Ethiopia slips down World Bank’s doing business ranking


The World Bank’s flagship report Doing Business 2018 for Ethiopia ranks the country at 161 out of 190 countries; well below the regional average. The country was ranked at 159 last year and this year’s ranking shows it has slipped two steps down with very small or no progress on all the indicators of the rankings.
The Doing Business report tries to provide objective measures of business regulations and their enforcement across 190 economies and selected cities at the sub-national and regional level. Launched in 2012, Doing Business provides quantitative indicators on regulation for starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency.
Comparing Ethiopia to other economies, the report shows that Rwanda scores 41 and Kenya 80 out of 190 economies.
By gathering and analyzing comprehensive quantitative data to compare business regulation environments across economies and over time, Doing Business encourages economies to compete towards more efficient regulation; offers measurable benchmarks for reform; and serves as a resource for academics, journalists, private sector researchers and others interested in the business climate of each economy.
Most indicator in this year’s report refer to a case scenario in the largest business city of each economy, except for 11 economies that have a population of more than 100 million as of 2013; Bangladesh, Brazil, China, India, Indonesia, Japan, Mexico, Nigeria, Pakistan, the Russian Federation and the United States, where Doing Business, also collected data for the second largest business city. For Ethiopia, Addis Ababa is the only city that was case studies and measured by the indicators for this year’s report.