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Ease of Doing Business in

Eritrea

Eritrea Download Profile (1658.3KB, pdf)
Region Sub-Saharan Africa
Income Category Low income
Population 5,227,791
GNI Per Capita (US$) 591
City covered Asmara

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 189 189
0
28.05 27.94 down
0.11
Starting a Business 186 185 down
1
46.36 46.16 up
0.20
Dealing with Construction Permits 187 186 down
1
0.00 0.00
-
Getting Electricity 141 145 up
4
54.33 53.43 up
0.90
Registering Property 178 178
-
35.26 35.26
-
Getting Credit 185 185
-
0.00 0.00
-
Protecting Minority Investors 165 166 up
1
35.00 35.00
-
Paying Taxes 147 144 down
3
56.82 56.82
-
Trading across Borders 189 189
-
0.00 0.00
-
Enforcing Contracts 121 121
-
52.75 52.75
-
Resolving Insolvency 169 169
-
0.00 0.00
-

DB 2017 Rank: 169

DB 2016 Rank: 169

Change in Rank: 0

DB 2017 DTF (% points): 0.00

DB 2016 DTF (% points): 0.00

Change in DTF (% points): 0.00

Indicator Eritrea Sub-Saharan Africa OECD high income
Recovery rate (cents on the dollar) info_outline 0.0 20.1 73.0
Time (years) info_outline no practice 2.2 1.7
Cost (% of estate) info_outline no practice 18.0 9.1
Outcome (0 as piecemeal sale and 1 as going concern) info_outline no practice 0 1
Strength of insolvency framework index (0-16) info_outline 0.0 6.2 12.1
  • Indicator Explanation Answer
    Recovery rate (cents on the dollar) 0.0
    Proceeding According to the research conducted by the team, there were no foreclosure, liquidation or reorganization proceedings filed in the country in the last 12 months. Due to this circumstance, it is not possible to assess the time, the cost or the outcome associated with the insolvency scenario described in the case study. No Practice
    Outcome According to the research conducted by the team, there were no foreclosure, liquidation or reorganization proceedings filed in the country in the last 12 months. Due to this circumstance, it is not possible to assess the time, the cost or the outcome associated with the insolvency scenario described in the case study. No Practice
    Time (in years) According to the research conducted by the team, there were no foreclosure, liquidation or reorganization proceedings filed in the country in the last 12 months. Due to this circumstance, it is not possible to assess the time, the cost or the outcome associated with the insolvency scenario described in the case study. No Practice
    Cost (% of estate) According to the research conducted by the team, there were no foreclosure, liquidation or reorganization proceedings filed in the country in the last 12 months. Due to this circumstance, it is not possible to assess the time, the cost or the outcome associated with the insolvency scenario described in the case study. No Practice
    Answer Score
    Strength of insolvency framework index (0-16) 0.0
    Commencement of proceedings index (0-3) 2.0
    What procedures are available to a DEBTOR when commencing insolvency proceedings? (b) Debtor may file for liquidation only 0.5
    Does the insolvency framework allow a CREDITOR to file for insolvency of the debtor? (b) Yes, but a creditor may file for liquidation only 0.5
    What basis for commencement of the insolvency proceedings is allowed under the insolvency framework? (a) Debtor is generally unable to pay its debts as they mature 1.0
    Management of debtor's assets index (0-6) 4.0
    Does the insolvency framework allow the continuation of contracts supplying essential goods and services to the debtor? No 0.0
    Does the insolvency framework allow the rejection by the debtor of overly burdensome contracts? No 0.0
    Does the insolvency framework allow avoidance of preferential transactions? Yes 1.0
    Does the insolvency framework allow avoidance of undervalued transactions? Yes 1.0
    Does the insolvency framework provide for the possibility of the debtor obtaining credit after commencement of insolvency proceedings? Yes 1.0
    Does the insolvency framework assign priority to post-commencement credit? (b) Yes over ordinary unsecured creditors but not over secured creditors 1.0
    Reorganization proceedings index (0-3) 0.0
    Which creditors vote on the proposed reorganization plan? N/A 0.0
    Does the insolvency framework require that dissenting creditors in reorganization receive at least as much as what they would obtain in a liquidation? No 0.0
    Are the creditors devided into classes for the purposes of voting on the reorganization plan, does each class vote separately and are creditors in the same class treated equally? No 0.0
    Creditor participation index (0-4) 1.0
    Does the insolvency framework require approval by the creditors for selection or appointment of the insolvency representative? No 0.0
    Does the insolvency framework require approval by the creditors for sale of substantial assets of the debtor? No 0.0
    Does the insolvency framework provide that a creditor has the right to request information from the insolvency representative? No 0.0
    Does the insolvency framework provide that a creditor has the right to object to decisions accepting or rejecting creditors' claims? Yes 1.0

Note: Even if the economy’s legal framework includes provisions related to insolvency proceedings (liquidation or reorganization), the economy receives 0 points for the strength of insolvency framework index, if time, cost and outcome indicators are recorded as “no practice”.