World Bank Group and EBRD Launch Business Environment Survey in Georgia

Tbilisi, Georgia, May 2008—The World Bank Group has announced the launch of the fourth round of the Business Environment and Enterprise Performance Survey, a joint initiative of the European Bank for Reconstruction and Development and the World Bank in Georgia. For the first time IFC has joined the initiative, and the survey will now cover issues specific to IFC’s advisory activities. The regional data from the survey will complement IFC’s efforts to monitor the changes in the business enabling environment and assess the impact of regulations.

The objective of the survey is to obtain feedback from enterprises in client countries on the state of the private sector. Through interviews with 360 firms in the manufacturing and services sectors, the survey will assess the constraints to private sector growth and create statistically significant business environment indicators that are comparable across countries.

The World Bank is implementing the business environment survey around the globe, using a standardized questionnaire adapted to each country. Topics include the adoption of technology and innovation, competition, the qualifications of the workforce, informality, access to financial services, infrastructure, and impact of government regulations.

The survey will continue gathering data to provide year-to-year, cross-country business environment measures. It will also revisit previously interviewed businesses to compile comprehensive panel data that will allow researchers to track changes in the business environment, measure the effect of these changes on establishment performance over time, and assess the effects of reforms.

The research team began interviews in April, and the preliminary results are expected in September 2008. The results, together with additional information from other investigations, will form the basisof policy recommendations to the government for promoting investment, productivity, and economic growth.