Page 76 - Forbes India (December 2015)

interview

Shaktikanta DaS

Ease of Business: India’s Rank

to Improve Significantly in 2016

Economic Affairs Secretary Shaktikanta Das says India’s rise in World Bank
rankings is satisfying; target remains to break into the top 50 in three years

By Shutapa paul

ndia is on the verge of enabling
easy entry and exit for
businesses. A new Bankruptcy
I Law and a slew of other reforms
are poised to do just that, Economic
Affairs Secretary Shaktikanta Das tells
Forbes India in an interview. Excerpts:

Q India has improved on the
ease of doing business. Are you
happy with the performance?
We note with satisfaction our
improvement in rank from 142 to 130
[on the ease of doing business]. But
there is a lot of unfinished work and
it is being done. We could have done
far better this year. But the World
Bank in their analysis wants to see
how changes play out for one year improve significantly next year. The Viswanathan Committee on
and only then will it give it the due Bankruptcy Law has submitted its
weightage. We did not get marks for Q Is the government still confident report and it is in the public domain.
many of the decisions which were of breaking into the top 50 ranks We are expecting comments from the
taken in the last six months. But these in three years as Prime Minister stakeholders and others. It has been
decisions would have run for one Narendra Modi promised? referred to the various ministries and
year when the next rating comes. That is our target and we are states for their comments. It will be
working towards that. our endeavour to introduce the Bill
Q So you see a significant in Parliament as early as possible.
improvement in the Q Where do the challenges remain?
ranking for next year? It is a mixed bag. Several states are Q In the coming session
Yes. What is more important is cooperating and are moving very of Parliament?
that the World Bank has specially fast. For example, Maharashtra has Let us see… In India, it is easy to start
recognised the important steps in simplified its building permission a company, but very difficult to wind
the area of reforms taken by the rules. Some states need to move it up. It becomes like a chakravyuh
government. All the departments faster. The positive thing is that no [labyrinth]. The Bankruptcy Law
of the government have worked state is against it. All states are on will deal with the problems of the
together, whether it is corporate board, but depending on local factors, companies. If a company is facing
affairs, department of revenues, excise some move fast, some do not. bankruptcy or it is a case of business
getty imageS and customs, income tax, ministry of Q How soon can we hope to see the failure, anybody, whether workers
or bank or shareholders, can invoke
labour, EPFO. So it is very satisfying.
the provisions of this new law.
Bankruptcy Law come into effect?
I would expect India’s ranking to
76 | FORBES INDIA DECEMBER 11, 2015