name: Registering property: Procedures (number)

sourceNote: The time captures the median duration that property lawyers, notaries or registry officials indicate is necessary to complete a procedure. It is calculated in calendar days. The time estimates of all procedures are added to calculate the total time required to obtain transfer the property title, taking into account simultaneity of processes. It is assumed that the minimum time required for each procedure is one day, except for procedures that can be fully completed online, for which the time required is recorded as half a day.


Referenceperiod: Data are presented for the survey year instead of publication year.

name: Registering property: Procedures (number) - Score

value: Doing Business

sourceNote: The score for time benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


Developmentrelevance: Registered property rights are necessary to support investment, productivity and growth. Cadasters or surveys, together with land registries, are tools used around the world to map, prove and secure property and use rights. Keeping an up-to-date land information system is crucial as land and buildings account for between half and three-quarters of the wealth in most economies. Implementing an effective property registration system makes local owners more likely to invest in the economy. Formal property markets also increase domestic stability and decrease the likelihood of evictions in poor, urban areas, which is beneficial for employment and productivity.

Limitationsandexceptions: The Doing Business methodology has five limitations that should be considered when interpreting the data. First, for most economies the collected data refer to businesses in the largest business city and may not be representative of regulation in other parts of the economy. Second, the data often focus on a specific business form—generally a limited liability company (or its legal equivalent) of a specified size—and may not be representative of the regulation on other businesses. Third, transactions described in a standardized case scenario refer to a specific set of issues and may not represent the full set of issues that a business encounters. Fourth, the measures of time involve an element of judgment by the expert respondents. When sources indicate different estimates, the time indicators reported in Doing Business represent the median values of several responses given under the assumptions of the standardized case. Finally, the methodology assumes that a business has full information on what is required and does not waste time when completing procedures. In practice, completing a procedure may take longer if the business lacks information or is unable to follow up promptly. Alternatively, the business may choose to disregard some burdensome procedures. For both reasons the time delays reported in Doing Business would differ from the recollection of entrepreneurs reported in the World Bank Group Enterprise questionnaires or other firm-level questionnaires.

Longdefinition: The quality of land administration index is the sum of the reliability of infrastructure, transparency of information, geographic coverage, land dispute resolution and equal access to property rights. The score is computed based on the methodology in the DB17-20 studies.

Periodicity: Annual

Source: World Bank Group, Doing Business project (http://www.doingbusiness.org/).

Statisticalconceptandmethodology:
Data are collected by the World Bank Group with a standardized questionnaire that uses a simple business case to ensure comparability across economies and over time—with assumptions about the legal form of the business, its size, its location and nature of its operation. Questionnaires are administered to more than 13,800 local experts, including lawyers, business consultants, accountants, freight forwarders, government officials and other professionals routinely administering or advising on legal and regulatory requirements.

The Doing Business data are based on a detailed reading of domestic laws, regulations and administrative requirements as well as their implementation in practice as experienced by private firms. The report covers 190 economies—including some of the smallest and poorest economies, for which little or no data are available from other sources. The data are collected through several rounds of communication with expert respondents (both private sector practitioners and government officials), through responses to questionnaires, conference calls, written correspondence and visits by the team. Doing Business relies on four main sources of information: the relevant laws and regulations, Doing Business respondents, the governments of the economies covered and the World Bank Group regional staff.

Topic: Registering property

name: Registering property: Quality of land administration index (0-30) (DB17-20 methodology)


IndicatorName: Quality of land administration index (0-30) (DB17-20 methodology)

sourceNote: The quality of land administration index is the sum of the reliability of infrastructure, transparency of information, geographic coverage, land dispute resolution and equal access to property rights. The score is computed based on the methodology in the DB17-20 studies.


IndicatorName: Score-Quality of land administration index (0-30) (DB17-20 methodology)

Longdefinition: The score for the quality of land administration index benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.

name: Registering property: Quality of land administration index (0-30) (DB17-20 methodology) - Score


sourceNote: The score for the quality of land administration index benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.


IndicatorName: Rank-Registering property

Longdefinition: The ranking of economies on the ease of registering property is determined by sorting their scores for registering property.

Referenceperiod: Data are presented for the survey year instead of publication year. The country ranking is only available for the latest year.

name: Rank: Registering property (1=most business-friendly regulations)


sourceNote: The ranking of economies on the ease of registering property is determined by sorting their scores for registering property.


IndicatorName: Reliability of infrastructure index (0-8) (DB17-20 methodology)

Longdefinition: The reliability of infrastructure index assesses whether the land registry and cadaster have adequate infrastructure to guarantee high standards and reduce the risk of errors. It has six components: (i) how land titles are kept at the registry of the largest business city of the economy; (ii) whether there is an electronic database for checking for encumbrances; (iii) how maps of land plots are kept at the mapping agency of the largest business city of the economy; (iv) whether there is a geographic information system—an electronic database for recording boundaries, checking plans and providing cadastral information; (v) how the land ownership registry and mapping agency are linked; and (vi) how immovable property is identified. The index is computed based on the methodology in the DB17-20 studies.

name: Registering property: Reliability of infrastructure index (0-8) (DB16-20 methodology)


sourceNote: The reliability of infrastructure index assesses whether the land registry and cadaster have adequate infrastructure to guarantee high standards and reduce the risk of errors. It has six components: (i) how land titles are kept at the registry of the largest business city of the economy; (ii) whether there is an electronic database for checking for encumbrances; (iii) how maps of land plots are kept at the mapping agency of the largest business city of the economy; (iv) whether there is a geographic information system—an electronic database for recording boundaries, checking plans and providing cadastral information; (v) how the land ownership registry and mapping agency are linked; and (vi) how immovable property is identified. The index is computed based on the methodology in the DB17-20 studies.


IndicatorName: Transparency of information index (0-6) (DB17-20 methodology)

Longdefinition: The transparency of information index evaluates whether the land administration system makes land-related information publicly available. It has ten components: (i) whether information on land ownership is made publicly available; (ii) whether the list of documents required for completing the registration of property transactions is made publicly available; (iii) whether the fee schedule for completing the registration of property transactions is made publicly available; (iv) whether the agency in charge of immovable property registration commits to a specific time frame for delivering a legally binding document that proves property ownership; (v) whether there is a specific and independent mechanism for filing complaints about a problem that occurred at the agency in charge of immovable property registration; (vi) whether there are publicly available official statistics tracking the number of transactions at the immovable property registration agency; (vii) whether maps of land plots are made publicly available; (viii) whether the fee schedule for accessing maps is made publicly available; and (ix) whether the mapping agency commits to a specific time frame for delivering an updated map; and (x) whether there is a specific and independent mechanism for filing complaints about a problem that occurred at the mapping agency. The index is computed based on the methodology in the DB17-20 studies.

name: Registering property: Transparency of information index (0-6) (DB16-20 methodology)


sourceNote: The transparency of information index evaluates whether the land administration system makes land-related information publicly available. It has ten components: (i) whether information on land ownership is made publicly available; (ii) whether the list of documents required for completing the registration of property transactions is made publicly available; (iii) whether the fee schedule for completing the registration of property transactions is made publicly available; (iv) whether the agency in charge of immovable property registration commits to a specific time frame for delivering a legally binding document that proves property ownership; (v) whether there is a specific and independent mechanism for filing complaints about a problem that occurred at the agency in charge of immovable property registration; (vi) whether there are publicly available official statistics tracking the number of transactions at the immovable property registration agency; (vii) whether maps of land plots are made publicly available; (viii) whether the fee schedule for accessing maps is made publicly available; and (ix) whether the mapping agency commits to a specific time frame for delivering an updated map; and (x) whether there is a specific and independent mechanism for filing complaints about a problem that occurred at the mapping agency. The index is computed based on the methodology in the DB17-20 studies.


Starting a business - Score

Developmentrelevance: Where the rules are excessively burdensome, resource-constrained entrepreneurs might not have the opportunity to turn their ideas into a business. More generally, making it difficult to start a business may prevent an economy and its private sector from reaping the benefits of business formalization. In fact, a growing body of empirical research shows a positive correlation between business entry regulations and social and economic outcomes. Economies with high levels of formal entrepreneurship also benefit from higher levels of employment and enhanced economic growth. Moreover, as more businesses formalize, the tax base expands, which enables governments to spend on productivity-enhancing areas and pursue other social and economic policy objectives. Conversely, economies with overly cumbersome regulations for starting a business are associated with higher levels of informality and corruption as well as a smaller tax base.

IndicatorName: Score-Starting a business

Longdefinition: The score for starting a business is the simple average of the scores for each of the component indicators: the procedures, time and cost for an entrepreneur to start and formally operate a business, as well as the paid-in minimum capital requirement.

Topic: Starting a business


sourceNote: The score for starting a business is the simple average of the scores for each of the component indicators: the procedures, time and cost for an entrepreneur to start and formally operate a business, as well as the paid-in minimum capital requirement.


IndicatorName: Rank-Starting a business

Longdefinition: The ranking of economies on the ease of starting a business is determined by sorting their scores for starting a business.

name: Rank: Starting a business (1=most business-friendly regulations)


sourceNote: The ranking of economies on the ease of starting a business is determined by sorting their scores for starting a business.


Other taxes (% of profits)

Developmentrelevance: Governments need sustainable sources of funding for social programs and public investments to foster economic growth and development. The amount of the tax cost for businesses matters for investment and growth. Keeping tax rates at a reasonable level can encourage the development of the private sector and the formalization of businesses. Efficient tax administration can help encourage businesses to become formally registered, thereby expanding the tax base and increasing tax revenues.

IndicatorName: Other taxes (% of profit)

Longdefinition: The other taxes measures all other taxes and fees that are borne by the business in the second year of operation, expressed as a share of commercial pro?t. This includes property taxes, turnover taxes and other taxes (such as municipal fees and vehicle taxes).

Topic: Paying taxes


sourceNote: The other taxes measures all other taxes and fees that are borne by the business in the second year of operation, expressed as a share of commercial pro?t. This includes property taxes, turnover taxes and other taxes (such as municipal fees and vehicle taxes).


IndicatorName: Time to comply with a corporate income tax correction (hours) (DB17-20 methodology)

Longdefinition: The time to comply with a corporate income tax correction measures the time spent preparing and submitting the correction, and the time spent preparing information for the tax officers, if, in 25% or more of cases, a company that voluntarily reports an error in its CIT return and an underpayment of the tax due would be selected for additional review. The component indicator is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to comply with corporate income tax correction (hours) (DB17-20 methodology)


sourceNote: The time to comply with a corporate income tax correction measures the time spent preparing and submitting the correction, and the time spent preparing information for the tax officers, if, in 25% or more of cases, a company that voluntarily reports an error in its CIT return and an underpayment of the tax due would be selected for additional review. The component indicator is computed based on the methodology in the DB17-20 studies.


IndicatorName: Score-Time to comply with a corporate income tax correction (hours) (DB17-20 methodology)

Longdefinition: The score for time to comply with a corporate income tax correction benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to comply with corporate income tax correction (hours) (DB17-20 methodology) - Score


sourceNote: The score for time to comply with a corporate income tax correction benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.


Longdefinition: Time to complete a corporate income tax correction (weeks) (DB17-20 methodology) measures the time to complete a review by the tax authority including a formal tax audit if in 25% or more of cases, a company that voluntarily reports an error in its corporate income tax return and an underpayment of the tax due would be selected for additional review. The component indicator is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to complete a corporate income tax correction (weeks) (DB17-20 methodology)


sourceNote: Time to complete a corporate income tax correction (weeks) (DB17-20 methodology) measures the time to complete a review by the tax authority including a formal tax audit if in 25% or more of cases, a company that voluntarily reports an error in its corporate income tax return and an underpayment of the tax due would be selected for additional review. The component indicator is computed based on the methodology in the DB17-20 studies.


IndicatorName: Time to complete a corporate income tax correction (weeks) (DB17-20 methodology)


IndicatorName: Score-Time to complete a corporate income tax correction (weeks) (DB17-20 methodology)

Longdefinition: The score for time to complete with a corporate income tax correction benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to complete a corporate income tax correction (weeks) (DB17-20 methodology) - Score


sourceNote: The score for time to complete with a corporate income tax correction benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.


IndicatorName: Score-Paying taxes (DB06-16 methodology)

Longdefinition: The score for paying taxes is the simple average of the scores for each of the component indicators, the payments, time and total tax and contribution rate for a company to comply with tax laws in an economy. The score is computed based on the methodology in the DB06-16 studies.

name: Paying taxes (DB06-16 methodology) - Score


sourceNote: The score for paying taxes is the simple average of the scores for each of the component indicators, the payments, time and total tax and contribution rate for a company to comply with tax laws in an economy. The score is computed based on the methodology in the DB06-16 studies.


IndicatorName: Score-Paying taxes (DB17-20 methodology)

Longdefinition: The score for paying taxes is the simple average of the scores for each of the component indicators, the payments, time and total tax and contribution rate for a company to comply with tax laws in an economy, as well as the postfiling procedures to request and process a VAT refund claim and to comply with and complete a corporate income tax correction. The score is computed based on the methodology in the DB17-20 studies.

name: Paying taxes (DB17-20 methodology) - Score


sourceNote: The score for paying taxes is the simple average of the scores for each of the component indicators, the payments, time and total tax and contribution rate for a company to comply with tax laws in an economy, as well as the postfiling procedures to request and process a VAT refund claim and to comply with and complete a corporate income tax correction. The score is computed based on the methodology in the DB17-20 studies.


IndicatorName: Labor tax and contributions (% of profit)

Longdefinition: The labor tax and contributions measures all government mandated labor contributions that are borne by the business in the second year of operation, expressed as a share of commercial pro?t.

name: Paying taxes: Labor tax and contributions (% of profits)


sourceNote: The labor tax and contributions measures all government mandated labor contributions that are borne by the business in the second year of operation, expressed as a share of commercial pro?t.


IndicatorName: Score-Postfiling index (0-100) (DB17-20 methodology)

Longdefinition: The score for postfiling index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Postfiling index (0-100) (DB17-20 methodology) - Score


sourceNote: The score for postfiling index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.


Paying taxes: Profit tax (% of profits)

IndicatorName: Profit tax (% of profit)

Longdefinition: The profit tax measures the amount of income taxes borne by the business in the second year of operation, expressed as a share of commercial pro?t.


sourceNote: The profit tax measures the amount of income taxes borne by the business in the second year of operation, expressed as a share of commercial pro?t.


IndicatorName: Payments (number per year)

Longdefinition: The tax payments capture the total number of taxes and contributions paid, the method of payment, the frequency of payment, and the frequency of ?ling. It includes taxes withheld by the company, such as sales tax, VAT and employee-borne labor taxes.

name: Paying taxes: Payments (number per year)


sourceNote: The tax payments capture the total number of taxes and contributions paid, the method of payment, the frequency of payment, and the frequency of ?ling. It includes taxes withheld by the company, such as sales tax, VAT and employee-borne labor taxes.


IndicatorName: Score-Payments (number per year)

Longdefinition: The score for tax payments benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Paying taxes: Payments per year (number per year) - Score


sourceNote: The score for tax payments benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


IndicatorName: Rank-Paying taxes

Longdefinition: The ranking of economies on the ease of paying taxes is determined by sorting their scores for paying taxes.

name: Rank: Paying taxes (1=most business-friendly regulations)


sourceNote: The ranking of economies on the ease of paying taxes is determined by sorting their scores for paying taxes.


Paying taxes: Time (hours per year)

IndicatorName: Time (hours per year)

Longdefinition: The time to comply with tax laws measures the time taken to prepare, ?le and pay three major types of taxes and contributions: the corporate income tax, value added or sales tax and labor taxes, including payroll taxes and social contributions.


sourceNote: The time to comply with tax laws measures the time taken to prepare, ?le and pay three major types of taxes and contributions: the corporate income tax, value added or sales tax and labor taxes, including payroll taxes and social contributions.


IndicatorName: Score-Time (hours per year)

Longdefinition: The score for time to comply with tax laws benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Paying taxes: Time (hours per year) - Score


sourceNote: The score for time to comply with tax laws benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


Longdefinition: The total tax and contribution rate measures the amount of taxes and mandatory contributions borne by the business in the second year of operation, expressed as a share of commercial pro?t. The total amount of taxes and contributions borne is the sum of all the different taxes and contributions payable after accounting for allowable deductions and exemptions. The taxes withheld (such as personal income tax) or collected by the company and remitted to the tax authorities (such as VAT, sales tax or goods and service tax) but not borne by the company are excluded.

name: Paying taxes: Total tax and contribution rate (% of profit)


IndicatorName: Total tax and contribution rate (% of profit)

sourceNote: The total tax and contribution rate measures the amount of taxes and mandatory contributions borne by the business in the second year of operation, expressed as a share of commercial pro?t. The total amount of taxes and contributions borne is the sum of all the different taxes and contributions payable after accounting for allowable deductions and exemptions. The taxes withheld (such as personal income tax) or collected by the company and remitted to the tax authorities (such as VAT, sales tax or goods and service tax) but not borne by the company are excluded.


IndicatorName: Score-Total tax and contribution rate (% of profit)

Longdefinition: The score for total tax and contribution rate benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Paying taxes: Total tax and contribution rate (% of profit) - Score


sourceNote: The score for total tax and contribution rate benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


Longdefinition: The time to obtain VAT refund measures the time from purchase of the machine to the date of submission of the refund claim (this is equal to half the filing period), the length of any mandatory period that the excess output VAT must be carried forward before a claim can be made, and the time from the submission of the VAT refund claim to the date the refund is received. If a company that requests a VAT cash refund arising from a capital purchase would be selected for additional review in 50% or more of cases, the duration of the review is included in the time to obtain a VAT refund. The component indicator is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to obtain VAT refund (weeks) (DB17-20 methodology)


IndicatorName: Time to obtain VAT refund (weeks) (DB17-20 methodology)

sourceNote: The time to obtain VAT refund measures the time from purchase of the machine to the date of submission of the refund claim (this is equal to half the filing period), the length of any mandatory period that the excess output VAT must be carried forward before a claim can be made, and the time from the submission of the VAT refund claim to the date the refund is received. If a company that requests a VAT cash refund arising from a capital purchase would be selected for additional review in 50% or more of cases, the duration of the review is included in the time to obtain a VAT refund. The component indicator is computed based on the methodology in the DB17-20 studies.


IndicatorName: Score-Time to obtain VAT refund (weeks) (DB17-20 methodology)

Longdefinition: The score for time to obtain VAT refund benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to obtain VAT refund (weeks) (DB17-20 methodology) - Score


sourceNote: The score for time to obtain VAT refund benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.


Longdefinition: The time to comply with VAT refund measures the time spent preparing and submitting the refund claim and the time spent preparing information for the tax officers, if, in 50% or more of cases, a company that requests a VAT cash refund arising from a capital purchase would be selected for an additional review. The component indicator is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to comply with VAT refund (hours) (DB17-20 methodology)


IndicatorName: Time to comply with VAT refund (hours) (DB17-20 methodology)

sourceNote: The time to comply with VAT refund measures the time spent preparing and submitting the refund claim and the time spent preparing information for the tax officers, if, in 50% or more of cases, a company that requests a VAT cash refund arising from a capital purchase would be selected for an additional review. The component indicator is computed based on the methodology in the DB17-20 studies.


IndicatorName: Score-Time to comply with VAT refund (hours) (DB17-20 methodology)

Longdefinition: The score for time to comply with VAT refund benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.

name: Paying taxes: Time to comply with VAT refund (hours) (DB17-20 methodology) - Score


sourceNote: The score for time to comply with VAT refund benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB17-20 studies.


Developmentrelevance: Minority investors protection plays a crucial part in addressing many corporate governance issues. One of the most important problems in corporate governance is self-dealing—the use of corporate assets by company insiders for personal gain. Empirical research shows that stricter regulation of self-dealing is associated with greater equity investment and lower concentration of ownership. Corporate governance standards on board composition and independence, firm transparency and disclosure, and shareholders' rights relative to the board of directors and management can minimize the agency problem between majority and minority shareholders as well as that between minority shareholders and the board of directors and management.

IndicatorName: Score-Protecting minority investors (DB06-14 methodology)

Longdefinition: The score for protecting minority investors benchmarks economies with respect to the regulatory best practice on the indicator set. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-14 studies.

Topic: Protecting minority investors

name: Protecting minority investors (DB06-14 methodology) - Score


sourceNote: The score for protecting minority investors benchmarks economies with respect to the regulatory best practice on the indicator set. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-14 studies.


IndicatorName: Score-Protecting minority investors (DB15-20 methodology)

Longdefinition: The score for protecting minority investors benchmarks economies with respect to the regulatory best practice on the indicator set. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors (DB15-20 methodology) - Score


sourceNote: The score for protecting minority investors benchmarks economies with respect to the regulatory best practice on the indicator set. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.


Longdefinition: The ease of shareholder suits index measures how likely plaintiffs are to access internal corporate evidence. It has six components: (i) whether shareholders owning 10% of the company’s share capital have the right to inspect the Buyer-Seller transaction documents before filing a suit; (ii) whether shareholders owning 10% of the company’s share capital can request that a government inspector investigate the Buyer-Seller transaction without filing a suit; (iii) what range of documents is available to the shareholder plaintiff from the defendant and witnesses during trial; (iv) whether the plaintiff can obtain categories of relevant documents from the defendant without identifying each document specifically; (v) whether the plaintiff can directly examine the defendant and witnesses during trial (0-2); and (vi) whether the standard of proof for civil suits is lower than that for criminal cases. The index is computed based on the methodology in the DB06-14 studies.

name: Protecting minority investors: Ease of shareholder suits index (0-10) (DB06-14 methodology)


IndicatorName: Ease of shareholder suits index (0-10) (DB06-14 methodology)

sourceNote: The ease of shareholder suits index measures how likely plaintiffs are to access internal corporate evidence. It has six components: (i) whether shareholders owning 10% of the company’s share capital have the right to inspect the Buyer-Seller transaction documents before filing a suit; (ii) whether shareholders owning 10% of the company’s share capital can request that a government inspector investigate the Buyer-Seller transaction without filing a suit; (iii) what range of documents is available to the shareholder plaintiff from the defendant and witnesses during trial; (iv) whether the plaintiff can obtain categories of relevant documents from the defendant without identifying each document specifically; (v) whether the plaintiff can directly examine the defendant and witnesses during trial (0-2); and (vi) whether the standard of proof for civil suits is lower than that for criminal cases. The index is computed based on the methodology in the DB06-14 studies.


Longdefinition: The ease of shareholder suits index measures how likely plaintiffs are to access internal corporate evidence and recover legal expenses. It has six components: (i) whether shareholders owning 10% of the company’s share capital have the right to inspect the Buyer-Seller transaction documents before filing a suit. Alternatively, whether they can request that a government inspector investigate the Buyer-Seller transaction without filing a suit; (ii) what range of documents is available to the shareholder plaintiff from the defendant and witnesses during trial; (iii) whether the plaintiff can obtain categories of relevant documents from the defendant without identifying each document specifically; (iv) whether the plaintiff can directly examine the defendant and witnesses during trial; (v) whether the standard of proof for civil suits is lower than that for criminal cases; and (vi) whether shareholder plaintiffs can recover their legal expenses from the company. The index is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Ease of shareholder suits index (0-10) (DB15-20 methodology)


IndicatorName: Ease of shareholder suits index (0-10) (DB15-20 methodology)

sourceNote: The ease of shareholder suits index measures how likely plaintiffs are to access internal corporate evidence and recover legal expenses. It has six components: (i) whether shareholders owning 10% of the company’s share capital have the right to inspect the Buyer-Seller transaction documents before filing a suit. Alternatively, whether they can request that a government inspector investigate the Buyer-Seller transaction without filing a suit; (ii) what range of documents is available to the shareholder plaintiff from the defendant and witnesses during trial; (iii) whether the plaintiff can obtain categories of relevant documents from the defendant without identifying each document specifically; (iv) whether the plaintiff can directly examine the defendant and witnesses during trial; (v) whether the standard of proof for civil suits is lower than that for criminal cases; and (vi) whether shareholder plaintiffs can recover their legal expenses from the company. The index is computed based on the methodology in the DB15-20 studies.


IndicatorName: Score-Ease of shareholder suits index (0-10) (DB06-14 methodology)

Longdefinition: The score for ease of shareholder suits index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-14 studies.

name: Protecting minority investors: Ease of shareholder suits index (0-10) (DB06-14 methodology) - Score


sourceNote: The score for ease of shareholder suits index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-14 studies.


IndicatorName: Score-Ease of shareholder suits index (0-10) (DB15-20 methodology)

Longdefinition: The score for ease of shareholder suits index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Ease of shareholder suits index (0-10) (DB15-20 methodology) - Score


sourceNote: The score for ease of shareholder suits index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.


IndicatorName: Extent of disclosure index (0-10)

Longdefinition: The extent of disclosure index measures the approval and disclosure requirements of related-party transactions. It has five components: (i) whether it is the managing director alone, the board of directors, or the general meeting of shareholders the corporate body who can provide legally sufficient approval for the transaction (points are assigned depending on whether interested directors are permitted to vote or not); (ii) whether an external body (an independent auditor, for example) must review the transaction before it takes place; (iii) whether disclosure by Mr. James to the board of directors or the supervisory board is required; (iv) whether immediate disclosure of the transaction to the public, the regulator or the shareholders is required; and (v) whether disclosure in periodic filings (for example, annual reports) is required.

name: Protecting minority investors: Extent of disclosure index (0-10)


sourceNote: The extent of disclosure index measures the approval and disclosure requirements of related-party transactions. It has five components: (i) whether it is the managing director alone, the board of directors, or the general meeting of shareholders the corporate body who can provide legally sufficient approval for the transaction (points are assigned depending on whether interested directors are permitted to vote or not); (ii) whether an external body (an independent auditor, for example) must review the transaction before it takes place; (iii) whether disclosure by Mr. James to the board of directors or the supervisory board is required; (iv) whether immediate disclosure of the transaction to the public, the regulator or the shareholders is required; and (v) whether disclosure in periodic filings (for example, annual reports) is required.


Longdefinition: The extent of corporate transparency index measures the level of information that companies must share regarding their board members, senior executives, annual meetings and audits. This index has seven components: (i) whether Buyer must disclose direct and indirect beneficial ownership stakes representing 5%; (ii) whether Buyer must disclose information about board members’ primary employment and directorships in other companies; (iii) whether Buyer must disclose the compensation of individual managers; (iv) whether a detailed notice of general meeting must be sent 21 calendar days before the meeting; (v) whether shareholders representing 5% of Buyer’s share capital can put items on the general meeting agenda; (vi) whether Buyer’s annual financial statements must be audited by an external auditor; (vii) whether Buyer must disclose its audit reports to the public. The index is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Extent of corporate transparency index (0-7) (DB15-20 methodology)


IndicatorName: Extent of corporate transparency index (0-7) (DB15-20 methodology)

sourceNote: The extent of corporate transparency index measures the level of information that companies must share regarding their board members, senior executives, annual meetings and audits. This index has seven components: (i) whether Buyer must disclose direct and indirect beneficial ownership stakes representing 5%; (ii) whether Buyer must disclose information about board members’ primary employment and directorships in other companies; (iii) whether Buyer must disclose the compensation of individual managers; (iv) whether a detailed notice of general meeting must be sent 21 calendar days before the meeting; (v) whether shareholders representing 5% of Buyer’s share capital can put items on the general meeting agenda; (vi) whether Buyer’s annual financial statements must be audited by an external auditor; (vii) whether Buyer must disclose its audit reports to the public. The index is computed based on the methodology in the DB15-20 studies.


IndicatorName: Score-Extent of corporate transparency index (0-7) (DB15-20 methodology)

Longdefinition: The score for extent of corporate transparency index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Extent of corporate transparency index (0-7) (DB15-20 methodology) - Score


sourceNote: The score for extent of corporate transparency index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.


IndicatorName: Score-Extent of director liability index (0-10)

Longdefinition: The score for extent of director liability index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Protecting minority investors: Extent of director liability index (0-10) - Score


sourceNote: The score for extent of director liability index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


IndicatorName: Score-Extent of disclosure index (0-10)

Longdefinition: The score for extent of disclosure index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Protecting minority investors: Extent of disclosure index (0-10) - Score


sourceNote: The score for extent of disclosure index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


Longdefinition: The extent of ownership and control index measures the rules governing the structure and change in control of companies. This index has seven components: (i) whether the same individual cannot be appointed CEO and chairperson of the board of directors; (ii) whether the board of directors must include independent nonexecutive board members; (iii) whether shareholder can remove members of the board of directors without cause before the end of their term; (iv) whether the board of directors must have an audit committee; (v) whether a potential acquirer must make a tender offer to all shareholders upon acquiring 50% of Buyer; (vi) whether Buyer must pay declared dividends within a maximum period set by law; (vii) whether a subsidiary cannot acquire shares issued by its parent company. The index is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Extent of ownership and control index (0-7) (DB15-20 methodology)


IndicatorName: Extent of ownership and control index (0-7) (DB15-20 methodology)

sourceNote: The extent of ownership and control index measures the rules governing the structure and change in control of companies. This index has seven components: (i) whether the same individual cannot be appointed CEO and chairperson of the board of directors; (ii) whether the board of directors must include independent nonexecutive board members; (iii) whether shareholder can remove members of the board of directors without cause before the end of their term; (iv) whether the board of directors must have an audit committee; (v) whether a potential acquirer must make a tender offer to all shareholders upon acquiring 50% of Buyer; (vi) whether Buyer must pay declared dividends within a maximum period set by law; (vii) whether a subsidiary cannot acquire shares issued by its parent company. The index is computed based on the methodology in the DB15-20 studies.


IndicatorName: Score-Extent of ownership and control index (0-7) (DB15-20 methodology)

Longdefinition: The score for extent of ownership and control index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Extent of ownership and control index (0-7) (DB15-20 methodology) - Score


sourceNote: The score for extent of ownership and control index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.


Longdefinition: The extent of shareholder rights index measures the role of shareholders in key corporate decisions. It has six components: (i) whether the sale of 51% of Buyer’s assets requires shareholder approval; (ii) whether shareholders representing 10% of Buyer’s share capital have the right to call for a meeting of shareholders; (iii) whether Buyer must obtain its shareholders’ approval every time it issues new shares; (iv) whether shareholders automatically receive preemption rights when Buyer issues new shares; (v) whether shareholders elect and dismiss the external auditor; (vi) whether changes to the rights of a class of shares are only possible if the holders of the affected shares approve. The index is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Extent of shareholder rights index (0-6) (DB15-20 methodology)


IndicatorName: Extent of shareholder rights index (0-6) (DB15-20 methodology)

sourceNote: The extent of shareholder rights index measures the role of shareholders in key corporate decisions. It has six components: (i) whether the sale of 51% of Buyer’s assets requires shareholder approval; (ii) whether shareholders representing 10% of Buyer’s share capital have the right to call for a meeting of shareholders; (iii) whether Buyer must obtain its shareholders’ approval every time it issues new shares; (iv) whether shareholders automatically receive preemption rights when Buyer issues new shares; (v) whether shareholders elect and dismiss the external auditor; (vi) whether changes to the rights of a class of shares are only possible if the holders of the affected shares approve. The index is computed based on the methodology in the DB15-20 studies.


IndicatorName: Score-Extent of shareholder rights index (0-6) (DB15-20 methodology)

Longdefinition: The score for extent of shareholder rights index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Extent of shareholder rights index (0-6) (DB15-20 methodology) - Score


sourceNote: The score for extent of shareholder rights index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB15-20 studies.


Longdefinition: The extent of director liability index measures when board members can be held liable for harm caused by related-party transactions and what sanctions are available. It has seven components: (i) whether shareholders can sue directly or derivatively for the damage the transaction causes to the company; (ii) whether a shareholder plaintiff can hold Mr. James liable for the damage the Buyer-Seller transaction causes to the company; (iii) whether a shareholder plaintiff can hold other executives and directors (the CEO, members of the board of directors or members of the supervisory board) liable for the damage the transaction causes to the company; (iv) whether Mr. James pays damages for the harm caused to the company upon a successful claim by the shareholder plaintiff; (v) whether Mr. James repays profits made from the transaction upon a successful claim by the shareholder plaintiff; (vi) whether Mr. James is disqualified upon a successful claim by the shareholder plaintiff; and (vii) whether a court can void the transaction upon a successful claim by a shareholder plaintiff.

name: Protecting minority investors: Extent of director liability index (0-10)


IndicatorName: Extent of director liability index (0-10)

sourceNote: The extent of director liability index measures when board members can be held liable for harm caused by related-party transactions and what sanctions are available. It has seven components: (i) whether shareholders can sue directly or derivatively for the damage the transaction causes to the company; (ii) whether a shareholder plaintiff can hold Mr. James liable for the damage the Buyer-Seller transaction causes to the company; (iii) whether a shareholder plaintiff can hold other executives and directors (the CEO, members of the board of directors or members of the supervisory board) liable for the damage the transaction causes to the company; (iv) whether Mr. James pays damages for the harm caused to the company upon a successful claim by the shareholder plaintiff; (v) whether Mr. James repays profits made from the transaction upon a successful claim by the shareholder plaintiff; (vi) whether Mr. James is disqualified upon a successful claim by the shareholder plaintiff; and (vii) whether a court can void the transaction upon a successful claim by a shareholder plaintiff.


IndicatorName: Rank-Protecting minority investors

Longdefinition: The ranking of economies on the strength of minority shareholder protections is determined by sorting their scores for protecting minority investors.

name: Rank: Protecting minority investors (1=most business-friendly regulations)


sourceNote: The ranking of economies on the strength of minority shareholder protections is determined by sorting their scores for protecting minority investors.


IndicatorName: Strength of investor protection index (0-30) (DB06-14 methodology)

Longdefinition: The strength of investor protection index is the sum of the extent of disclosure index, extent of director liability index and ease of shareholder suits index. The index is computed based on the methodology in the DB06-14 studies.

name: Protecting minority investors: Strength of investor protection index (0-10) (DB06-14 methodology)


sourceNote: The strength of investor protection index is the sum of the extent of disclosure index, extent of director liability index and ease of shareholder suits index. The index is computed based on the methodology in the DB06-14 studies.


Longdefinition: The strength of minority investor protection index is the sum of the extent of disclosure index, extent of director liability index, ease of shareholder suits index, extent of shareholder rights index, extent of ownership and control index and extent of corporate transparency index. The index is computed based on the methodology in the DB15-20 studies.

name: Protecting minority investors: Strength of minority investor protection index (0-50) (DB15-20 methodology)


IndicatorName: Strength of minority investor protection index (0-50) (DB15-20 methodology)

sourceNote: The strength of minority investor protection index is the sum of the extent of disclosure index, extent of director liability index, ease of shareholder suits index, extent of shareholder rights index, extent of ownership and control index and extent of corporate transparency index. The index is computed based on the methodology in the DB15-20 studies.


Developmentrelevance: Keeping viable businesses operating is among the most important goals of insolvency systems. A good insolvency regime should inhibit the premature liquidation of sustainable businesses. It should also discourage lenders from issuing high-risk loans, and managers and shareholders from taking imprudent loans and making other reckless financial decisions. A firm suffering from poor management choices or a temporary economic downturn can still be turned around. When this happens, all stakeholders benefit. Creditors can recover a larger part of their investment, more employees keep their jobs and the network of suppliers and customers is preserved.

Longdefinition: The commencement of proceedings index has three components: (i) whether debtors can initiate both liquidation and reorganization proceedings; (ii) whether creditors can initiate both liquidation and reorganization proceedings; and (iii) what standard is used for commencement of insolvency proceedings.

Topic: Resolving insolvency

name: Resolving insolvency: Commencement of proceedings index (0-3) (DB15-20 methodology)


IndicatorName: Commencement of proceedings index (0-3) (DB15-20 methodology)

sourceNote: The commencement of proceedings index has three components: (i) whether debtors can initiate both liquidation and reorganization proceedings; (ii) whether creditors can initiate both liquidation and reorganization proceedings; and (iii) what standard is used for commencement of insolvency proceedings.


IndicatorName: Cost (% of estate)

Longdefinition: The cost to resolve insolvency is the cost of the proceedings is recorded as a percentage of the value of the debtor’s estate, including court fees and government levies, fees of insolvency administrators, auctioneers, assessors and lawyers, and all other fees and costs.

name: Resolving insolvency: Cost (% of estate)


sourceNote: The cost to resolve insolvency is the cost of the proceedings is recorded as a percentage of the value of the debtor’s estate, including court fees and government levies, fees of insolvency administrators, auctioneers, assessors and lawyers, and all other fees and costs.


Longdefinition: The creditor participation index has four components: (i) whether creditors appoint the insolvency representative or approve, ratify or reject the appointment of the insolvency representative; (ii) Whether creditors are required to approve the sale of substantial assets of the debtor in the course of insolvency proceedings; (iii) Whether an individual creditor has the right to access financial information about the debtor during insolvency proceedings; and (iv) Whether an individual creditor can object to a decision of the court or of the insolvency representative to approve or reject claims against the debtor brought by the creditor itself and by other creditors.

name: Resolving insolvency: Creditor participation index (0-4) (DB15-20 methodology)


IndicatorName: Creditor participation index (0-4) (DB15-20 methodology)

sourceNote: The creditor participation index has four components: (i) whether creditors appoint the insolvency representative or approve, ratify or reject the appointment of the insolvency representative; (ii) Whether creditors are required to approve the sale of substantial assets of the debtor in the course of insolvency proceedings; (iii) Whether an individual creditor has the right to access financial information about the debtor during insolvency proceedings; and (iv) Whether an individual creditor can object to a decision of the court or of the insolvency representative to approve or reject claims against the debtor brought by the creditor itself and by other creditors.


Resolving insolvency - Score

IndicatorName: Score-Resolving insolvency

Longdefinition: The score for resolving insolvency is the simple average of the scores for each of the component indicators: the recovery rate of insolvency proceedings involving domestic entities, as well as the strength of the legal framework applicable to judicial liquidation and reorganization proceedings.


sourceNote: The score for resolving insolvency is the simple average of the scores for each of the component indicators: the recovery rate of insolvency proceedings involving domestic entities, as well as the strength of the legal framework applicable to judicial liquidation and reorganization proceedings.


IndicatorName: Score-Recovery rate (cents on the dollar)

Longdefinition: The score for recovery rate benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Resolving insolvency: Recovery rate (cents on the dollar) - Score


sourceNote: The score for recovery rate benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


Resolving insolvency: Time (years)

IndicatorName: Time (years)

Longdefinition: The time to resolve insolvency captures the time for creditors to recover their credit and is recorded in calendar years. Potential delay tactics by the parties, such as the filing of dilatory appeals or requests for extension, are taken into consideration.


Longdefinition: The management of debtor's assets index has six components: (i) whether the debtor (or an insolvency representative on its behalf) can continue performing contracts essential to the debtor’s survival; (ii) whether the debtor (or an insolvency representative on its behalf) can reject overly burdensome contracts; (iii) whether undervalued transactions entered into before commencement of insolvency proceedings can be avoided after proceedings are initiated; (iv) whether transactions entered into before commencement of insolvency proceedings that give preference to one or several creditors can be avoided after proceedings are initiated; (v) whether the insolvency framework includes specific provisions that allow the debtor (or an insolvency representative on its behalf), after commencement of insolvency proceedings, to obtain financing necessary to function during the proceedings; and (vi) whether post-commencement finance receives priority over ordinary unsecured creditors during distribution of assets.

name: Resolving insolvency: Management of debtor's assets index (0-6) (DB15-20 methodology)


IndicatorName: Management of debtor's assets index (0-6) (DB15-20 methodology)

sourceNote: The management of debtor's assets index has six components: (i) whether the debtor (or an insolvency representative on its behalf) can continue performing contracts essential to the debtor’s survival; (ii) whether the debtor (or an insolvency representative on its behalf) can reject overly burdensome contracts; (iii) whether undervalued transactions entered into before commencement of insolvency proceedings can be avoided after proceedings are initiated; (iv) whether transactions entered into before commencement of insolvency proceedings that give preference to one or several creditors can be avoided after proceedings are initiated; (v) whether the insolvency framework includes specific provisions that allow the debtor (or an insolvency representative on its behalf), after commencement of insolvency proceedings, to obtain financing necessary to function during the proceedings; and (vi) whether post-commencement finance receives priority over ordinary unsecured creditors during distribution of assets.


Longdefinition: Outcome records whether the case study company emerges from the proceedings as a going concern (1) or its assets are sold piecemeal (0). If the business continues operating, 100% of the company value is preserved. If the assets are sold piecemeal, the maximum amount that can be recovered is 70% of the value of the company.

name: Resolving insolvency: Outcome (0 as piecemeal sale and 1 as going concern)


IndicatorName: Outcome (0 as piecemeal sale and 1 as going concern)

sourceNote: Outcome records whether the case study company emerges from the proceedings as a going concern (1) or its assets are sold piecemeal (0). If the business continues operating, 100% of the company value is preserved. If the assets are sold piecemeal, the maximum amount that can be recovered is 70% of the value of the company.


IndicatorName: Recovery rate (cents on the dollar)

Longdefinition: The recovery rate is recorded as cents on the dollar recovered by secured creditors through judicial reorganization, liquidation or debt enforcement (foreclosure or receivership) proceedings. The calculation takes into account the outcome: whether the business emerges from the proceedings as a going concern or the assets are sold piecemeal.

name: Resolving insolvency: Recovery rate (cents on the dollar)


sourceNote: The recovery rate is recorded as cents on the dollar recovered by secured creditors through judicial reorganization, liquidation or debt enforcement (foreclosure or receivership) proceedings. The calculation takes into account the outcome: whether the business emerges from the proceedings as a going concern or the assets are sold piecemeal.


IndicatorName: Score-Strength of insolvency framework index (0-16)

Longdefinition: The score for strength of insolvency framework index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.

name: Resolving insolvency: Strength of insolvency framework index (0-16) - Score


sourceNote: The score for strength of insolvency framework index benchmarks economies with respect to the regulatory best practice on the indicator. The score is indicated on a scale from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance.


IndicatorName: Rank-Resolving insolvency

Longdefinition: The ranking of economies on the ease of resolving insolvency is determined by sorting their scores for resolving insolvency.

name: Rank: Resolving insolvency (1=most business-friendly regulations)


sourceNote: The ranking of economies on the ease of resolving insolvency is determined by sorting their scores for resolving insolvency.


IndicatorName: Reorganization proceedings index (0-3) (DB15-20 methodology)

Longdefinition: The reorganization proceedings index has three components: (i) whether the reorganization plan is voted on only by the creditors whose rights are modified or affected by the plan; (ii) whether creditors entitled to vote on the plan are divided into classes, each class votes separately and the creditors within each class are treated equally; and (iii) whether the insolvency framework requires that dissenting creditors receive as much under the reorganization plan as they would have received in liquidation.


name: Reorganization proceedings index (0-3) (DB15-20 methodology)

sourceNote: The reorganization proceedings index has three components: (i) whether the reorganization plan is voted on only by the creditors whose rights are modified or affected by the plan; (ii) whether creditors entitled to vote on the plan are divided into classes, each class votes separately and the creditors within each class are treated equally; and (iii) whether the insolvency framework requires that dissenting creditors receive as much under the reorganization plan as they would have received in liquidation.


Longdefinition: The strength of insolvency framework index measures the legal framework applicable to judicial liquidation and reorganization proceedings and the extent to which best insolvency practices have been implemented in each economy covered by the Doing Business. This index ranges has four components, the commencement of proceedings index, management of debtor’s assets index, reorganization proceedings index and creditor participation index.

name: Resolving insolvency: Strength of insolvency framework index (0-16)


IndicatorName: Strength of insolvency framework index (0-16)

sourceNote: The strength of insolvency framework index measures the legal framework applicable to judicial liquidation and reorganization proceedings and the extent to which best insolvency practices have been implemented in each economy covered by the Doing Business. This index ranges has four components, the commencement of proceedings index, management of debtor’s assets index, reorganization proceedings index and creditor participation index.


Developmentrelevance: Access to international markets plays an important role in an economy’s development. Logistics and freight expenses, customs administrative fees and border costs have become important for small traders. While the significance of small and medium-size enterprises (SMEs) in the overall economy is widely recognized, until recently SMEs were largely absent from trade debates. Along with fixed entry costs, cumbersome border procedures and standards are major hurdles for SMEs. Given that SMEs account for the majority of firms and the vast majority of employment worldwide, encouraging government policies aimed at facilitating the participation of SMEs in trade is essential.

IndicatorName: Score-Trading across borders (DB06-15 methodology)

Longdefinition: Doing Business measures the time and cost associated with exporting and importing a standardized cargo of goods by sea transport. The time and cost necessary to complete 4 predefined stages (document preparation; customs clearance and inspections; inland transport and handling; and port and terminal handling) for exporting and importing the goods are recorded. All documents needed by the trader to export or import the goods across the border are also recorded. The process of exporting goods ranges from packing the goods into the container at the warehouse to their departure from the port of exit. The process of importing goods ranges from the vessel’s arrival at the port of entry to the cargo’s delivery at the warehouse. For landlocked economies, since the seaport is located in the transit economy, the time, cost and documents associated with the processes at the inland border are also included. The score for trading across borders is a simple average of the cost to export and import, time to export and import, and the number documents to export and import. It is computed based on the methodology in the DB06-15 studies.

Topic: Trading across borders

name: Trading across borders (DB06-15 methodology) - Score


sourceNote: Doing Business measures the time and cost associated with exporting and importing a standardized cargo of goods by sea transport. The time and cost necessary to complete 4 predefined stages (document preparation; customs clearance and inspections; inland transport and handling; and port and terminal handling) for exporting and importing the goods are recorded. All documents needed by the trader to export or import the goods across the border are also recorded. The process of exporting goods ranges from packing the goods into the container at the warehouse to their departure from the port of exit. The process of importing goods ranges from the vessel’s arrival at the port of entry to the cargo’s delivery at the warehouse. For landlocked economies, since the seaport is located in the transit economy, the time, cost and documents associated with the processes at the inland border are also included. The score for trading across borders is a simple average of the cost to export and import, time to export and import, and the number documents to export and import. It is computed based on the methodology in the DB06-15 studies.


IndicatorName: Score-Trading across borders (DB16-20 methodology)

Longdefinition: Doing Business measures the time and cost associated with three sets of procedures of exporting and importing goods —documentary compliance, border compliance and domestic transport—within the overall process of exporting or importing a shipment of goods. The score for trading across borders is the simple average of the scores for the time and cost for documentary compliance and border compliance to export and import. It is computed based on the methodology in the DB16-20 studies.

name: Trading across borders (DB16-20 methodology) - Score


sourceNote: Doing Business measures the time and cost associated with three sets of procedures of exporting and importing goods —documentary compliance, border compliance and domestic transport—within the overall process of exporting or importing a shipment of goods. The score for trading across borders is the simple average of the scores for the time and cost for documentary compliance and border compliance to export and import. It is computed based on the methodology in the DB16-20 studies.


IndicatorName: Time to export: Documentary compliance (hours) (DB16-20 methodology)

Longdefinition: The time for documentary compliance to export records the time associated with compliance with the export documentary requirements of all government agencies of the origin economy, the destination economy and any transit economies. It is calculated in hours.  It includes the time for obtaining documents; preparing documents; processing documents; presenting documents; and submitting documents. All electronic or paper submissions of information requested by any government agency in connection with the shipment are considered to be documents obtained, prepared and submitted during the export process. All documents prepared by the freight forwarder or customs broker for the product and partner pair assumed in the case study are included regardless of whether they are required by law or in practice. The component indicator is computed based on the methodology in the DB16-20 studies.


name: Time to export: Documentary compliance (hours) (DB16-20 methodology)

sourceNote: The time for documentary compliance to export records the time associated with compliance with the export documentary requirements of all government agencies of the origin economy, the destination economy and any transit economies. It is calculated in hours.  It includes the time for obtaining documents; preparing documents; processing documents; presenting documents; and submitting documents. All electronic or paper submissions of information requested by any government agency in connection with the shipment are considered to be documents obtained, prepared and submitted during the export process. All documents prepared by the freight forwarder or customs broker for the product and partner pair assumed in the case study are included regardless of whether they are required by law or in practice. The component indicator is computed based on the methodology in the DB16-20 studies.


Longdefinition: The number of documents to export records the number of documents required by law or common practice by relevant agencies per export shipment. All documents required by law or common practice by relevant agencies—including government ministries, customs authorities, port authorities and other control agencies—per export shipment are taken into account. For landlocked economies, documents required by authorities in the transit economy are also included. Since payment is by letter of credit, all documents required by banks for the issuance or securing of a letter of credit are also taken into account. Documents that are requested at the time of clearance but that are valid for a year or longer or do not require renewal per shipment (for example, an annual tax clearance certificate) are not included. Documents that are required by customs authorities purely for purposes of preferential treatment but are not required for any other purpose by any of the authorities in the process of trading are not included. The component indicator is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Documents to export (number) (DB06-15 methodology)


IndicatorName: Documents to export (number) (DB06-15 methodology)

sourceNote: The number of documents to export records the number of documents required by law or common practice by relevant agencies per export shipment. All documents required by law or common practice by relevant agencies—including government ministries, customs authorities, port authorities and other control agencies—per export shipment are taken into account. For landlocked economies, documents required by authorities in the transit economy are also included. Since payment is by letter of credit, all documents required by banks for the issuance or securing of a letter of credit are also taken into account. Documents that are requested at the time of clearance but that are valid for a year or longer or do not require renewal per shipment (for example, an annual tax clearance certificate) are not included. Documents that are required by customs authorities purely for purposes of preferential treatment but are not required for any other purpose by any of the authorities in the process of trading are not included. The component indicator is computed based on the methodology in the DB06-15 studies.


IndicatorName: Score-Documents to export (number) (DB06-15 methodology)

Longdefinition: The score for the number of documents to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Documents to export (number) (DB06-15 methodology) - Score


sourceNote: The score for the number of documents to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.


Longdefinition: The number of documents to import records the number of documents required by law or common practice by relevant agencies per import shipment. All documents required by law or common practice by relevant agencies—including government ministries, customs authorities, port authorities and other control agencies—per import shipment are taken into account. For landlocked economies, documents required by authorities in the transit economy are also included. Since payment is by letter of credit, all documents required by banks for the issuance or securing of a letter of credit are also taken into account. Documents that are requested at the time of clearance but that are valid for a year or longer or do not require renewal per shipment (for example, an annual tax clearance certificate) are not included. Documents that are required by customs authorities purely for purposes of preferential treatment but are not required for any other purpose by any of the authorities in the process of trading are not included. The component indicator is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Documents to import (number) (DB06-15 methodology)


IndicatorName: Documents to import (number) (DB06-15 methodology)

sourceNote: The number of documents to import records the number of documents required by law or common practice by relevant agencies per import shipment. All documents required by law or common practice by relevant agencies—including government ministries, customs authorities, port authorities and other control agencies—per import shipment are taken into account. For landlocked economies, documents required by authorities in the transit economy are also included. Since payment is by letter of credit, all documents required by banks for the issuance or securing of a letter of credit are also taken into account. Documents that are requested at the time of clearance but that are valid for a year or longer or do not require renewal per shipment (for example, an annual tax clearance certificate) are not included. Documents that are required by customs authorities purely for purposes of preferential treatment but are not required for any other purpose by any of the authorities in the process of trading are not included. The component indicator is computed based on the methodology in the DB06-15 studies.


IndicatorName: Score-Documents to import (number) (DB06-15 methodology)

Longdefinition: The score for the number of documents to import benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Documents to import (number) (DB06-15 methodology) - Score


sourceNote: The score for the number of documents to import benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.


IndicatorName: Time to export: Border compliance (hours) (DB16-20 methodology)

Longdefinition: The time for border compliance to export records the time associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the export shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calulcated in hours. The time for this segment includes time for customs clearance and inspection procedures conducted by other agencies. If all customs clearance and other inspections take place at the port or border at the same time, the time estimate for border compliance takes this simultaneity into account. The component indicator is computed based on the methodology in the DB16-20 studies.


name: Time to export: Border compliance (hours) (DB16-20 methodology)

sourceNote: The time for border compliance to export records the time associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the export shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calulcated in hours. The time for this segment includes time for customs clearance and inspection procedures conducted by other agencies. If all customs clearance and other inspections take place at the port or border at the same time, the time estimate for border compliance takes this simultaneity into account. The component indicator is computed based on the methodology in the DB16-20 studies.


Longdefinition: The cost for border compliance to export records the cost associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the export shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calculated in US dollars. The cost for this segment include the cost for customs clearance and inspection procedures conducted by other agencies. For example, the cost for conducting a phytosanitary inspection would be included here. Informal payments for which no receipt is issued are excluded from the costs recorded. The component indicator is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Cost to export: Border compliance (USD) (DB16-20 methodology)


IndicatorName: Cost to export: Border compliance (USD) (DB16-20 methodology)

sourceNote: The cost for border compliance to export records the cost associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the export shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calculated in US dollars. The cost for this segment include the cost for customs clearance and inspection procedures conducted by other agencies. For example, the cost for conducting a phytosanitary inspection would be included here. Informal payments for which no receipt is issued are excluded from the costs recorded. The component indicator is computed based on the methodology in the DB16-20 studies.


IndicatorName: Score-Cost to export: Border compliance (USD) (DB16-20 methodology)

Longdefinition: The score for the cost for border compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Cost to export: Border compliance (USD) (DB16-20 methodology) - Score


sourceNote: The score for the cost for border compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.


Longdefinition: The cost to export records the cost associated with exporting a standardized cargo of goods by sea transport through 4 predefined stages: document preparation; customs clearance and inspections; inland transport and handling; and port and terminal handling. It is calculated in US dollars per container deflated. Cost measures the fees levied on the export of goods in a 20-foot container, in US dollars. All fees charged by government agencies and the private sector to a trader in the process of exporting and importing the goods are taken into account. These include but are not limited to costs for documents, administrative fees for customs clearance and inspections, customs broker fees, port-related charges and inland transport costs. Only official costs are recorded. The component indicator is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Cost to export (US$ per container deflated) (DB06-15 methodology)


IndicatorName: Cost to export (US$ per container deflated) (DB06-15 methodology)

sourceNote: The cost to export records the cost associated with exporting a standardized cargo of goods by sea transport through 4 predefined stages: document preparation; customs clearance and inspections; inland transport and handling; and port and terminal handling. It is calculated in US dollars per container deflated. Cost measures the fees levied on the export of goods in a 20-foot container, in US dollars. All fees charged by government agencies and the private sector to a trader in the process of exporting and importing the goods are taken into account. These include but are not limited to costs for documents, administrative fees for customs clearance and inspections, customs broker fees, port-related charges and inland transport costs. Only official costs are recorded. The component indicator is computed based on the methodology in the DB06-15 studies.


IndicatorName: Score-Cost to export (US$ per container deflated) (DB06-15 methodology)

Longdefinition: The score for the cost to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Cost to export (US$ per container) (DB06-15 methodology) - Score


sourceNote: The score for the cost to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.


Longdefinition: The cost for documentary compliance to export records the cost associated with compliance with the export documentary requirements of all government agencies of the origin economy, the destination economy and any transit economies. It is calculated in UD dollars. The cost for documentary compliance includes the cost for obtaining, preparing, processing, presenting and submitting documents. Insurance cost and informal payments for which no receipt is issued are excluded from the costs recorded. The component indicator is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Cost to export: Documentary compliance (USD) (DB16-20 methodology)


IndicatorName: Cost to export: Documentary compliance (USD) (DB16-20 methodology)

sourceNote: The cost for documentary compliance to export records the cost associated with compliance with the export documentary requirements of all government agencies of the origin economy, the destination economy and any transit economies. It is calculated in UD dollars. The cost for documentary compliance includes the cost for obtaining, preparing, processing, presenting and submitting documents. Insurance cost and informal payments for which no receipt is issued are excluded from the costs recorded. The component indicator is computed based on the methodology in the DB16-20 studies.


IndicatorName: Score-Cost to export: Documentary compliance (USD) (DB16-20 methodology)

Longdefinition: The score for the cost for documentary compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Cost to export: Documentary compliance (USD) (DB16-20 methodology) - Score


sourceNote: The score for the cost for documentary compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.


IndicatorName: Time to export (days) (DB06-15 methodology)

Longdefinition: The time to export records the time associated with exporting a standardized cargo of goods by sea transport through 4 predefined stages: document preparation; customs clearance and inspections; inland transport and handling; and port and terminal handling. It is calculated in calendar days. The time calculation for each of the 4 predefined stages starts from the moment the stage is initiated and runs until it is completed. Fast-track procedures applying only to firms located in an export processing zone, or only to certain accredited firms under authorized economic operator programs, are not taken into account because they are not available to all trading companies. Sea transport time is not included. It is assumed that neither the exporter nor the importer wastes time and that each commits to completing the process without delay. It is assumed that document preparation, inland transport and handling, customs clearance and inspections, and port and terminal handling require a minimum time of 1 day each and cannot take place simultaneously. The component indicator is computed based on the methodology in the DB06-15 studies.


name: Time to export (days) (DB06-15 methodology)

sourceNote: The time to export records the time associated with exporting a standardized cargo of goods by sea transport through 4 predefined stages: document preparation; customs clearance and inspections; inland transport and handling; and port and terminal handling. It is calculated in calendar days. The time calculation for each of the 4 predefined stages starts from the moment the stage is initiated and runs until it is completed. Fast-track procedures applying only to firms located in an export processing zone, or only to certain accredited firms under authorized economic operator programs, are not taken into account because they are not available to all trading companies. Sea transport time is not included. It is assumed that neither the exporter nor the importer wastes time and that each commits to completing the process without delay. It is assumed that document preparation, inland transport and handling, customs clearance and inspections, and port and terminal handling require a minimum time of 1 day each and cannot take place simultaneously. The component indicator is computed based on the methodology in the DB06-15 studies.


IndicatorName: Score-Time to export: Border compliance (hours) (DB16-20 methodology)

Longdefinition: The score for the time for border compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Time to export: Border compliance (hours) (DB16-20 methodology) - Score


sourceNote: The score for the time for border compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.


IndicatorName: Score-Time to export: Documentary compliance (hours) (DB16-20 methodology)

Longdefinition: The score for the time for documentary compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Time to export: Documentary compliance (hours) (DB16-20 methodology) - Score


sourceNote: The score for the time for documentary compliance to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB16-20 studies.


IndicatorName: Score-Time to export (days) (DB06-15 methodology)

Longdefinition: The score for the time to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.

name: Trading across borders: Time to export (days) (DB06-15 methodology) - Score


sourceNote: The score for the time to export benchmarks economies with respect to the regulatory best practice on the indicator. The score ranges from 0 to 100, where 0 represents the worst regulatory performance and 100 the best regulatory performance, and is computed based on the methodology in the DB06-15 studies.


IndicatorName: Time to import: Border compliance (hours) (DB16-20 methodology)

Longdefinition: The time for border compliance to import records the time associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the import shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calculate in hours. The time for this segment includes time for customs clearance and inspection procedures conducted by other agencies. If all customs clearance and other inspections take place at the port or border at the same time, the time estimate for border compliance takes this simultaneity into account. The component indicator is computed based on the methodology in the DB16-20 studies.


name: Time to import: Border compliance (hours) (DB16-20 methodology)

sourceNote: The time for border compliance to import records the time associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the import shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calculate in hours. The time for this segment includes time for customs clearance and inspection procedures conducted by other agencies. If all customs clearance and other inspections take place at the port or border at the same time, the time estimate for border compliance takes this simultaneity into account. The component indicator is computed based on the methodology in the DB16-20 studies.


Longdefinition: The cost for border compliance to import records the cost associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the import shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calculated in US dollars. The cost for this segment include the cost for customs clearance and inspection procedures conducted by other agencies. For example, the cost for conducting a technical standard inspection would be included here. Informal payments for which no receipt is issued are excluded from the costs recorded. The component indicator is computed based on the methodology in the DB16-20 studies.

name: Trading across borders: Cost to import: Border compliance (USD) (DB16-20 methodology)


IndicatorName: Cost to import: Border compliance (USD) (DB16-20 methodology)

sourceNote: The cost for border compliance to import records the cost associated with compliance with the economy’s customs regulations and with regulations relating to other inspections that are mandatory in order for the import shipment to cross the economy’s border, as well as the time and cost for handling that takes place at its port or border. It is calculated in US dollars. The cost for this segment include the cost for customs clearance and inspection procedures conducted by other agencies. For example, the cost for conducting a technical standard inspection would be included here. Informal payments for which no receipt is issued are excluded from the costs recorded. The component indicator is computed based on the methodology in the DB16-20 studies.