Kochi: Even as the state government goes out of its way to promote startups and young entrepreneurs, a World Bank report has come out with the revelation that the state comes at 18th position in ‘ease of doing business among Indian states’. Gujarat and Andhra Pradesh are in the first and second slots, respectively.
The ranking, done at the behest of the Central government, was based on eight specified parameters which included setting up of business, allotment of land, labour reforms, procedure for environmental clearance, infrastructure, procedure for registration for tax purposes and inspections for compliance of various norms.
While Kerala, which tops the list on human development index, finds itself way down on the list, several states such as Chhattisgarh, Madhya Pradesh, Rajasthan, Odhisa and Uttar Pradesh with poor record in HDI, have made it to the top 10.
Maharashtra and Karnataka also adjudged good performers. Responding to the report, principal secretary for Industries and IT, Mr P H Kurian, said the State's poor ranking owed to the difficulty in getting clearances, especially environmental.
“We are too regulated at the lower level of governance,” he said, The report titled 'Assessment of State Implementation of Business Reforms' also took into account the 98-point action plan on ease of doing business which were finalised at a workshop of chief secretaries last year.
At the bottom of the index ladder are Mizoram, Jammu and Kashmir, Meghalaya, Nagaland and Arunachal Pradesh.
Among the major states are West Bengal occupied 11th slot, Tamil Nadu (12), Haryana (14), Delhi (15), Punjab (16), Himachal Pradesh (17), Goa (19), Bihar (21) and Assam (22).
Pitching for further ease of doing business, World Bank country director Onno Ruhl, in the foreword to the report, said, "A disproportionately high regulatory burden is borne by businesses in India today."