India

Ease of Doing Business in

India

This page summarizes Doing Business 2016 data for India. The first section presents the Ease of Doing Business rank (out of 189 economies) and the distance to frontier (DTF)** measure, overall and by topic. The second section summarizes the key indicators for each topic benchmarked against regional averages.

Economy Overview

 
Region South Asia
Income Category Lower middle income
Population 1,267,401,849
GNI Per Capita (US$) 1,610
City covered Mumbai, Delhi
Doing Business 2016 Rank Doing Business 2015 Rank
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DOING BUSINESS 2015 RANK

Last year's rankings are adjusted. They are based on 10 topics and reflect data corrections.

Change in Rank
130 134 down 4

Doing Business 2016 DTF (% points)
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DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

Doing Business 2015 DTF (% points)
X

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

Change in DTF (% points)
X

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

54.68 52.67 down 2.01
Positive=Doing Business reform making it easier to do business. Negative=Change making it more difficult to do business.

Doing Business Resources

India Profile Economy Profile

Download economy profile for India

1928.2KB pdf file

Subnational Data


Viewing the data for

Starting a Business

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Starting a Business

The steps of launching a business are shown below. Included are: the number of procedures entrepreneurs can expect to go through to start up and formally operate an industrial or commercial business, as well as the time and cost to complete these procedures and the paid-in minimum capital requirement as a percentage of gross national income (GNI) per capita.

DB 2016 DTF (% points)
X

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

71.59 DB 2015 DTF (% points)
X

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

61.65 Change in DTF (% points)
X

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

up9.94

Information on new business density and number of newly created firms with limited liability can be found at Entrepreneurship Database.

Indicator Mumbai South Asia OECD high income
Procedures (number)
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Procedures (number)

The total number of procedures required to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

View methodology

14 7.9 4.7
Time (days)
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Time (days)

The total number of days required to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

View methodology

29.0 15.7 8.3
Cost (% of income per capita)
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Cost (% of income per capita)

Cost is recorded as a percentage of the economy’s income per capita. It includes all official fees and fees for legal or professional services if such services are required by law.

View methodology

17.0 14.0 3.2
Paid-in min. capital (% of income per capita)
X

Paid-in min. capital (% of income per capita)

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

View methodology

0.0 0.2 9.6
No. Procedure Time to Complete Associated Costs
1 Obtain a digital signature certificate 1-3 days INR 700 to INR 2,500 per Digital Signature Certificate
2 Obtain director identification number (DIN) online 1 day INR 500 per DIN
3 Reserve the company name with the Registrar of Companies (ROC) online 2-7 days INR 1,000
4 Pay stamp duties online, file all incorporation forms and documents online and obtain the certificate of incorporation 5 days on average see comments
* 5 Make a company seal and stamp 1 day (simultaneous with previous procedure) INR 350-500
6 Obtain a Permanent Account Number (PAN) from an authorized franchise or agent appointed by National Securities Depository Services Limited (NSDL) or Unit Trust of India (UTI) 7-10 days INR 93
7 Open a bank account 2-4 days no charge
* 8 Register with Employees' Provident Fund Organization 12 days, simultaneous with previous procedure no charge
* 9 Register for VAT online 10 days, simultaneous with previous procedure INR 500 (Registration Fee) + INR 25 (Stamp Duty) for compulsory VAT registration
* 10 Register for medical insurance (ESIC) 9 days, simultaneous with previous procedure no charge
* 11 Obtain a tax account number for income taxes deducted at source from the Assessing Office in the Mumbai Income Tax Department 7 days, simultaneous with previous procedure INR 55 application fee
* 12 Register with Office of Inspector, Mumbai Shops and Establishment Act 2 days, simultaneous with previous procedure INR 1,200 (registration fee) + 3 times registration fee for Trade Refuse Charges (INR 3,600)
* 13 Receive inspection and obtain the Shops and Establishments registration certificate 2-6 days, simultaneous with previous procedure no charge
* 14 Register for profession tax 2 days, simultaneous with previous procedure no charge
  * Takes place simultaneously with another procedure.

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