What the World Bank Does Not Understand About “Doing Business”

World Bank Doing Business

In its 10-year history, the World Bank’s Doing Business Report has achieved enormous influence. The annual study, one of the flagship knowledge products of the World Bank, is the leading tool to judge the business environments of developing countries, generating huge coverage in the media every year. Several countries—such as Rwanda—have used it as a guide to design reform programs. For its part, the Bank has advised over 80 countries on reforms to regulations measured in the DB. Its influence stretches even to academia, with over 1,000 articles being published in peer-reviewed journals using data in the index.

But does it focus on the most important issues for companies in less developed countries?

Based on my own almost 20 years of experience doing business in places such as Nigeria, Turkey, and China, the answer is no. Continue reading