SINGAPORE: Singapore has conceded its number-one ranking to New Zealand on ease of doing business despite numerous efforts, World Bank study found.
In the annual ‘Doing Business’ report, Singapore was pushed out of its decade-long place at the top with an overall score of 85.05. New Zealand meanwhile gained a higher 87.01 attributable to its steps undertaken to remove the cheque levy, which made paying taxes easier.
“Simple rules that are easy to follow are a sign that a government treats its citizens with respect. They yield direct economic benefits—more entrepreneurship; more market opportunities for women; more adherence to the rule of law,” Paul Romer, World Bank chief economist and senior vice president, said in a statement. Rounding up the top 10 in the list are Denmark, Hong Kong, Korea, Norway, United Kingdom, United States, Sweden and Macedonia.
The countries were ranked based on 11 sets of indicators such as the ease of starting a business, dealing with construction permits, accessing electricity and obtaining credit. For the first time, the Washington-based development lender took gender factors into consideration in assessing how easy it is to start a business, register property and enforce contracts.
During the study period, Singapore enhanced its electronic one-stop shop, making the process of obtaining approvals from different authorities easier. Singapore was one of the first economies to introduce an electronic system for public administration.
In 1992 the Inland Revenue Authority of Singapore developed an integrated and computerized tax administration system, making internal processes more efficient by freeing staff from unproductive bureaucratic tasks. As a result, between 1992 and 2000 the time needed to issue tax assessments decreased from 12–18 months to 3–5 months.
Singapore continues to improve its tax compliance system even though it is among the best performers on the paying taxes indicators. In 2015 the online system underwent further upgrades, allowing for fewer delays in filing returns for corporate income tax and value added tax.
