The 2020 Ease of Doing Business Index reveals New Zealand, Singapore, and Hong Kong SAR, China, as global leaders in creating favourable environments for business success. These countries have leveraged targeted reforms, technological advancements, and regulatory efficiency to maintain their momentum. A closer look at their strategies offers valuable insights for policymakers and stakeholders worldwide.
New Zealand: Pioneering Simplicity and Speed
With a top score of 86.76, New Zealand’s consistent lead stems from its extraordinary efficiency in starting and operating a business. The country has secured its position for five consecutive years, making it a global leader in doing business and a haven for investors and entrepreneurs. The major contributors for this position comprise its efficient business registration, as opening a business in New Zealand encompasses a single online procedure ideally completed within 24 hours. This ease reflects the government’s commitment to minimising bureaucratic interruptions and providing an encouraging environment for entrepreneurship.
Another significant measure New Zealand has taken is digitising its land registration system. This step ensures accuracy and speed and minimises processing times. With the help of a transparent and regulatory environment, New Zealand has ensured that businesses can benefit from clear compliance guidelines. One of the most fantastic things in setting up the business is the role of digital innovation. The increased use of integrated platforms, like the Companies Office website, empowers seamless interactions between businesses and government agencies, which ensures transparency in all legal procedures.
Policy take: Other countries can replicate New Zealand’s success by digitising core business processes and minimizing bureaucratic requirements.
Singapore: A Global Trade and Financial Hub
Singapore, scoring 86.20 globally, has secured the the second position on ease of doing business scale. Its thriving strategic reforms make it a model of efficiency in trade and finance. The visionary policies have ensured that Singapore’s business environment remains seamless, easily accessible and investor friendly. The pro-business reforms taken by the government and low tax burden minimise the administrative hurdles to encourage and attract multinational corporations to invest in Singapore. The geographic location of Singapore has been prudently used to leverage cross-border trade efficiency for global logistics. Its automated customs systems and international trade agreements have played a crucial part in making it the 2nd most favourable in the global ease of business ranking. Singapore’s trade facilitation protects investments and encourages entrepreneurship.
Hong Kong SAR, China: Bridging Business with Efficiency
Hong Kong SAR stands at 3rd place, having scored 85.32. The higher efficiency of Hong Kong reflects its vigorous infrastructure, which places a keen emphasis on regulatory efficiency. A well-structured property registration system has enabled its citizens time and cost savings on starting a business by minimizing confusion. Clear guidelines also ensure transparency at every step. The provision of law and order for all is another key instrument. With its efficient judicial system, Hong Kong SAR, China has ensured that any dispute gets a timely resolution. Lower corporate tax rates and easy tax filing policies have reduced the procedural and financial burden on businesses. Hong Kong has robust global ties, one of the key elements for its companies to gain international market access. Hence, it can be said that investing more in simplifying tax procedures and legal infrastructure can be a cornerstone for any country to improve its ease of doing business.
Shared Strategies of Success
Across these top performers, some common themes arise:
- Digital Transformation: All three top performers have incorporated digital tools to streamline processes, which enable individuals to save time and reduce human error.
- Transparent Regulations: More consistent and clear rules and regulations reduce indecision and encourage investors to take risks for new ventures.
- Trade and Investment Focus: Strategic alignment with global trade and financial practices ensures a competitive edge.
The strategies employed by New Zealand, Singapore, and Hong Kong SAR, China demonstrate how targeted reforms, efficiency, and innovation can push economies to the top of Ease of Doing Business rankings. Policymakers in other nations can draw inspiration from these examples to make a thriving, investor-friendly business environment that aids sustainable economic growth.
