World Bank Report Ranks Australia’s Business Environ Tad Lower in 2011
Conducting business in Australia remains a rosy prospect for would-be investors but a joint report by the World Bank and the International Finance Corporation has indicated a slight drop on the country's performance and ranking as one of the best place to do business with.
According to the 'Doing Business 2012' report, Australia took the 15th place out of the 183 economies that were ranked in the business environment assessment that was mostly based on the effects of countries' regulatory policies on business investments.
The Australian Associated Press (AAP) has reported that 10 major business indicators were considered by examiners in finalising the economic rankings, which were the following: starting a business; dealing with construction permits; getting electricity; registering property; getting credit; protecting investors; paying taxes; trading across borders; enforcing contracts; and resolving insolvency.
While in 2011, the overall Australian business ambiance had successfully attracted an 11th place ranking for the country, it was dislodged this year owing much to the improvements seen on business policies rolled out by South Korea, Iceland, Finland and Canada.
Nonetheless, the country's Top 20 ranking was sufficient enough for a nation that has largely emerged unscathed following the crippling effects of the global financial crisis in 2009, experts said.
The report also credited Australia's too-friendly conduct of luring in new business operations by requiring no start-up capital as oppose to other economies, which by far is the best policy among the examined countries.
The country's general economic picture, which encourages incredible business practices due to ease in accessing credit, protecting investors, making it easy to pay taxes and making it easy to enforce contracts, also earned praises from the report.
The economic valuation came out amidst nagging global issues that greatly affect major economies, according to Global Indicators and Analysis director Augusto Lopez-Claros, who added: "at a time when persistent unemployment and the need for job creation are in the headlines, governments around the world continue to seek ways to improve the regulatory climate for domestic business."
"Small and medium businesses that benefit most from these improvements are the key engines for job creation in many parts of the world," AAP reported Lopez-Claros as saying.
Also, while nations mostly traded places in this year's rankings, the report underscored the consistent performance of the Top Five, namely Singapore, Hong Kong, New Zealand, the United States and Denmark, which have sustained not only their business-friendly economic policies but also their enviable posts among the best.