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Ease of Doing Business Ranking: BRAP 2020

  • 01 Jul 2022
  • 3 min read

Why in News?

Recently, the Ministry of Commerce and Industry has released a Ease of Doing Business (EoDB) Ranking, which is based on Business Reforms Action Plan (BRAP) report 2020.

What is the Ranking all About?

  • Aim:
    • To boost investor confidence, foster a business-friendly climate and augment the ease of doing business across the country by introducing an element of healthy competition through a system of assessing states based on their performance in the BRAP.
  • Parameters:
    • The parameters include various areas, such as construction permit, labour regulation, environmental registration, access to information, land availability and single window system.

What are the Findings of the EoDB?

  • Top Achievers:
    • Seven states - Andhra Pradesh, Gujarat, Haryana, Karnataka, Punjab, Telangana and Tamil Nadu - were categorised as 'top achievers' in the Ease of Doing Business ranking of states and union territories.
  • Achievers:
    • Himachal Pradesh, Uttar Pradesh, Odisha, and Madhya Pradesh are the other states categorised as achievers in the ranking.
  • Emerging Business Ecosystems:
    • Six states - Manipur, Meghalaya, Nagaland, Tripura, Puducherry and Jammu and Kashmir - were 'emerging business ecosystems'.
  • Aspirers:
    • Seven states - Goa, Assam, Kerala, Rajasthan, Jharkhand, Chhattisgarh and Bengal - were categorised as 'Aspirers'.

What is BRAP?

  • About:
    • It was launched in 2015.
    • The Ease of Doing Business Index is based on BRAP.
    • It was introduced to encourage a healthy competition between states.
    • This would help in attracting investments and increasing Ease of Doing Business in each State.
    • The Department for Promotion of Industry and Internal Trade (DPIIT), since 2014, has been assessing states/UTs based on their performance in the implementation of prescribed reforms in the BRAP exercise.
    • So far, assessments of states/UTs have been released for the years 2015, 2016, 2017-18, 2019 and 2022.
  • BRAP 2020:
    • The report includes 301 reform points that cover 15 business regulatory areas like access to information, single window system, labour, environment, sectoral reforms and other reforms spanning the life cycle of a typical business.
    • Sectoral reforms have been introduced for the first time in BRAP 2020 wherein 72 reforms were identified across 9 sectors, namely, trade licence, healthcare, legal metrology, cinema halls, hospitality, fire NOC, telecom, movie shooting and tourism.

Source: HT

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