From 121st place, the Philippines’ ranking has fallen to 126, just above the war-torn West Bank and Gaza strip.
In a video conference simultaneously held in Washington, Manila, Beijing, Hong Kong, Singapore, Sydney and Tokyo, Caralee McLiesh, WB program manager and co-founder of the "Doing Business" survey project, noted that the Philippines failed to undertake reforms in a global environment where most other nations are trying to improve their business environment.
The WB evaluated regulations facing investors in 10 categories, which included starting a business, obtaining licences, employing workers, registering property and investor protection.
The survey is in its third year and measures 10 indicators on the ease and cost of doing domestic business. The 2007 survey used data gathered in April 2006. The 2007 now covers 175 countries from the previous 155 countries covered.
The Philippines ranked way below its ASEAN neighbors Thailand which was number 18 and Malaysia which came in at 25th. Singapore topped the survey as the easiest country in the world to do business in, displacing New Zealand which had previously headed the list.
New Zealand slid to the number two spot because it recently added some customs procedures.
The Philippines managed to top Indonesia which came in at 135th.
At present, the survey does not monitor corruption and infrastructure indicators.
Next year, however, corruption and infrastructure would be included as indicators.
Mcliesh pointed out that while the Philippines did not perform very well overall, there are still some bright spots in terms of enforcement of contract where the Philippines ranked number 59 out of 175 and trading across borders where the Philippines was number 63 out of 175.
Another negative ranking, though, was in terms of paying taxes where the WB/IFC noted 11 procedures wherein there is contact between government bureaucrats and entrepreneurs thus increasing the opportunities for corruption, McLiesh said.
Participants to the forthcoming Competitiveness Summit on Sept. 29 this year are hoping to improve the Philippines’ world competitiveness ranking from its current position of being in the lowest third grouping to the upper third grouping.
In the World Economic Forum competitiveness survey, the Philippines came in at number 77 out of 120 countries.
In the Institute of Management Development survey, the Philippines is ranked 49th out of 61 countries.
According to private sector representatives led by former Trade Secretary Cesar Bautista, Frederico Macaranas of the Asian Institute of Management Policy Center, Guillermo Luz of the Makati Business Club, Donald Dee of the Philippine Chamber of Commerce and Industry, Sergio Ortiz-Luis of the Philippine Exporters Confederation of the Philippines and Euan Marshall of the IFC, the forthcoming competitiveness summit should focus on identifying key areas that need improvement, with a timebound target and a specific "champion" who would be held accountable for achieving the identified goal.
The private sector representatives stressed that the goals that would be set realistically cannot be achieved overnight but would be achieved over a long-term period.
As such, even after the summit has identified the specific goals, there must be a regular monitoring of the achievements and an identified "champion" in various government agencies to ensure that the goals are achieved within a time-bound period.