Sierra Leone was ranked 160 out of 190 in the 2018 Doing Business rankings by the World Bank. 190 Economies are ranked on the ease of doing business in that country and a high ease of doing business means that the regulatory environment is more conducive to starting a business. The five easiest countries in the world to do business (countries with the lowest score) were New Zealand, Singapore, Denmark, South Korea and Hong Kong. The five hardest countries to do business starting from the most difficult are Somalia, Eritrea, Venezuela, South Sudan and Yemen. In Sub-Saharan Africa the highest ranked countries are Mauritius, Rwanda, Kenya, Botswana and South Africa (ranked worldwide 25, 41 and 81-82 respectively).
A ranking of 160/190 is a poor showing for Sierra Leone but what areas of “doing business” does the report cover specifically? The below image shows the areas assessed by the report. As shown below the areas where Sierra Leone performs worst are in dealing with construction permits, getting electricity, registering property, trade across borders, getting credit, resolving insolvency and enforcing contracts.
|Dealing with Construction Permits||182|
|Trading across Borders||162|
|Starting a Business||83|
|Protecting Minority Interests||81|
Source: The World Bank 2018 Doing Business Rankings
Some of these areas, for example getting electricity comes as no surprise. Other areas which requires going through administrative procedures or paperwork is also not surprising. According to the report is takes a 182 days to get a construction permit. As the focus of Sierra Leone Biz is inform, promote and inspire good Sierra Leone business we believe that each of these areas are worth covering in subsequent articles. By focusing on these areas of doing business there are opportunities for both governments and business to get it right. For example, individuals can start a business that provides a product or service that addresses one of these areas such as getting a construction permit. But in order for good business to flourish the infrastructure or climate has to be conducive to it. As Sierra Leone looks to develop government should pay attention to these areas as areas for improvement and focus.