Www.competitive.org.ph. Report 2013 Rank 2012 Rank 2011 Rank ChangeASEAN Next Report SourceTarget 1. WEF Global Competitiveness Index 59/14865/14475/142.

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Presentation transcript:

Report 2013 Rank 2012 Rank 2011 Rank ChangeASEAN Next Report SourceTarget 1. WEF Global Competitiveness Index 59/14865/14475/142 Up 66 of 10Sep-14WEF IFC Ease of Doing Business 108/189138/185136/183Up 306 of 10Oct-14IFC IMD World Competitiveness Report 38/6043/5941/59Up 54 of 5May-14IMD TI Corruption Perception Index 94/177105/179129/183 Up 114 of 10Dec-13 Transparency International Economic Freedom Index 97/177107/179115/179Up 105 of 7Jan-14 Heritage Foundation Global Information Technology Report 86/14486/14286/138 no change 6 of 7Apr-14WEF Travel and Tourism Report 82/140n/a94/139Up 127 of 8Mar-15WEF Global Innovation Index 90/14295/14191/125Up 57 of 9Jul-14WIPO Logistics Performance Index --52/15544/155 Down 84 of 9Feb-14World Bank Failed States Index 59/17856/17751/177Up 37 of 10Jun-14 Fund for Peace GLOBAL COMPETITIVENESS REPORT CARD

Report Change 2013 vs 2012Change over 3 years 1. World Economic Forum Global Competitiveness Index IFC/WB Ease of Doing Business Report + 30* IMD World Competitiveness Report Transparency International Corruption Perceptions Index Economic Freedom Index Global IT Report (WEF) Travel and Tourism Report (WEF) Global Innovation Index GLOBAL COMPETITIVENESS PERFORMANCE

Percentile Rank EASE OF DOING BUSINESS REPORT PHILIPPINES ( ) Philippines Rank No. of Economies Percentile rank

100 Based on Percentile Rank EASE OF DOING BUSINESS REPORT PHILIPPINES ( )

2013 EODB PHILIPPINE REPORT OVERVIEW 2013 EODB PHILIPPINE REPORT OVERVIEW Source: The World Bank Indicators 2014 (189) Variance (185) 2012 (183) Over-all ranking Starting a business Dealing w/ construction permits Getting electricity Registering Property Getting Credit Protecting Investors Paying Taxes Trading across borders Enforcing contracts Resolving Insolvency

7 WORLD RANKING OF ASEAN COUNTRIES ASEAN 2014 (out of 189) 2013 (out of 185) CHANGE 2012 (out of 183) CHANGE 1. Singapore Malaysia Thailand Brunei Darussalam Vietnam Philippines Indonesia Cambodia Lao PDR Myanmar* 182NDA0 0 *Myanmar is one of the four new economies measured in the report together with Libya, San Marino and South Sudan.

TOP TEN MOST IMPROVED IN TERMS OF RANKING Economy CHANGE 1Philippines Ukraine Rwanda Brunei Darussalam Russian Federation Burundi Guatemala Brazil Iraq Kosovo

to 2014 MOST IMPROVED ECONOMIES Economy Variance 2012 Variance Cumulative Change Kosovo Ukraine Burundi Poland Philippines Russian Federation Brunei Darussalam Uzbekistan Costa Rica Guatemala

JULY 2012 NCC crafts Gameplan for Competitive -ness SEPTEMBER 2012 Economic Development Cluster approves Gameplan DECEMBER 2012 FEBRUARY 2013 Public-Private Dialogues DECEMBER 2012 Videoconferences with IFC Washington JANUARY 2013 Meeting with PH Embassy in Washington MARCH 2013 Target validation workshops MAY 2013 Work teams commit to implement targets at Ease of Doing Business Summit MAY 2013 President Aquino signs Administrative Order No. 38 creating an inter- agency Ease of Doing Business Task Force JUNE 2013 Submitted reform inventory to IFC JULY 2013 OCTOBER 2013 Task Force convenes TIMELINE OCTOBER 2013 Release of 2014 Doing Business Report

Indicator: Starting a Business Number of Days, Number of Steps,

Number of Days, Number of Steps, Indicator: Starting a Business

START Deposit paid- up capital and obtain bank certificate. Notarize articles of incorporation and treasurer's affidavit. Verify and reserve company name with SEC. Register the company with SEC and receive pre-registered TIN. Obtain barangay clearance. Pay annual community tax and obtain community tax certificate. Obtain business permit from BPLO. Apply and pay for Certificate of Registration and obtain TIN at BIR. Pay registration fee and documentary stamp taxes Obtain authority to print receipts and invoices from BIR. Buy special books of account at bookstore. Print receipts and invoices. Have books of accounts and Printer's Certificate of Delivery stamped by BIR. Register with SSS. Register with PhilHealth. Register with Pag-IBIG. END Indicator: Starting a Business

START Deposit paid- up capital and obtain bank certificate. Notarize articles of incorporation and treasurer's affidavit. Verify and reserve company name with SEC. Register the company with SEC and receive pre-registered TIN. Obtain barangay clearance. Pay annual community tax and obtain community tax certificate. Obtain business permit from BPLO. Apply and pay for Certificate of Registration and obtain TIN at BIR. Pay registration fee and documentary stamp taxes Obtain authority to print receipts and invoices from BIR. Buy special books of account at bookstore. Have books of accounts and Printer's Certificate of Delivery stamped by BIR. END Register with SSS. Register with PhilHealth. Register with Pag- IBIG. Print receipts and invoices. Indicator: Starting a Business

START Deposit paid- up capital and obtain bank certificate. Notarize articles of incorporation and treasurer's affidavit. Verify and reserve company name with SEC. Obtain barangay clearance. Pay annual community tax and obtain community tax certificate. Obtain business permit from BPLO. Apply and pay for Certificate of Registration and obtain TIN at BIR. Pay registration fee and documentary stamp taxes Obtain authority to print receipts and invoices from BIR. Buy special books of account at bookstore. Have books of accounts and Printer's Certificate of Delivery stamped by BIR. Register with SSS. Register with PhilHealth. Register with Pag- IBIG. END Register with SSS, PhilHealth, and Pag-IBIG. Print receipts and invoices. Pay annual tax and obtain community tax certificate and business permit. Indicator: Starting a Business Buy special books of account and have books of accounts and Printer's Certificate of Delivery stamped by BIR. Register the company with SEC and receive pre-registered TIN.

START Notarize articles of incorporation and treasurer's affidavit. Verify and reserve company name with SEC. Register the company with SEC and receive pre-registered TIN. Obtain barangay clearance. END Register with SSS, PhilHealth, and Pag-IBIG. Pay annual tax and obtain community tax certificate and business permit. Apply and pay for Certificate of Registration and obtain TIN at BIR. Pay registration fee and documentary stamp taxes Obtain authority to print receipts and invoices from BIR. Print receipts and invoices. Buy special books of account and have books of accounts and Printer's Certificate of Delivery stamped by BIR. Indicator: Starting a Business

GAMEPLAN 1.0: ACCOMPLISHMENT REPORT LEGEND

GAMEPLAN 1.0: ACCOMPLISHMENT REPORT Starting A Business

Dealing with Construction Permits GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Getting Electricity GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Registering Property GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Getting Credit LEGEND: Credit Info = Depth of Credit Information Indez; Legal Rights = Strength of Legal Rights Inde x GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Protecting Investors LEGEND: D = Extent of Disclosure Index DL = Extent of Director Liability Index SS = Ease of Shareholder suits Index GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Paying Taxes GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Trading Across Borders GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Enforcing Contracts GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Resolving Insolvency GAMEPLAN 1.0: ACCOMPLISHMENT REPORT

Country Starting a Business Dealing w/ Construction Permits Getting Electricity Registering Property Getting Credit Protecting Investors Paying Taxes Trading Across Borders Enforcing Contracts Resolving Insolvency Singapore ↑3 ↓6 ↓28 ↑3 ↑ ↓ Malaysia 6 ↑16 ↑43 ↑21 ↑35 ↓ ↓5 ↑30 ↑42 ↑ Thailand ↓14 ↑12 ↓29 ↓73 ↓12 ↑70 ↑24 ↓22 ↑58 -- Brunei 59 ↑137 ↓46 ↓ ↓55 ↑115 ↑20 ↑39 ↑161 ↓48 ↓ Vietnam ↓29 ↓156 ↓51 ↓42 ↓157 ↑149 ↓65 ↑46 ↓ Philippines 108↑170↓99 ↑33 ↑121 ↑86 ↑ ↑42 ↑114 ↓100 ↑ Indonesia 120 ↑175 ↓88 ↓121 ↑101 ↓86 ↑52 ↓137 ↓54 ↓147 ↓144 ↑ Cambodia 137 ↓184 ↓161 ↓134 ↓118 ↓42 ↑80 ↑65 ↑114 ↑162 ↓163 ↓ Laos 159 ↑85 ↓96 ↓140 ↓76 ↓159↑187 ↓119 ↑161 ↓104 ↑189 ↓ Myanmar WORLD RANKING OF ASEAN COUNTRIES PER INDICATOR

Economy Procedures (number) Time (days) Cost (% of income per capita) Paid-in Min. Capital (% of income per capita) RANK 1 Singapore * 2 Malaysia Lao PDR Thailand Vietnam Brunei Darussalam Philippines Indonesia Cambodia Myanmar , STARTING A BUSINESS BENCHMARK: MALAYSIA

STARTING A BUSINESS SCORE SIMULATION Indicator 2014 Report 2015 Report Movement/ Change in rank Number of Days days Number of Steps steps Cost (% income/per capita) Min Paid In Capital Effect in indicator ranking170 30↑ 140 Effect in world ranking108 85↑ 23 RecommendationAgency Reduce number of days Reduce number of steps Reduce cost Implement Online Business Registration Consider removing Min. Paid in Capital SEC, QC, SSS, PBR, BIR, Philhealth, Pag-ibig SEC/Congress

Economy Procedures (number) Time (days) Cost (% of income per capita ) Ease of Construction RANK 1 Singapore * 2 Thailand Vietnam Malaysia Brunei Darussalam Indonesia Lao PDR Philippines Myanmar Cambodia DEALING WITH CONSTRUCTION PERMITS BENCHMARK: THAILAND

DEALING WITH CONSTRUCTION PERMITS SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Number of Days77 -- Number of Steps steps Cost (% income per capita) Effect in indicator ranking9910↑ 89 Effect in world ranking10897↑ 11 RecommendationAgency Reduce the number of Steps Consider reducing cost QC-LGU, BFP, Registry of Deeds, Maynilad,

Economy Procedures (number) Time (days) Cost (% of income per capita) RANK 1 Singapore * 2 Thailand Malaysia Brunei Darussalam Philippines Indonesia Myanmar5913, Cambodia41682, Lao PDR51341, Vietnam61151, GETTING ELECTRICITY BENCHMARK: THAILAND

GETTING ELECTRICITY SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Number of Days days Number of Steps54-1 step Cost (% income per capita) Effect in indicator ranking3316↑ 17 Effect in world ranking108104↑ 4 RecommendationAgency Reduce number of steps Reduce number days Consider reducing Cost QC-LGU, MERALCO

Economy Procedures (number) Time (days) Cost (% of property value) Ease of Property RANK *1 Singapore Thailand Malaysia Vietnam Lao PDR Indonesia Brunei Darussalam Cambodia Philippines Myanmar REGISTERING PROPERTY BENCHMARK: SINGAPORE

REGISTERING PROPERTY SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Number of Days days Number of Steps85-3 steps Cost (% of property value) Effect in indicator ranking12139↑ 82 Effect in world ranking10896↑ 12 RecommendationAgency Reduce number of steps Reduce number days Automation of C.A.R. QC-LGU, LRA and BIR

Economy Credit Information Index Legal Rights Index Sum getting credit Ease of Credit RANK *1 Malaysia Singapore Vietnam Cambodia Brunei Darussalam Thailand Indonesia Philippines Lao PDR Myanmar GETTING CREDIT BENCHMARK: MALAYSIA

GETTING CREDIT SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Credit Information Index 56+1 Legal Rights Index410+6 Effect in indicator ranking 861↑ 85 Effect in world ranking10885↑ 23 RecommendationAgency Make credit data on utilities available Review Collateral and Bankruptcy Laws National Collateral registry Utility Companies DOJ, Supreme Court, Congress, ACRRALAW, LRA

EconomyDisclosure Director Liability Shareholder Suits rank 1 Singapore *2 Malaysia Thailand Indonesia Cambodia Brunei Darussalam Philippines Vietnam Myanmar Lao PDR PROTECTING INVESTORS BENCHMARK: MALAYSIA

PROTECTING INVESTORS SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Disclosure Director Liability 39+6 Shareholder Suits Index 88-- Effect in indicator ranking 1283↑ 105 Effect in world ranking 10878↑30 RecommendationAgency Review Corporations Code of the PhilippinesDOJ, Supreme Court, Congress, ACRRALAW and SEC

Economy Payments (number) Time (hours) Total tax rate (% profit) Ease of Taxes RANK 1 Singapore Brunei Darussalam *3 Malaysia Cambodia Thailand Myanmar Lao PDR Philippines Indonesia Vietnam PAYING TAXES BENCHMARK: MALAYSIA

PAYING TAXES SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Number of Payments Number of Hours Total Tax Rate Effect in indicator ranking 13180↑ 51 Effect in world ranking ↑ 5 RecommendationAgency Reduce number of payments Reduce number of Hours Consider reducing tax rate PAG-IBIG, PHILHEALTH, BIR

Economy Documents for export (number) Time for export (days) Cost to export (US$ per container) Documents for import (number) Time for import (days) Cost to import (US$ per container) Ease of Trading RANK *1 Singapore Malaysia Thailand Brunei Darussalam Philippines Indonesia Vietnam Myanmar Cambodia Lao PDR , , TRADING ACROSS BORDERS BENCHMARK: SINGAPORE

TRADING ACROSS BORDERS SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Documents to Import73-3 Days to Import Cost (US$/container) Documents to Export63-3 Days to Export156-9 Cost (US$/container) Effect in indicator ranking423↑ 39 Effect in world ranking10899↑ 9 RecommendationAgency Reduce documents to import and export Reduce days to import and export BOC

Economy Procedures (number) Time (days) Cost (% of claim) Ease of Contracts RANK 1 Singapore Thailand *3 Malaysia Vietnam Lao PDR Philippines Indonesia Brunei Darussalam Cambodia Myanmar 45 1, ENFORCING CONTRACTS BENCHMARK: MALAYSIA

ENFORCING CONTRACTS SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Number of Days Number of Steps Cost (% of Claim) Effect in indicator ranking 11424↑ 90 Effect in world ranking 10897↑ 11 RecommendationAgency Reduce number of steps Reduce number days Fully implement e-court system Supreme Court.,DOJ, ACCRALAW

Economy Time (years) Cost (% of estate) Recovery rate (cents on the dollar) Ease of Resolving RANK 1 Singapore Malaysia Brunei Darussalam *4 Thailand Philippines Indonesia Vietnam Myanmar Cambodia Lao PDR no practice RESOLVING INSOLVENCY BENCHMARK: THAILAND

RESOLVING INSOLVENCY SCORE SIMULATION Indicator 2014 Report2015 Report Movement/ Change in rank Time Cost Recovery Rate Effect in indicator ranking 10058↑ 42 Effect in world ranking 10899↑ 9 RecommendationAgency Monitor Implementation of FRIA. Monitor effect of FRIA – IRR to the Time and Cost Supreme Court., DOJ

The Results Scenarios: Low Hanging Fruit - Impact of FULL implementation of Doing Business 2013 reform inventory. Big Impact Indicators – Implement reforms on 4 identified Gameplan 2.0 big impact indicators (Starting a Business, Registering Property, Getting Credit, Protecting Investors). Stretched targets – Implement suggested reforms for all indicators.

RESULT LOW HANGING FRUIT SCENARIO 2014 RANK2015 RANK EFFECT IN RANK 10839↑ 69 Low Hanging Fruit - Impact of FULL implementation of Doing Business 2013 reform inventory on 8 indicators : Starting a business, Dealing with Construction Permits, Registering Property, Getting Electricity, Getting Credit, Protecting Investors, Paying Taxes and Trading Across Borders are fully implemented and measured)

Economy2014 Report Rank as of Current Data and Simulation 1 Singapore11 2 Malaysia66 3 Thailand18 *4 Philippines Brunei Darussalam59 6 Vietnam99 7 Indonesia120 8 Cambodia137 9 Lao PDR Myanmar182 RESULT: LOW HANGING FRUIT ASEAN RANK move from 6 to 4

RESULT BIG IMPACT INDICATORS 2014 RANK2015 RANK EFFECT IN RANK 10829↑ 79 Big Impact Indicators – Implement reforms on 4 identified Gameplan 2.0 big impact indicators (Starting a Business, Registering Property, Getting Credit, Protecting Investors).

Economy2014 Report Rank as of Current Data and Simulation 1 Singapore11 2 Malaysia66 3 Thailand18 *4 Philippines Brunei Darussalam59 6 Vietnam99 7 Indonesia120 8 Cambodia137 9 Lao PDR Myanmar182 RESULT: BIG IMPACT INDICATORS ASEAN RANK move from 6 to 4

RESULT STRETCHED TARGETS 2014 RANK2015 RANK EFFECT IN RANK 1087↑ 101 Stretched targets – Implement suggested reforms on ALL indicators based on the new benchmarks.

Economy2014 Report Rank as of Current Data and Simulation 1 Singapore 11 2 Malaysia 66 3 Philippines Thailand 18 5 Brunei Darussalam 59 6 Vietnam 99 7 Indonesia Cambodia Lao PDR Myanmar RESULT: STRETCHED TARGETS ASEAN RANK move from 6 to 3

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DOING BUSINESS REPORT DATA COLLECTION CYCLE

DOING BUSINESS 2015 REPORT TIMELINE DATEACTIONAGENCY December 2013Finalize Gameplan 2.0NCC/ AO 38 Taskforce December 9, 2013AO 38 EODB taskforce meeting.NCC January 2014Meet with Contributors/Respondents January 2014Identify reforms needed to improve EODB performance AO 38 taskforce January – February 2014 Submit the legislative amendments and any new EOs, AOs, DOs needed to improve performance in EODB. AO 38 taskforce January-February 2014 Video ConferencesIFC / NCC / AO 38 taskforce February- March 2014 Target Validation WorkshopsNCC

DOING BUSINESS 2015 REPORT TIMELINE DATEACTIONAGENCY February-March 2014 Actual Conduct of Doing Business Survey for 2015 report IFC March – AprilSubmission of agency specific inputs to the DB reform inventory AO 38 taskforce March-AprilContributors return completed surveysIFC April 2014SECOND EODB SUMMITNCC/ AO 38 taskforce March- May 2014 Doing Business codes the data from completed surveys, researches underlying laws and regulations, and conducts follow- up calls with contributors to clarify any questions IFC

DOING BUSINESS 2015 REPORT TIMELINE DATEACTIONAGENCY Feb-May 2014 Data Analysis and Government Feedback IFC May 1-15 Finalize Reform Inventory NCC/ AO 38?ACCRA May 30 Submit reform inventory to WB Washington for feedback NCC June 1 Close of data collection and the deadline for recording business regulation reforms IFC July – August Receive feedback from WB Washington IFC June-September Production period for latest edition of Doing Business report IFC October Release of 2015 DB Report IFC