Wazzup Pilipinas!?
The Anti-Red Tape Authority (ARTA) and the World Bank Group joined forces to host the much-anticipated ARTA-World Bank Forum on “New Insights on the Philippine Business Environment: Exploring the World Bank’s Business Ready Report.” The event, held on February 3, 2025, at the QC-MICE Center in Quezon City, provided a deep dive into the findings of the World Bank’s Business Ready (B-READY) report and its implications for the country’s business landscape.
The Global Business Readiness Picture
The B-READY initiative is the World Bank’s new global benchmarking project that assesses the business environment across ten key areas of a business life cycle. The report analyzes over 1,200 indicators and provides a comprehensive overview of how economies perform in terms of business entry, location, financial services, taxation, international trade, market competition, business insolvency, and more.
This forum served as a crucial platform for government officials, business leaders, and economists to explore the Philippines’ current standing and opportunities for improvement.
How Does the Philippines Perform?
The B-READY report reveals that the Philippines has enacted strong business regulations, yet there remains significant room for improvement in enhancing public services for businesses
.
Strengths: Where the Philippines Excels
✔ Labor Market: The Philippines ranks among the top 20% of global economies, excelling in labor policies and regulations.
✔ International Trade: The country has implemented efficient electronic systems and interoperability of services for trade operations, making it a relatively strong performer in this area.
Weaknesses: Areas Needing Urgent Reform
❌ Business Entry:
The Philippines ranks among the bottom 20% of global economies in terms of starting a business.
It takes around 75 days to register a new company in the Philippines, compared to just 3 days in the most efficient economies.
Entrepreneurs cannot fully register a business online, adding unnecessary delays and bureaucratic hurdles.
❌ Property Transfers:
It takes an average of 90 days to transfer a property, whereas top-performing economies complete the process in just one day.
No online platform exists to register property transfers, slowing down real estate transactions.
❌ Electronic Payments & Financial Services:
Only 17% of firm payments in the Philippines are made electronically, whereas top economies reach over 99%.
The lack of liquidity risk provisions in electronic payment regulations hampers financial security for businesses.
❌ Business Insolvency:
The time to resolve liquidation proceedings in the Philippines is five years, while the most efficient economies complete it in just seven months.
The country does not allow electronic filing for bankruptcy procedures, adding further inefficiencies.
Key Discussions at the Forum
The forum featured a high-profile lineup of speakers who shared insights and strategies to address these challenges:
Undersecretary Gerald G. Divinagracia (ARTA) opened the event, emphasizing the importance of regulatory reforms to attract investments.
Dr. Dandan Chen (World Bank) provided a global perspective on business readiness.
Mr. Norman Loayza (World Bank) presented the B-READY report findings, outlining where the Philippines stands and where it can improve.
World Bank Group Director Norman Loayza gives the Presentation on World Bank Group's B- Ready Results at the ARTA- World Bank Group Forum on New Insights on the Philippine Business Environment: Exploring the World Bank's Business Ready Report
https://youtu.be/UgBI0fQ6G-E?si=RwTbxLFxNm0gqtH1
Secretary Ernesto V. Perez (ARTA) introduced the Ease of Doing Business Roadmap, a key government initiative aimed at cutting bureaucratic red tape.
ARTA Secretary Ernesto Perez presents the Ease of Doing Business Roadmap at the ARTA- World Bank Forum
https://youtu.be/lfvBbqgzf7k?si=3YTCgSD4e4Y9ZUb-
Vice President Raymund Jude Aguilar represented Consul Enunina Mangioof PCCI (Philippine Chamber of Commerce and Industry) and Co-Chair Ruy Y. Moreno of MAP (Management Association of the Philippines) provided private-sector reactions, highlighting how slow business registration and inefficient property transfers hurt entrepreneurs.
Hon. Ma. Josefina Belmonte-Alimurung (Quezon City Mayor) discussed the role of local government in improving business conditions.
Dr. Roberto Martin Galang (Ateneo de Manila University) provided an academic perspective on fostering a more competitive business environment.
The event concluded with a fireside chat where business leaders, policymakers, engaged in deeper discussions on necessary reforms. A media conference with key personalities together with some members of the media followed.
Why This Matters for the Philippine Economy
A business-ready environment is crucial for economic growth, investment, and job creation. The private sector plays a major role in driving innovation, but without regulatory efficiency, businesses will continue to struggle with unnecessary delays and bureaucratic obstacles.
By addressing the weaknesses highlighted in the B-READY report, the Philippines can unlock its full economic potential and create a more dynamic and competitive business environment.
What’s Next?
✔ The Anti-Red Tape Authority (ARTA) will push for faster business registration processes and stronger digitalization efforts.
✔ Policymakers are expected to introduce reforms to improve the property transfer system and enhance e-payment adoption.
✔ The World Bank will continue working with the Philippine government to track progress and support policy improvements.
The ARTA-World Bank B-READY Forum has set the stage for a more transparent, efficient, and business-friendly Philippines. But real change will only happen if government agencies, businesses, and stakeholders work together to implement meaningful reforms.
Stay tuned as we track the progress of these crucial business reforms!
Ross is known as the Pambansang Blogger ng Pilipinas - An Information and Communication Technology (ICT) Professional by profession and a Social Media Evangelist by heart.
Post a Comment