MANILA, Philippines - The Philippines further slipped in the latest global ranking on doing business as it failed to improve on most of the processes outlined in the survey.
In the Doing Business 2013 report released by the World Bank and the International Finance Corp. (IFC), the Philippines fell two more notches to 138th, from 136th and 134th in the 2012 and 2011 editions, respectively.
The DB report, which is now on its 10th year, covers 185 countries and focuses on the ease of starting, maintaining and closing business.
The survey covers 10 basic processes: starting a business; dealing with construction permits; getting electricity; registering property; getting credit; protecting investors; paying taxes; trading across borders; enforcing contracts; and resolving insolvency.
The report noted that the Philippines failed to improve in seven categories, moving up only in dealing with construction permits, resolving insolvency and trading across borders.
Singapore and Hong Kong remained the top two leaders in the overall category, both of which have been in the top 10 since 2008.
Karim Belayachi, the main author of the DB report, said the annual global survey emphasized “smart regulations, and not about many regulations.”
Belayachi said several of the leading countries, which had high levels of foreign direct investments (FDIs), had fewer regulations.
In the case of the Philippines, the report indicated that the country was unable to introduce new reforms, implement existing policies, or improve processes that would make doing business easier.
IFC officials pointed out that the ease of doing business not only reduces the number of processes and the speed in getting the business of the ground, it likewise reduces opportunities for corruption.
“The less face-to-face encounters, the less steps and stages, the less the opportunity for corruption,” Jesse Ang, IFC resident representative for the Philippines, said in the media presentation of the annual report yesterday.
In the East Asia and Pacific region, the Philippines ranked 21st out of the 24 nations in the survey, with only Micronesia, Lao PDR and Timor Este ranking lower.
In contrast, ASEAN peers Malaysia ranked third in the region and 12th overall; Thailand fifth in the region and 18th overall; and Vietnam 15th in the region and 99th overall.
Meanwhile, National Competitiveness Council (NCC) co-chairman William Luz said that the country’s target next year is to reach the 109th spot of the annual World Bank-IFC study, and among the top 70 by 2016.
Under NCC’s Game Plan for Competitiveness, government and the private sector will conduct a number of meetings and consultations with national agencies as well as local government units (LGUs) using the DB as “the key diagnostic tool.”