World Bank Rating for Doing Business improved again significantly
Rwanda has significantly improved in the World Bank’s “Doing Business Report” coming in the 41st position up from 56th in last year’s ranking. In a report released today, World Bank says Rwanda remains 2nd after Mauritius (25th) and first in East Africa in easing doing business. Kenya came 3rd(80), Botswana (81) and South Africa (82).
The report also ranked Rwanda among the best globally in Doing business areas of registering property with a rank of (2) and got credit (6). In registering property, the report says, Rwanda has an efficient land registry where it takes 7 days to transfer the property and only costs 0.1% of the property value – the same as in New Zealand. Meanwhile, Rwanda and Mauritius are the only two of the Sub-Sahara African countries in the top 50 countries surveyed globally.
According to 2018 Doing Business reform which coincided with World Bank’s 15th anniversary of the report, Rwanda implemented five reforms making it easier to do business in the course of last year. For instance, the report says, the country – whose economy has maintained an annual growth of 8% in the past decade, improved construction permits by increasing quality control during construction through introducing risk-based inspections. The country also made registering property easier by implementing an online service platform to facilitate registration of property transfers.
In investment, World Bank’s 2018 Doing Business Report, managed to put in place minority investor protection by making it easier to sue directors, clarifying ownership and control structures and requiring greater corporate transparency. Rwanda also made paying taxes easier by creating an online system for filing and paying taxes.
Lastly, the report says, Rwanda was able to make contract enforcement easier by making judgments rendered at all levels in commercial cases available to the general public through publication on the judiciary website.
Speaking at a press conference to launch the report at World Bank offices in Kigali this evening, Vincent Munyeshyaka, Trade and Industry Minister said the country is satisfied with the ranking, “But as a country, we have taken note of where we did better and will continue to work and improve in doing business but specifically doing business for job creation, “he said. Claire Akamanzi, CEO of Rwanda Development Board said “Rwanda is second in the world in registering a property. This is something phenomenon.”
Rwanda knows well what it has to improve and catch up or even outdo Mauritius. But responding to KT Press, Minister Munyeshyaka said: “This is a changing world…and all we are doing is to first compete with ourselves but we also believe that we can still improve and compete with other countries not only in East African Community and Africa but in the world.”
On outdoing Mauritius in ease of doing business, Claire Akamanzi told KT Press that Rwanda will still do well but “Mauritius has been working hard for so many years and they are continuing to do so. We congratulate them.” Meanwhile, a record 83 reforms in making it easy to do business, were implemented in 36 of 48 economies in Sub-Saharan Africa in the past year. Since the start of doing business report in the past 15 years, the region made a total of 798. For Rwanda in particular, made 52 reforms followed by Kenya (32) and Mauritius that made 31 reforms.
In the area of starting a business with 163 reforms in the region, was a leading indicator for regional reforms followed by getting credit and trading across borders with 112 and 108.