Government urged to improve ease of doing business in Phl

MANILA, Philippines - Cagayan Rep. Jack Enrile urged the government yesterday to be more aggressive in improving the ease of doing business in the country.

Aurora Rep. Juan Edgardo Angara called for a “culture of efficiency” in both public and private sectors.

The two lawmakers made the call in the wake of a recent survey ranking the Philippines 148th out of 183 countries in terms of ease of doing business.

Enrile said the government should look at what “business-friendly” economies in the region – such as Singapore, Hong Kong and Thailand – are doing and benchmark local reforms against the processes in these countries.

“We are clearly lagging behind our regional neighbors not only in the ease of doing business but in overall economic competitiveness. This should serve as a wake-up call to our government to look at our existing regulations that are restricting business activity and address areas that are already actionable,” he said.

“Improving ease of doing business, for both foreign and domestic investors, is one area that is ripe for reform and one that has a high impact potential. It is even more crucial, given the current slowdown in the economy that is validated by recent economic growth forecast downgrades,” he said.

Angara said government agencies and officers, including local government units (LGUs), and private companies can start contributing to improving business environment in the country by being efficient.

“We are a country of long lines. We line up to secure our business permits, government IDs, driver’s licenses, and worse, even for bills payment,” he said.

This inefficiency is prevalent not only in state offices, but even in the private sector, as shown by the long queues in malls and other establishments, he said.

Angara said it’s about time Filipinos shed off their mindset of inefficiency, and start on what he calls a culture of efficiency.

“There is nothing wrong with lining up as this shows our national discipline. But it’s a different story if it takes almost a day to secure, say your SSS (Social Security System) ID, NBI (National Bureau of Investigation) clearance or birth certificate. That’s a complete and total waste of man hours,” he said.

“It’s a shame that in our country, customers have to line up and wait for a long time to pay for something. And it seems that we, Filipinos, have accepted this as a norm,” he added.

He pointed out that many LGUs are particularly notorious in making it hard for entrepreneurs to start or expand their businesses in their areas.

He said there are complaints that even barangay officials give small businessmen the runaround unless they come up with something.

He cited Singapore as an example of a country practicing efficiency as a way of life.

In the 2011 Ease of Doing Business Index study conducted by the International Finance Corporation (IFC) and the World Bank, the Philippines ranked 148th out of 183 countries. The country placed 144th in 2010 and 141th in 2009.

In terms of starting a business, the Philippines ranked 156th with 15 procedures to go through, while Singapore, which ranked 4th, requires only three procedures.

“We have to create a business environment that truly welcomes and protects our investors, whether domestic or foreign. Let us not scare them away by having to go through a maze of procedures. Investments translate to jobs for our fellow Filipinos. Thus, foregoing a business deal is like shutting the door to our very own countrymen who are looking for decent jobs and better lives,” Angara said.