Greece climbs competitiveness ladder

But country ranked only 96th out of 181 countries despite the improvement, says World Bank

By Stelios Bouras - Kathimerini English Edition

Greece is ranked only 96th out of 181 countries in an assessment of the competitiveness of economies, despite gaining 10 positions from last year, as it scored poorly on the number of steps required to set up a business, according to a World Bank report.

The report, which examines conditions that facilitate and obstruct business activity, gave Greece a lower score than almost all of its European Union peers.

Albania, the Former Yugoslav Republic of Macedonia (FYROM), Montenegro and Kazakhstan all scored better than Greece. Singapore topped the global list followed by New Zealand and the United States.

Changes that helped Greece climb 10 places in the last 12 months related to a reduction in the number of days needed to set up a company, the level of protection offered to investors, improved methods to pay taxes and the updating of bankruptcy laws.

“For this improvement to come about, the legislative amendments we introduced have played a major role in simplifying procedures to set up a limited liability company,” the Development Ministry said yesterday in response to the news.

However, Greece has one of the lowest scores in the world when it comes to its heavily regulated business start-up procedures. According to the World Bank, 15 separate procedures are needed to set up a business in Greece. Brunei and Uganda come next on the list with 18 procedures. In sharp contrast, entrepreneurs can start up their own venture in Canada and New Zealand with a single step.

The World Bank survey, titled Doing Business, assesses an array of issues important to small to medium-sized enterprises, including hiring workers, registering property and cross-border trading.

The Development Ministry said that it is preparing a bill that will reform laws governing the establishment of companies and trim red tape. “We are reducing bureaucratic procedures required to set up a company, while minimizing costs and creating a stable framework,” it said. sbouras@ekathimerini.com