The parameters considered for India to assess the ease of doing business are the market conditions in Mumbai and Delhi.
Mumbai: Intending to improve its world ranking on “ease of doing business”, Maharashtra government has reduced the number of required procedures to start a business from 48 to just seven. It has also given a detailed presentation to the World Bank last week in the hope that India would be included along the top 50 world countries for ease of doing business. In their last rating, India had stood at the 130th position in a list of 190 countries. The parameters considered for India to assess the ease of doing business are the market conditions in Mumbai and Delhi.
The state with the help of BMC has managed to reduce the various permissions required to start a business with the intention of attracting more investors. “We have reduced the number of processes from 48 to seven. The main things included in the list are construction time, electricity connection, registration of property and quality of work. We have brought down the number of days required to get permissions related to electricity to five, with intent of further reducing it to three. Right now, only Korea has the provision of giving electricity permissions in three days to set up a business,” said an official from the Industries department.
The government has asked the World Bank to consider all the three main electricity provider companies like Tata, Reliance and BEST into consideration. The 21 electricity connections provided by the state government in the stipulated time were also highlighted to demonstrate how fast the system works.
The various permissions related to the construction of a project used to take 164 days to acquire. The number of days has now been reduced to 60. Registration of property, which used to take 45 days, can now be done in 22 days. The cost of the process has also been reduced from Rs 51,800 to Rs 30,405, the official said.
The industries department is now hoping that the introduction of GST and its inbuilt system would help the businesses further. “Now that we have shifted from VAT to GST, it will become easier for the businesses to pay. We are hoping that the new system would help in improving our ratings further,” the official added.