in supporting a dynamic ecosystem for firms," said Sri Mulyani Indrawati, managing director at World Bank Group.

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