# **Regulatory Quality:  Individual Indicators in 2024 WGI Update**

|**Repres**<br>**EIU**|**entative Sources**<br>Unfair competitive practices<br>Price controls<br>Discriminatory tariffs<br>Excessive protections<br>Discriminatory taxes|
|---|---|
|**GCS**|<br>Burden of government regulations<br>Prevalence of non-tariff barriers|
|**HER**|Investment freedom<br>|
||Financial freedom|
|**IPD**|Ease of starting a business governed by local law?<br>Ease of setting up a subsidiary for a foreign firm?<br>Share of administered prices|
||<br>Does the State subsidize commodity prices (i.e. food and other essential goods, excluding oil)?<br>Does the State subsidize the price of petrol at the pumps?<br>p<br>y<br>p<br>g<br>(<br>g<br>y<br>narrow constraints of the market)... related to the administration (red tape etc.)<br>p<br>y<br>p<br>g<br>(<br>g<br>y<br>constraints of the market)... related to the practices of already established competitors<br>Efficiency of competition regulation in the market sector (excluding financial sector)|
|**PRS**<br>|Investment profile|
|**WMO**|_Regulatory burden._The risk that normal business operations become more costly due to the regulatory environment. This includes regulatory<br>compliance and bureaucratic inefficiency and/or opacity. Regulatory burdens vary across sectors so scoring should give greater weight to<br>sectors contributing the most to the economy.|
||_Tax inconsistency._Tax inconsistency also captures the risk that fines and penalties will be levied for non-compliance with a tax code that<br>appears disproportionate or manipulated for political ends.|
|**Non-re**<br>**ADB**|**presentative Sources**<br>Regional integration<br>|
||Trade policy|
||<br>Business regulatory environment|
|**ASD**|Trade policy|
||Business regulatory environment|
|**BPS**|<br>How problematic are labor regulations for the growth of your business?<br>How problematic are tax regulations for the growth of your business?<br>How problematic are customs and trade regulations for the growth of your business?|
|**BTI**|Market organization|
|**EBR**|<br>Price liberalization|
||Trade and foreign exchange system|
||Competition policy|
|**IFD**|<br>Enabling conditions for rural financial services development<br>Investment climate for rural businesses|
||Access to agricultural input and product markets<br>|
||Trade policy|
|**PIA**|Business regulatory environment|
||Trade policy|
|**WBS**|Managers dealing with government regulations<br>Labor regulations as an obstacle<br>Customs and trade reulations as an obstacle|
|**WCY**|g<br>Protectionism does not impair the conduct of your business<br>Competition legislation is efficient in preventing unfair competition<br>Capital markets (foreign and domestic) are easily accessible<br>The legal and regulatory framework encourages the competitiveness of enterprises<br>Foreign investors are free to acquire control in domestic companies<br>Public sector contracts are sufficiently open to foreign bidders|
||Real personal taxes do not discourage people from working or seeking advancement<br>Labor regulations (hiring/firing practices, minimum wages, etc.) do not hinder business activities|
||<br>Subsidies do not distort fair competition and economic development|
|**WJP**|Factor 6: Regulatory enforcement|

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