World Bank places Pakistan among struggling economies

October 05, 2024 (MLN): The World Bank has placed Pakistan among economies grappling with a challenging business environment characterized by relatively weak regulatory frameworks and public services, which constrains the operational efficiency of their businesses.

In its latest report, Business Ready (B-READY)—a new data collection and analysis project of the World Bank Group to assess the business and investment climate worldwide—the World Bank placed Pakistan in the fourth quantile, which includes economies ranked between the 20th and 40th percentile in a study of 50 economies.

The report introduces a new analytical framework and assesses benchmark economies based on three pillars: Regulatory Framework, Public Services, and Operational Efficiency.

Pakistan, with a score of 59.10 in Regulatory Framework and a score of 44.97 in Public Services, was ranked in the fourth quintile, which is the second lowest.

Meanwhile, it was placed in the third quintile for Operational Efficiency with a score of 65.90.

The analysis centers on 10 topics essential for private sector development that correspond to various stages of the life cycle of a firm. 

Pakistan scored 91.50 on business entry, 54.25 on business location, 59.21 on utility services, 53.45 on labor, 67.97 on financial services, 45.71 on international trade, 57.48 on taxation, 41.99 on dispute resolution, 46.24 on market competition, and 48.79 on business insolvency.

Business Ready (B-READY) is a new World Bank Group corporate flagship report that evaluates the business and investment climate worldwide. It replaces and improves upon the Doing Business project.

B-READY provides a comprehensive data set and description of the factors that strengthen the private sector, not only by advancing the interests of individual firms but also by elevating the interests of workers, consumers, potential new enterprises, and the natural environment.

The 2024 report, which covers 50 economies, serves as the first in a series that will expand in geographical coverage and refine its methodology over time, supporting reform advocacy, policy guidance, and further analysis and research.

Copyright Mettis Link News