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Andhra Pradesh and Telangana shot ahead of Gujarat to grab the top spot in the business reforms ranking for 2016 released by the Department of Industrial Policy & Promotion (DIPP) and World Bank on Monday.
While Andhra Pradesh moved up one space from its second ranking last year, Telangana’s ascent to the top was from the 13th position. Gujarat, which held the top spot last year, moved to the third place in this year’s ranking.
The assessment done by the World Bank and the DIPP this year studies the extent to which States have implemented the DIPP’s 340-point business reform action plan covering the period of July 1 2015 to June 30 2016.
These are mainly related to single window clearance, tax reforms, labour and environment reforms, dispute resolution and construction permit. This is the second business reforms ranking report for States brought out by the government.
“States have demonstrated tremendous improvement in their performance. Last year not a single State had implemented more than 75 per cent of the reforms. This year we have 15,” said Commerce & Industry Minister Nirmala Sitharaman.
The ‘leading’ States that have achieved more than 90 per cent of reforms also include Chattisgarh, Madhya Pradesh, Haryana, Jharkhand, Rajasthan, Uttarakhand, Maharashtra, Odisha and Punjab.
The ‘aspiring leaders’ that have scored between 70 per cent and 90 per cent are Karnataka, UP, West Bengal and Bihar.
States where ‘acceleration is required’ (scored between 40 per cent and 70 per cent) as per the report include Himachal Pradesh, Tamil Nadu and Delhi.
The States scoring less than 40 per cent and needing a ‘jump start’ include Kerala, Goa, Tripura, Daman & Diu, Assam, Dadra & Nagar Haveli, Puducherry, Nagaland, Manipur, Mizoram, Sikkim, Arunachal Pradesh, J&K, Chandigarh, Meghalaya, Andaman & Nicobar Islands and Lakshwadeep.
Elaborating on the efforts put in for the assessment, DIPP Secretary Ramesh Abhishek said that at least 32 States and UTs submitted evidence of implementation of 7,124 reforms. “These submissions were reviewed by the World Bank team and validated by DIPP’s team to study whether they met the objectives,” he said.
The DIPP will hold consultations with various States, the World Bank and take feedback from stakeholders on additional parameters for judging performance in next year’s review, Abhishek added.
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