In India, it is much easier to do business in smaller and younger states such as Jharkhand and Chhattisgarh, according to a state-wise ranking list compiled by The World Bank released on Monday.
Jharkhand, which was carved out as a new state in the early part of the millennium, ranked third with 63.09% followed by Chhattisgarh, which was also formed during the same time, with 62.45%. These two states came just after Gujarat and Andhra Pradesh, which ranked first and second, with 71.14%, and 70.12%, respectively.
Maharashtra, India’s biggest industrialized state, and home to many engineering and automobile firms, fell far behind at eighth rank, and scored 49.43%. It was preceded by Madhya Pradesh, Rajasthan and Odisha, according to the report.
The graphic below attempts to summarize the race to 100% implementation status:
The overall findings is part of the Central government’s efforts along with The World Bank, and industry bodies, to assess the parameters and the business-friendly states in the country. The rankings are based on a 98-point action plan, the report showed. Each of the implmentation status is converted into a percentage, and the basis of the total, they have been given a ranking, it said.
States with overall implementation between 50% and 75% have been categorised as “Aspiring Leaders” by the report. While none of the 32 Indian states, made to the leadership status, which needs a ranking for an overall implementation of 75% and above.
Northeastern states of Meghalaya, Nagaland and Arunchal Pradesh, ranked among the last three scoring less than 5% in overall implementation of the action plan, and needs jump start, the report added.
