- Nigeria and Ghana are the still within the three-digit ranking rate on the World Bank's Ease Of Doing Business.
Nigeria and Ghana are the still within the three-digit ranking rate on the World Bank's Ease Of Doing Business report but with a lot of lessons to learn from Kenya's reforms.
Africa's largest economy has been ranked 146 among other countries where entrepreneurs and small and medium enterprises can thrive, a drop from 145 it ranked last year.
Ghana, on the other hand, moves six places up to 114 with improvement attributed mainly its single window system in the Port while Kenya jumps 19 positions from 80th last year to 61 this year, out of 190 countries.
World Bank stated this in its latest Ease Of Doing Business global ranking released on Wednesday, October 31, 2018.
Commenting on the report, Jim Yong Kim, World Bank President, said it tracked 314 reforms by 128 governments across the world.
Kim said, “Sound and efficient business regulations are critical for entrepreneurship and a thriving private sector. Without them, we have no chance to end extreme poverty and boost shared prosperity around the world.”
Kenya on the World Bank's ease of doing business report:
Per the report, Kenya's attractiveness to investors improved 19 places and advanced to position 61 out of 190 economies from 80 in 2017.
The East Africa nation is also among the top 10 most improved economies in the world and number three in Africa after Mauritius and Rwanda.
Here are some notable lessons for Nigeria and Ghana:
- Kenyan government's efforts to make registration of property easier by introducing an online system to pay fees and obtain digital certificates paid off.
- Time lap for a business to register a property transfer reduced to 49 days, from 61 days.
- Improvement is the ease in accessing credit for businesses.
- Strengthening of requirements regulations for minority investors, including increasing shareholder rights and calls for greater corporate transparency.
- Kenya allowed for the continuation of contracts supplying essential goods and services to the debtor, giving the administrator the power to continue or disclaim contracts of the debtor.
- Digitization of business regulatory- Kenya simplified the process of providing value-added tax information by enhancing its existing online system, iTax.
- Implementation of an online land rent financial management system on the eCitizen portal, enabling property owners to determine the amount owed in land rent, make an online payment and obtain the land rates clearance certificate digitally.
- Strengthening of access to credit by implementing a functional secured transactions system. The new law regulates functional equivalents to loans secured with movable property, such as finance leases and fiduciary transfer of title.