World Bank: Easier to Do Business in Iran

October 31, 2014

            Iran was ranked 130 out of 189 economies by the World Bank in its new Doing Business report, two positions higher than last year. The report measures regulations affecting 11 areas of the life of a business. Iran ranked 62 for starting a business, 89 for acquiring credit and 172 for obtaining a construction permit. The following are excerpts from the report.

Starting a business
 
The Islamic Republic of Iran made starting a business easier by stream-lining the name reservation and company registration procedures.The Islamic Republic of Iran combined name reservation with company registration at a single window.
 
Getting electricity
 
The Islamic Republic of Iran made getting electricity easier by eliminating the need for customers to obtain an excavation permit for electricity connection works.
 
 
Data from World Bank
 
Difficulty of hiring
 
Fixed-term contracts prohibited for permanent tasks?
No
Maximum length of fixed-term contracts (months)
No limit
Minimum wage for a full-time worker (US$/month)
466.63
Ratio of minimum wage to value added per worker
.69
 
Rigidity of hours
 
50-hour workweek allowed?
Yes
Maximum working days per week
6.0
Premium for night work (% of hourly pay)
35
Premium for work on weekly rest day (% of hourly pay)
40
Major restrictions on night work?
No
Major restrictions on night work?
No
Paid annual leave (working days)
24
 
Difficulty of redundancy
 
Maximum length of probationary
period (months)
1.0
Dismissal due to redundancy allowed by law?
Yes
Third-party notification if worker is dismissed?
Yes
Third-party approval if worker is dismissed?
Yes
Third-party notification if workers are dismissed?
Yes
Third-party approval if workers are dismissed?
Yes
Retraining or reassignment?
No
Priority rules for redundancies?
No
Priority rules for reemployment?
No
 
Redundancy Cost
 
Notice period for redundancy dismissal (weeks of salary)
0
Severance pay for redundancy dismissal (weeks of salary)
23.1
 
Research questions
 
Unemployment protection scheme?
Yes
Health insurance for permanent employees?
Yes

 

Click here for the full report.