India’s ongoing efforts to simplify regulations, digitize governance and reduce compliance burdens have significantly improved the country’s business environment, contributing to stronger investor confidence and improved global competitiveness, according to a government background note.
India has undertaken a series of reforms over the past decade aimed at making it easier to start, operate and expand businesses, with the government highlighting notable gains in digital governance, regulatory simplification and ease of doing business.
According to a PIB Backgrounder released on June 7, reforms across company registration, taxation, logistics, land records, labour compliance and public service delivery have helped transform India’s business ecosystem into a more facilitation-oriented framework. The government said these initiatives have reduced procedural hurdles and improved transparency for entrepreneurs and investors.
The impact of these reforms is reflected in several international assessments. India’s ranking in the World Bank’s Doing Business Report improved from 142 in 2014 to 63 in 2019, while the country’s position in the IMD World Competitiveness Ranking rose from 43 in 2021 to 41 in 2025. The government also highlighted India’s continued placement in the highest category of the World Bank’s GovTech Maturity Index and strong performance in the United Nations E-Government Survey.
A key driver of the country’s entrepreneurial growth has been the Startup India initiative. Launched in 2016, the programme has expanded from 502 recognised startups in its first year to more than 2.23 lakh recognised startups by March 2026. These ventures have generated approximately 23.3 lakh direct jobs, with nearly 48% having at least one woman director or partner.
The government noted that digital platforms, streamlined approvals, easier credit access, insolvency reforms and reduced compliance requirements have collectively contributed to a more business-friendly environment. These measures are intended to support economic growth, encourage entrepreneurship and attract both domestic and foreign investment.
Officials said continued efforts to modernize governance and simplify business processes remain central to India’s strategy for enhancing competitiveness and fostering long-term economic development.
Source: This article is based on the press release by PIB Backgrounder
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