B-READY: Financial Services Pillar 1: Quality of Regulations for Financial Services

B-READY focuses on ten topics that are organized following the life cycle of the firm and its participation in the market while opening, operating (or expanding), and closing (or reorganizing) a business. The Financial Services topic measures four areas—Commercial Lending; Secured Transactions; e-Payments; and Credit Information—across three different dimensions, or pillars. The overall topic score is generated by averaging the scores assigned to each of the three pillars (regulatory framework, public services, and efficiency) for that topic.

B-READY focuses on ten topics that are organized following the life cycle of the firm and its participation in the market while opening, operating (or expanding), and closing (or reorganizing) a business. The Financial Services topic measures four areas—Commercial Lending; Secured Transactions; e-Payments; and Credit Information—across three different dimensions, or pillars. The third pillar measures the operational efficiency of (i) obtaining a loan; (ii) registering a security interest as well as the timeliness of credit information sharing; and (iii) e-payments usage and their efficiency.

B-READY focuses on ten topics that are organized following the life cycle of the firm and its participation in the market while opening, operating (or expanding), and closing (or reorganizing) a business. The International Trade topic measures different aspects of international trade—trade in goods, trade in services, and digital trade—across three different dimensions, or pillars. The first pillar assesses the quality of regulations pertaining to international trade, covering de jure features of a regulatory framework that are necessary to establish a nondiscriminatory, transparent, predictable, and safe environment to harness the potential of international trade.

B-READY focuses on ten topics that are organized following the life cycle of the firm and its participation in the market while opening, operating (or expanding), and closing (or reorganizing) a business. The Business Entry topic measures the process of registration and start of operations of new limited liability companies (LLCs) across three different dimensions, or pillars. The first pillar assesses the quality of regulations for business entry, covering de jure features of a regulatory framework that are necessary for the adoption of good practices for business start-ups.

B-READY focuses on ten topics that are organized following the life cycle of the firm and its participation in the market while opening, operating (or expanding), and closing (or reorganizing) a business. The Taxation topic measures the quality of regulation, administration, and practical implementation of tax systems across the three different dimensions, or pillars. The first pillar assesses the quality of regulation related to taxation, encompassing both the legal framework (de jure) and the implementation (de facto) of the legal requirements.

B-READY assesses the economy’s business environment by focusing on the regulatory framework and the provision of related public services for firms and markets, as well as the operational efficiency with which they are combined in practice. B-READY’s three pillars—the Regulatory Framework, Public Services, and Operational Efficiency. The Regulatory Framework comprises the rules and regulations that firms must follow as they open, operate, and close a business.