International trade Doing business the World bank

About the project «Doing business»

The project «Doing Business» enables to evaluate normative legal acts regulating entrepreneurial activity objectively and ensure their enforcement in 189 countries, as well as in separate cities at the subnational and regional levels.

The project «Doing Business», the implementation of which was launched in 2002, is devoted to the activity of national small and medium-sized enterprises and evaluation of legal acts regulating their activity throughout the life cycle. The technique of the study «Doing Business» and standard model analysis of expenses are the only typical tools used in many different countries to assess the impact of the rulemaking on the activity of enterprises.

Extensive quantitative data are collected and analyzed within the limits of the study to compare the regulatory environment for entrepreneurship across countries and in the dynamic. Thus, the project «Doing Business» encourages countries to better regulation, provides measurable guidelines to reform and it serves as a resource for scientists, journalists, researches from a private sector and others persons interested in the business climate in each country.

Accessibility of running business in Kazakhstan

RATING OF COUNTRIES

REGION Europe and Central Asia
INCOME LEVEL Above-average income
POPULATION 16 797 459
GROSS NATIONAL INCOME PER
CAPITA (IN US DOLLARS $)
9 730
CITY UNDER STUDY Almaty

50

Business 2014
rating

53

Business 2013
rating***

3

Changes
in rating

62,65

Business 2014 PR**
(% points)

62,22

Business 2013 PR**
(% points)

0,43

Development
of the position
inrespect of PR**
(% points)

Rating

Subject DB 2014 rating DB 2013 rating Changes in the rating
Registration of enterprises 30 27 -3
Receiving a building licence 145 149 4
Connecting to the power-supply system 87 85 -2
Ownership registration 18 27 9
Crediting 86 82 -4
Protection of investors 22 21 -1
Taxation 18 18 No changes
International trade 186 186 No changes
Guarantee of contract fulfillment 27 26 -1
Insolvency solution 54 55 1

Position of Kazakhstan in the rating Doing business

International trade

186

DB 2014 RATING

186

DB 2013 RATING***

0

Changes in rating

3,79

DB 2014 PR** (% points)

3,91

DB 2013 PR** (% points)

-0,12

DEVELOPMENT
OF THE POSITION INRESPECT OF PR**
(% points)

Rating

Indicator Kazakhstan Europe and Central Asia OECD
Documents for export (number) 10 7 4
Time for export (days) 81 25 11
Cost of export (US$ per container) 4 885 2 109 1 070
Documents for import (number) 12 8 4
Time for import (days) 69 26 10
Cost of import (US$ per container) 4 865 2 339 1090

Admissions in respect of goods

Production:

  • is not dangerous and does not include military items.
  • does not require refrigeration or other special conditions of transportation.
  • doesn’t need special requirements of phytosanitary control or special requirements for environmental safety in addition to generally accepted international standards.
  • is one of the main items of export or import.

Addmissions in respect of companies


Company:

  • has at least 60 employees.
  • operates in the city which is the largest business center in the country.
  • is a private limited liability company. It does not produce products for export in the area of goods production or in an industrial area which is subject to special privileges in export or import.
  • is a domestic company that does not have foreign owners.
  • The volume of export is more than 10 percent of its total sales.

Documents


All the documents required for each export and import consignment are taken into account. A new contract is expected to be developed for each consignment, and that it shall be agreed and signed by both parties. The documents necessary for coordination with relevant agencies including with state ministries, customs and port authorities, as well as control bodies are taken into account.

For the countries that do not have an access to the sea, the documents required by the authorities in the country with transition economy are also accounted. Since the payment has been made by a letter of credit, all the documents required by banks to issue or ensure a letters of credit are also taken into consideration.

The documents requested in the course of customs control, but valid for a year or more than a year and do not require renewal in the processing of each consignment (for instance, an annual certificate of tax payment) are not taken into account.

Documents that are required solely for the purpose of privileges are no longer taken into account, for instance, a certificate of origin, if it is used to have a claim on for a preferential tariff rate under the trade agreements. However, the exporter is always expected to obtain a certificate of origin for their trading partner. Thus, time and cost of obtaining such a certificate are included in the total amount of time and costs for export.

Timing


Time spent on export and import is stated in calendar days. Calculation of time starts from the beginning of the procedure and finishes at the moment of its completion. If the time of the procedure is permitted to be hastened for an additional fee, and this opportunity is available to all trading companies, the procedure may be hastened provided that it is legal.

Hastened procedures applicable only for the companies located in the zones of goods production for export or in respect of certain companies accredited in accordance with the programmes by authorized business entities are not taken into account since they are not available to all trading companies. The time associated with maritime transportation is taken into account. The exporter and the importer are expected to act without any delay and should aim to complete all the remaining procedures as soon as possible. The procedures that can be run in parallel are treated as simultaneous. It is assumed that documentation preparation, transportation within the country, customs clearance and other formalities, as well as loading and unloading at ports and terminals require at least one day for each operation and cannot be carried out simultaneously.

Costs


Costs include fees charged for a 20-foot container in U.S. dollars. All fees associated with the passage of the procedures for cargo export or import are taken into account. These include costs for documents execution, administrative fees for customs clearance and inspection, customs brokers’ fees, costs associated with the port and inland transportation expenses. Customs tariffs and duties relating to maritime transport are not taken into account except for official costs.

Furthermore, the project “Doing Business” offers detailed subnational reports which provide a comprehensive analysis of business regulation and reforms in different cities and regions of the country. These reports contain data on the easiness of running business, rating of each region and the recommended reforms in order to improve estimation in each of the thematic categories, which include indicators compiled. Participating in the study, cities can compare their existing business regulations with other cities in the country or region, as well as with the cities of 189 countries included in the rating of “Doing Business”.

The first report “Doing Business” published in 2003 covered 5 indicator sets involving 133 countries. This year’s report covers 11 indicator sets involving 189 countries. The project “Doing Business” is being finalized with comments from governmental representatives, scientists, practitioners and reviewers. Originally, a specific purpose of the project remains the same: to provide an objective basis to understand and improve legal and business regulation all over the world.