The World Bank’s Investment Climate Department (CIC) has reviewed the recent literature on the relationship between restrictive regulation, corruption and business environment reforms, finding that corruption is positively correlated with restrictive regulation.
NPR story cited World Bank report
In the report, "Iraq's Shaky Economy Poses Threat to Future," NPR cites The World Bank's Doing Business report that ranks economies based on the ease of doing business in particular countries:
The process of setting up a business in Iraq requires 11 procedures,
IFC chief executive Lars Thunell is in Delhi this week, attending the World Economic Forum's India Economic Summit. Thunell is looking to boost the IFC's capital base by $2.4bn, much of which will be dedicated to the world's poorest countries and regions, including India.
The 2006 and 2007 Doing Business reports both found that Armenia has been reforming in the area of credit. Armenian lenders can now rely on a credit registry when deciding on loan applications. But have these reforms really had an impact?
Editor's Note: Alan Johnson is a Senior Private Sector Advisor in the World Bank's Investment Climate Advisory Services Group
A previous post by Pablo on the political cost of market reforms suggests that the incentive to reform depends on the impact of such reforms on the re-election chances of the incumbent government, and how much the president or party in power cares about re-election relative to other (enlightened) objectives.