Position of the Czech Republic in the “Doing Business” rating
Doing Business is a research annually conducted by the World Bank aimed to study the simplicity of performing business in the developed countries. This research has been conducted for 15 years already. It spots the states attractive for doing business based on the certain criteria: convenience of tax system, accounting cost, market possibilities and development perspectives.
The position of the Czech Republic
The Czech Republic took the 27th place in this rating in 2017 due to the constant growth of its positions for the last 6 years. The country has been reaching the developed European ones by all the parameters, and its progress allowed the Republic to outperform not only the European business leader Great Britain, but also the countries from Visegrad Group.
As for the electric energy delivery, the Republic jumped over 29 positions during a year and took the 13th place. Speaking of the international trade rate, the country took the first place immediately, the second time in a row. This is confirmed by the inflow of foreign countries that can be seen in the largest Czech cities, such as Prague, Brno, Plzen or Ostrava. Amazon, Siemens, Hyundai, Bosch and Panasonic already moved to the Republic permanently.
This year the Czech Republic took the 27th place in the assessment of comfort and simplicity in doing business, and left behind the Netherlands with Switzerland that were on the leading positions for more than a decade.
The Republic was on the 72nd position in the same rating in 2014, although it had been in the EU for 10 years at that moment. Its progress is visible even for ordinary entrepreneurs. Many statistic researches in this field underline friendly attitude of the country to businessmen.
The main factor that prevents the country from reaching even higher positions is the excessive bureaucracy, especially when it comes to receiving permissions on building, and the government already works on fixing it. The Minister of Industry and Trade of the European Union and foreign trade already raised the question at the highest level.
The rating of the World Bank compares and estimates the legislation that regulates the small and medium business. The first results of the study were published in 2003.
This year 190 countries have been researched. Mentioned study based on the clear system of 10 criteria rates the simplicity of performing business in almost all countries. The following criteria are included: registration of the enterprises, getting permissions on building, connecting to the power supply system, registration of a property, getting a credit, protection of minority investors, taxing, international trade, enforcement of contracts and insolvency resolution. The data come from four sources: respondents of the Doing Business research, the corresponding laws and regulations, leading economic institutions that are studied in the scopes of the rating and regional employees of the World Bank.
The Czech Republic becomes one of the most significant European countries. The annual growth of the economy reaches 6.5%, and the Prague is already called the European Silicon Valley and the city with the incredible entrepreneurial potential.