Russia and India climb World Bank’s Doing Business rankings

Russia and India have emerged as two of the biggest winners in the World Bank’s latest Doing Business rankings, with the institution labelling Moscow an easier place to conduct business than Brussels or Rome, despite the spectre of international sanctions and concerns over corruption.

The latest version of the often criticised Doing Business report, released on Tuesday, marks Russia as the 35th easiest place in the world to do business, just one place below Japan and ahead of almost a dozen EU member states including Italy and Belgium.

India has soared from 130 out of 190 in last year’s report to 100th in the world this year, with the bank listing it as one of the 10 most improved economies thanks to a reform push by prime minister Narendra Modi’s government.

Both countries’ progress reflects government focus on the bank’s rankings as a guide for economic reform. But bank officials concede it also illustrates the potential pitfalls of the rankings and how countries can game a system that does not measure other business barriers, such as corruption.

Vladimir Putin, Russia’s president, in 2012 ordered the government to improve its Doing Business ranking from 118th that year to 50th by 2015 and 20th in 2018. Similarly Mr Modi has won praise from Jim Yong Kim, the World Bank president, for seizing on India’s poor ranking as an impetus for reform.