View Topic Details
Research
The Regulation of Entry (PDF, 131KB), by Djankov and others, Quarterly Journal of Economics, Feb. 2002.
This topic identifies the bureaucratic and legal hurdles an entrepreneur must overcome to incorporate and register a new firm. It examines the procedures, time, and cost involved in launching a commercial or industrial firm with up to 50 employees and start-up capital of 10 times the economy's per-capita gross national income (GNI).
The table below shows the main indicators. They include:
The Regulation of Entry (PDF, 131KB), by Djankov and others, Quarterly Journal of Economics, Feb. 2002.
| Region or Economy | Procedures (number) | Time (days) | Cost (% of income per capita) | Min. capital (% of income per capita) |
|---|---|---|---|---|
| OECD | 5.7 | 13.0 | 4.7 | 15.5 |
| Eastern Europe & Central Asia | 6.7 | 17.4 | 8.3 | 21.5 |
| Middle East & North Africa | 7.9 | 20.7 | 34.1 | 129.7 |
| South Asia | 7.3 | 28.1 | 27.0 | 26.9 |
| East Asia & Pacific | 8.1 | 41.0 | 25.8 | 21.3 |
| Sub-Saharan Africa | 9.4 | 45.6 | 99.7 | 144.7 |
| Latin America & Caribbean | 9.5 | 61.7 | 36.6 | 2.9 |
| New Zealand | 1 | 1 | 0.4 | 0.0 |
| Australia | 2 | 2 | 0.8 | 0.0 |
| Georgia | 3 | 3 | 3.7 | 0.0 |
| Rwanda | 2 | 3 | 10.1 | 0.0 |
| Singapore | 3 | 3 | 0.7 | 0.0 |
| Belgium | 3 | 4 | 5.3 | 19.4 |
| Hungary | 4 | 4 | 8.0 | 10.2 |
| Macedonia, FYR | 4 | 4 | 2.5 | 0.0 |
| Albania | 5 | 5 | 17.0 | 0.0 |
| Canada | 1 | 5 | 0.4 | 0.0 |
| Iceland | 5 | 5 | 3.0 | 15.8 |
| Saudi Arabia | 4 | 5 | 7.7 | 0.0 |
| Belarus | 5 | 6 | 1.7 | 0.0 |
| Denmark | 4 | 6 | 0.0 | 38.6 |
| Hong Kong, China | 3 | 6 | 1.8 | 0.0 |
| Mauritius | 5 | 6 | 4.1 | 0.0 |
| Portugal | 6 | 6 | 6.4 | 33.5 |
| Qatar | 6 | 6 | 7.1 | 59.0 |
| Slovenia | 3 | 6 | 0.0 | 43.3 |
| Turkey | 6 | 6 | 14.2 | 9.5 |
| United States | 6 | 6 | 0.7 | 0.0 |
| Afghanistan | 4 | 7 | 30.2 | 0.0 |
| Egypt, Arab Rep. | 6 | 7 | 16.1 | 0.0 |
| Estonia | 5 | 7 | 1.7 | 23.2 |
| France | 5 | 7 | 0.9 | 0.0 |
| Madagascar | 2 | 7 | 7.1 | 0.0 |
| Norway | 5 | 7 | 1.9 | 18.7 |
| Puerto Rico | 7 | 7 | 0.7 | 0.0 |
| Cyprus | 6 | 8 | 13.3 | 0.0 |
| Jamaica | 6 | 8 | 5.3 | 0.0 |
| Senegal | 4 | 8 | 63.7 | 206.9 |
| Bahrain | 7 | 9 | 0.5 | 195.2 |
| Ethiopia | 5 | 9 | 18.9 | 492.4 |
| Iran, Islamic Rep. | 7 | 9 | 3.9 | 0.8 |
| Lebanon | 5 | 9 | 78.2 | 51.0 |
| Maldives | 5 | 9 | 10.0 | 4.0 |
| Samoa | 5 | 9 | 9.9 | 0.0 |
| Azerbaijan | 6 | 10 | 2.9 | 0.0 |
| Italy | 6 | 10 | 17.9 | 9.7 |
| Moldova | 8 | 10 | 7.0 | 11.4 |
| Netherlands | 6 | 10 | 5.6 | 49.4 |
| Romania | 6 | 10 | 2.9 | 0.9 |
| Kyrgyz Republic | 3 | 11 | 5.2 | 0.0 |
| Malaysia | 9 | 11 | 11.9 | 0.0 |
| St. Vincent and the Grenadines | 7 | 11 | 21.0 | 0.0 |
| Tunisia | 10 | 11 | 5.7 | 0.0 |
| Morocco | 6 | 12 | 16.1 | 11.8 |
| Oman | 5 | 12 | 2.2 | 273.6 |
| Panama | 6 | 12 | 10.3 | 0.0 |
| Sierra Leone | 6 | 12 | 118.8 | 0.0 |
| Yemen, Rep. | 6 | 12 | 83.0 | 0.0 |
| Ireland | 4 | 13 | 0.3 | 0.0 |
| Jordan | 8 | 13 | 49.5 | 19.9 |
| Mexico | 8 | 13 | 11.7 | 8.9 |
| Mongolia | 7 | 13 | 3.0 | 44.0 |
| Montenegro | 12 | 13 | 2.6 | 0.0 |
| Serbia | 7 | 13 | 7.1 | 6.1 |
| United Kingdom | 6 | 13 | 0.7 | 0.0 |
| Burkina Faso | 4 | 14 | 50.3 | 428.2 |
| Dominica | 5 | 14 | 22.6 | 0.0 |
| Finland | 3 | 14 | 0.9 | 7.2 |
| Honduras | 13 | 14 | 47.3 | 17.3 |
| Korea, Rep. | 8 | 14 | 14.7 | 0.0 |
| St. Lucia | 5 | 14 | 21.8 | 0.0 |
| Armenia | 6 | 15 | 2.6 | 0.0 |
| Czech Republic | 8 | 15 | 9.2 | 30.5 |
| Mali | 7 | 15 | 89.2 | 334.6 |
| Sweden | 3 | 15 | 0.6 | 28.5 |
| United Arab Emirates | 8 | 15 | 6.2 | 0.0 |
| Uzbekistan | 7 | 15 | 11.2 | 13.8 |
| Latvia | 5 | 16 | 2.1 | 14.2 |
| Micronesia, Fed. Sts. | 7 | 16 | 136.9 | 0.0 |
| Slovak Republic | 6 | 16 | 2.0 | 23.8 |
| El Salvador | 8 | 17 | 38.7 | 2.9 |
| Marshall Islands | 5 | 17 | 16.2 | 0.0 |
| Niger | 9 | 17 | 118.7 | 613.7 |
| Syrian Arab Republic | 7 | 17 | 27.8 | 1,012.5 |
| Bulgaria | 4 | 18 | 1.7 | 20.7 |
| Germany | 9 | 18 | 4.7 | 0.0 |
| Zambia | 6 | 18 | 28.4 | 1.3 |
| Dominican Republic | 8 | 19 | 17.3 | 0.0 |
| Greece | 15 | 19 | 10.9 | 21.4 |
| Mauritania | 9 | 19 | 34.7 | 450.4 |
| Colombia | 9 | 20 | 12.8 | 0.0 |
| Grenada | 6 | 20 | 24.6 | 0.0 |
| Kazakhstan | 7 | 20 | 4.8 | 13.4 |
| Liberia | 5 | 20 | 52.9 | 0.0 |
| Pakistan | 10 | 20 | 5.8 | 0.0 |
| Switzerland | 6 | 20 | 2.0 | 26.4 |
| Antigua and Barbuda | 8 | 21 | 9.6 | 0.0 |
| Kiribati | 6 | 21 | 38.0 | 20.5 |
| Central African Republic | 8 | 22 | 244.9 | 507.1 |
| Croatia | 7 | 22 | 8.4 | 13.4 |
| South Africa | 6 | 22 | 5.9 | 0.0 |
| Japan | 8 | 23 | 7.5 | 0.0 |
| Taiwan, China | 6 | 23 | 3.9 | 0.0 |
| Algeria | 14 | 24 | 12.1 | 31.0 |
| Cape Verde | 9 | 24 | 17.0 | 38.9 |
| Comoros | 11 | 24 | 182.1 | 261.8 |
| Luxembourg | 6 | 24 | 1.8 | 19.9 |
| Tajikistan | 12 | 25 | 24.3 | 9.9 |
| Tonga | 4 | 25 | 8.2 | 0.0 |
| Uganda | 18 | 25 | 84.4 | 0.0 |
| Lithuania | 7 | 26 | 2.4 | 31.1 |
| Mozambique | 10 | 26 | 19.3 | 0.0 |
| Argentina | 15 | 27 | 11.0 | 2.9 |
| Chile | 9 | 27 | 6.9 | 0.0 |
| Gambia, the | 8 | 27 | 215.1 | 0.0 |
| Ukraine | 10 | 27 | 5.8 | 153.5 |
| Austria | 8 | 28 | 5.1 | 52.0 |
| Palau | 8 | 28 | 4.3 | 11.6 |
| Guatemala | 11 | 29 | 45.4 | 23.5 |
| Tanzania | 12 | 29 | 36.8 | 0.0 |
| India | 13 | 30 | 66.1 | 210.9 |
| Russian Federation | 9 | 30 | 2.7 | 1.8 |
| Bahamas, the | 7 | 31 | 8.5 | 0.0 |
| Benin | 7 | 31 | 155.5 | 290.8 |
| Nepal | 7 | 31 | 53.6 | 0.0 |
| Nigeria | 8 | 31 | 76.7 | 0.0 |
| Burundi | 11 | 32 | 151.6 | 0.0 |
| Poland | 6 | 32 | 17.9 | 15.3 |
| Thailand | 7 | 32 | 6.3 | 0.0 |
| Ghana | 8 | 33 | 26.4 | 13.4 |
| Cameroon | 12 | 34 | 121.1 | 182.9 |
| Guyana | 8 | 34 | 32.8 | 0.0 |
| Israel | 5 | 34 | 4.2 | 0.0 |
| Kenya | 12 | 34 | 36.5 | 0.0 |
| Kuwait | 13 | 35 | 1.0 | 59.2 |
| Paraguay | 7 | 35 | 56.7 | 0.0 |
| Sudan | 10 | 36 | 36.0 | 0.0 |
| China | 14 | 37 | 4.9 | 130.9 |
| Congo, Rep. | 10 | 37 | 86.5 | 96.5 |
| Djibouti | 11 | 37 | 195.1 | 500.5 |
| Seychelles | 9 | 38 | 7.3 | 0.0 |
| Sri Lanka | 4 | 38 | 5.9 | 0.0 |
| Malawi | 10 | 39 | 108.0 | 0.0 |
| Nicaragua | 6 | 39 | 111.7 | 0.0 |
| Vanuatu | 8 | 39 | 42.0 | 0.0 |
| Côte d'Ivoire | 10 | 40 | 133.3 | 204.9 |
| Lesotho | 7 | 40 | 27.0 | 11.9 |
| Guinea | 13 | 41 | 139.2 | 489.7 |
| Peru | 9 | 41 | 24.5 | 0.0 |
| Trinidad and Tobago | 9 | 43 | 0.7 | 0.0 |
| Bangladesh | 7 | 44 | 36.2 | 0.0 |
| Belize | 9 | 44 | 50.6 | 0.0 |
| St. Kitts and Nevis | 8 | 45 | 11.9 | 0.0 |
| Bhutan | 8 | 46 | 8.0 | 0.0 |
| Fiji | 8 | 46 | 25.3 | 0.0 |
| Spain | 10 | 47 | 15.0 | 12.8 |
| West Bank and Gaza | 11 | 49 | 55.0 | 220.4 |
| Bolivia | 15 | 50 | 99.2 | 2.5 |
| Vietnam | 11 | 50 | 13.3 | 0.0 |
| Kosovo | 9 | 52 | 43.3 | 169.5 |
| Philippines | 15 | 52 | 28.2 | 5.5 |
| Papua New Guinea | 8 | 56 | 20.5 | 0.0 |
| Solomon Islands | 7 | 57 | 52.7 | 0.0 |
| Gabon | 9 | 58 | 17.8 | 26.5 |
| Bosnia and Herzegovina | 12 | 60 | 15.8 | 29.8 |
| Costa Rica | 12 | 60 | 20.0 | 0.0 |
| Indonesia | 9 | 60 | 26.0 | 59.7 |
| Botswana | 10 | 61 | 2.1 | 0.0 |
| Swaziland | 13 | 61 | 33.9 | 0.5 |
| Ecuador | 13 | 64 | 37.7 | 10.6 |
| Uruguay | 11 | 65 | 40.0 | 0.0 |
| Namibia | 10 | 66 | 20.4 | 0.0 |
| Angola | 8 | 68 | 151.1 | 29.0 |
| Chad | 19 | 75 | 176.7 | 369.3 |
| Togo | 7 | 75 | 205.0 | 514.0 |
| Iraq | 11 | 77 | 75.9 | 30.3 |
| Timor-Leste | 10 | 83 | 4.1 | 202.9 |
| Eritrea | 13 | 84 | 76.5 | 297.0 |
| Cambodia | 9 | 85 | 138.4 | 36.6 |
| Zimbabwe | 10 | 96 | 499.5 | 0.0 |
| Lao PDR | 7 | 100 | 12.3 | 0.0 |
| Brunei Darussalam | 18 | 116 | 9.8 | 0.0 |
| Brazil | 16 | 120 | 6.9 | 0.0 |
| Equatorial Guinea | 20 | 136 | 100.4 | 12.4 |
| Venezuela, R.B. | 16 | 141 | 24.0 | 0.0 |
| São Tomé and Principe | 10 | 144 | 81.7 | 0.0 |
| Congo, Dem. Rep. | 13 | 149 | 391.0 | 0.0 |
| Haiti | 13 | 195 | 227.9 | 22.4 |
| Guinea-Bissau | 16 | 213 | 323.0 | 779.9 |
| Suriname | 13 | 694 | 112.8 | 0.7 |