Jakarta. Ease of doing business in Indonesia has improved, thanks to government efforts to simplify and scrap unnecessary regulations, according to the World Bank Group’s latest report released on Wednesday (26/10).
Indonesia now ranks 91 from 190 countries assessed in the World Bank’s “Doing Business 2017: Equal Opportunity for All” report, up 15 places from the previous list.
“The Indonesian government has done a lot to enhance the quality of the business environment for the private sector, particularly in the last three years,” Rodrigo Chaves, World Bank country director for Indonesia, said in a statement.
“It is encouraging to the global business community and local entrepreneurs alike to see the process of conducting business simplified in so many areas,” he said.
The report also noted that Indonesia is among the 10 most improved countries, alongside Brunei Darussalam, Kazakhstan, Kenya, Belarus, Serbia, Georgia, Pakistan, the United Arab Emirates and Bahrain.
The World Bank's report acknowledged that Indonesia had introduced reforms to make starting a business easier, such as by encouraging the use of online systems, scrapping the paid-in minimum capital requirement for small and medium-size enterprises, introducing simpler customs documents and a dedicated procedure for commercial litigation and small claims.
The government has so far released fiscal stimulus through 13 policy packages since September last year aimed at boosting ]investment. The 14th package, with a focus on e-commerce, is scheduled to be released on Wednesday.
In this year's report, the World Bank also measures gender-related barriers for three sets of indicators: Starting a Business, Registering Property and Enforcing Contracts. It said in Indonesia there are no barriers to women entrepreneurs participating in the measured areas.
Still, despite all of the improvements, the report said there are areas where improvements can still be made, including to further simplify procedures to reduce time and costs for starting a business. Indonesia still ranks behind Singapore, which dropped to second place, 23rd place holder Malaysia, Thailand at 46 and Vietnam at 82.