A two member mission of the World Bank Group is visiting India to collect data and information for Doing Business Report, 2016. The members of the Mission are Ms. Nadine Abi-Chakra and Ms. Baria Nabil Daye. A kick start meeting was convened on 8th June, 2015 at 3:30 PM in Department of Economic Affairs (DEA), Ministry of Finance, North Block in chairmanship of Additional Secretary Shri Ajay Tyagi. The meeting was attended by the representative of DEA, the World Bank Group, Department of Industrial Policy and Promotion (DIPP), Ministry of Corporate Affairs (MCA) and Central Board of Direct Taxes (CBDT).

The mission briefed about the objective of their visit and their forthcoming interaction with respondents and government agencies. Shri Tyagi welcomed the Mission and impressed upon the importance given by Government of India to improving regulatory environment across India. Shri Shailendra Singh, Joint Secretary, DIPP briefed the Mission about following reforms carried out by the government:

1.   Requirement of minimum paid-up capital for companies removed.

2.   Requirement of common seal for companies removed.

3.   Requirement of filing declaration of commencement for companies removed.

4.   Single step incorporation of companies through INC-29 Form.

5.   Loans or guarantee to fully owned subsidiary company facilitated.

6.   Process to approve related party transaction made simpler.

7.   Board’s resolutions taken off the disclosure requirements facilitating better functioning of companies.

8.   Order to facilitate revival and rehabilitation of MSMEs issued.

9.   Customs Clearance Facilitation Committees (CCFCs) constituted at ports to facilitate expeditious clearance of goods.

10. Only three documents are required for exports and imports.

The Mission appreciated the efforts made by the Government and promised to take note of initiatives taken by Government of India and State Government.   

Company incorporation reforms streamline compliance and facilitate business entry; simplified trade documentation and MSME revival measures support market access. Reforms to company registration and corporate compliance were presented to World Bank representatives: removal of minimum paid-up capital and common seal requirements, abolition of commencement filing, and single-step incorporation via INC-29. Administrative simplifications include eased loans or guarantees to wholly owned subsidiaries, simplified related party transaction approvals, and removal of certain board resolutions from disclosure. Trade and MSME measures include orders for MSME revival, Customs Clearance Facilitation Committees at ports, and reduction of import-export documents to three.