1. Thailand Sylvia Solf Justin Yap November 12th, 2007

2. Doing Business Indicators 200720082009 Starting a business Dealing with licenses Employing workers Registering property Getting credit Protecting investors Paying taxes Trading across borders Enforcing contracts Closing a business Update of 2007 Add 3 countries Reformer’s Club: 11 case studies Add Not paying bribes Add Using infrastructure Research program on regulation and business opportunities for women 178 Countries

3. Doing Business Basic Methodology : Time and Motion study Cost (% of GNI per capita) Time (number of days) Starting a business in Madagascar 0 1 2 3 4 5 6 7 8 Register at the GUIDEApply for license, tax and statistical IDs Publish a notice in a daily newspape r File forms with the National Social Security Fund File for health insurance 0% 5% 10% 15% 20% 25%

4. Making it Easier to Register Property in Ghana Time reduced from 169 to 34 days 0 20 40 60 80 100 120 140 160 180 Procedures 2007 2006 Preparation of the transfer document Assessment and payment of stamp duty Submit application for Title Certificate Publication of transaction Issuance of Title Certificate Time (days) Procedure eliminated: Registration of deed and land commission

5. Top 30 on the Ease of Doing Business — 2007 1. Singapore 16. Switzerland 2. New Zealand17. Estonia 3. United States18. Georgia 4. Hong Kong, China19. Belgium 5. Denmark20. Germany 6. United Kingdom21. Netherlands 7. Canada22. Latvia 8. Ireland23. Saudi Arabia 9. Australia 24. Malaysia 10. Iceland25. Austria 11. Norway26. Lithuania 12. Japan 27. Mauritius 13. Finland28. Puerto Rico 14. Sweden29. Israel 15. Thailand 30. Korea

6. Top Reformers in 2006-07 1. Egypt 2. Croatia 3. Ghana 4. Macedonia FYR 5. Georgia 6. Colombia 7. Saudi Arabia 8. Kenya 9. China 10. Bulgaria Starting a business Dealing with licenses Employing workers Registering property Getting credit Protecting investors Paying taxes Trading across borders Enforcing contracts Closing a business

7. Eastern European and Central Asian Countries Reformed the Most Countries with at least one positive reform in 2006-7 (%) E. Europe + Central Asia 78.6% 62.5% South Asia OECD 62.5% Middle East + N. Africa Sub-Saharan Africa East Asia + Pacific Latin America + Caribbean 35.5% 58.8% 52.2% 45.8%

8. Eastern Europe surpasses East Asia on the ease of doing business Average rank, ease of doing business High income OECD Latin America & Caribbean East Asia & Pacific Middle East & North Africa Eastern Europe & Central Asia South AsiaSub Saharan Africa

9. Thailand in the region Singapore1 Hong Kong, China4 Japan12 Thailand15 Malaysia24 Korea30 Brunei78 China83 Vietnam91 Indonesia123 Philippines133 Cambodia145 Lao PDR164 Timor-Leste168

10. How Thailand ranks in each indicator TopicThailand’s RankWorld’s best Starting a business 36Australia Dealing with licenses12 St. Vincent & the Grenadines Employing workers49United States Registering property20New Zealand Getting credit36United Kingdom Protecting investors33New Zealand Paying taxes89Maldives Trading across borders50Singapore Enforcing contracts26Hong Kong, China Closing a business44Japan

11. Business regulation in Thailand: Some facts In Thailand… Only 2 procedures and 2 days are needed to register property—one of the most efficient systems in the world; Minority shareholders benefit from strict disclosure requirements—better than in Australia and Canada; Labor regulations allow for ease of hiring and flexible work schedules, but dismissal costs are relatively high (54 weeks) The total tax rate (37.7%) is relatively low—but the administrative burden (35 payments) is high.

12. Thailand’s reforms: Big improvements in trading across borders 1. China 2. Fiji 5. Malaysia 4. Lao PDR 5. Malaysia 6. Micronesi a 7. Mongolia 8. Thailand 9. Timor Leste 10. Tonga 11. Vanuatu 12. Vietnam Starting a business x Dealing with licenses Employing workers Registering property x Getting credit Protecting investors Paying taxes Trading across borders Enforcing contracts Closing a business

13. From 108 th to 50 th in Ease of trading across borders thanks to customs reforms DB 2008 DB 2007 24 22 12 9

14. What next? Administrative reforms are popular and effective Starting a business Dealing with licenses Employing workers Registering property Getting credit Protecting investors Paying taxes Trading across borders Enforcing contracts Closing a business Number of positive reforms

15. Opportunities for reform in Thailand: Simplifying business start-up Procedures to start a business: Thailand compared to top 10 in Ease of doing business

16. Easing administrative burden for paying taxes Paying Taxes in Thailand Some good practices: Online filing Combine taxes Joint payments

17. Further simplifying trade documentation

18. Some legal changes are necessary : Comparing investor protection

19. How to get to the top 10 Starting a business Consolidate government approvals at one-stop shop Reduce registration fees Registering property Introduce low flat registration fee Getting credit Collect and distribute information from retailers, trade creditors & utilities Paying taxes Consolidate taxes and reduce number of payments Trading across borders Simplify documentation Protecting investors Strengthen director liability and shareholder suit provisions

20. Why does it matter? Business friendly regulation leads tomore registered businesses and start-ups Countries ranked by ease of doing business, quintiles Business Density (registered firms per capita) Business Entry (new firms in % of registered firms) Source: Doing Business database Easiest Most difficult Easiest

21. …Which Means more Formal Employment Source: Doing Business database, WDI Informal Sector (% of GDP) Unemployment (% of labor force) Easiest Most difficult Easiest Countries ranked by ease of doing business, quintiles

22. Thank you For more information, please visit www.doingbusiness.org