List of reforms on Azerbaijan expected to be adopted in Doing Business 2020 - EXCLUSIVE

List of reforms expected to be adopted in Doing Business 2020 on Azerbaijan was announced.

Report informs that the reforms cover 11 indicators.

These indicators are ‘Starting a business’, ‘Obtaining permission for construction’, ‘Connection to power grids’, ‘Property registration’, ‘Taking out of loans’, ‘Protection of rights of small investors’, ‘Payment of taxes’, ‘Border trade, ‘Contract implementation, ‘Enterprise insolvency’ and ‘State procurements’.

Within the indicator ‘Starting a business’, two main reforms on amendments made in registration of legal entities may be adopted in the Doing Business 2020. According to the first of these reforms, the number of procedures will be reduced from 3 to 1. The second reform includes reduction of days from 3.5 to 0.5. As for costs, they will be reduced from AZN 18 (AZN 90 in total) to AZN 0.

Under the indicator ‘Obtaining permission for construction’, the number of procedures will be reduced from 18 to 7. Moreover, days are expected to be reduced from 116 to 38. As for costs, they will be reduced from AZN 6,566 to AZN 3,345.

The number of procedures on the indicator ‘Connection to power grids’ will be reduced from 7 to 2, days from 41 to 20.

The number of procedures on the indicator ‘Property registration’ will be reduced from 3 to 2, days from 5.5 to 2.5.

Within the indicator ‘Taking out of loans’, conformity among the normative legal acts was provided and according to the Doing Business methodology, 4 questions, which were negatively assessed on Legal Norm index, are expected to be assessed positively.

According to ‘Protection of rights of small investors’ indicator, the conformity among the normative legal acts will be provided and 5 of 10 questions, which were negatively assessed in accordance with the Doing business methodology, are expected to be assessed positively.

Under the indicator ‘Payment of taxes’, the tax rates will be reduced, submission of applications electronically will save time.

‘Border trade’ indicator allows inspection mechanism to be reduced and time of entrepreneurs to be saved by forming single control mechanism.

Within the ‘Contract implementation’, time standards on management of judicial processes were determined and according to the Doing Business methodology, progress will be observed in time index. At the same time, according to the Doing Business methodology, quality index of the judicial processes will be improved by 8.5 points.

‘Enterprise insolvency’ indicator will enable saving time on holding of auctions and a progress will be observed in time index of the indicator, and 1 of 2 questions, which were negatively assessed in the quality index of legislation on insolvency, are expected to be assessed positively

As part of the indicator ‘State procurements’, conformity to the Doing Business methodology will be provided, a single internet portal on state procurements will be formed and e-procurement model will be created.

Doing Business Report is published in the second half of October every year. According to the last Doing Business, Azerbaijan climbed 32 steps and ranked 25th in the world among 190 countries.