India’s Business Reforms Strengthen Investor Confidence and Enhance Ease of Doing Business
- IBEF
- June 9, 2026
India has significantly transformed its business environment over the past 12 years through reforms focused on regulatory simplification, digital governance, compliance reduction and improved market access. These measures have strengthened investor confidence and enhanced the country’s competitiveness as a global business destination. India’s ranking in the World Bank’s Doing Business Report improved from 142nd in 2014 to 63rd in 2019, while its position in the IMD World Competitiveness Ranking advanced from 43rd in 2021 to 41st in 2025. The country has also consistently remained in the highest category of the World Bank’s GovTech Maturity Index, reflecting progress in digital public service delivery. One of the most notable outcomes has been the expansion of the startup ecosystem, with recognised startups increasing from 502 in 2016 to more than 2.23 lakh by March 2026, generating over 23.3 lakh direct jobs. Reforms such as Startup India, SPICe+, MCA21 Version 3 and the Udyam Registration Portal have simplified business incorporation, compliance and formalisation for entrepreneurs and Micro, Small and Medium Enterprises (MSMEs).
The government has further strengthened the business ecosystem through improvements in logistics, taxation, digital payments, trade facilitation and access to finance. The National Single Window System has facilitated more than 8.29 lakh approvals since 2021, while the PM GatiShakti National Master Plan has evaluated projects worth over Rs. 16 lakh crore (US$ 167.50 billion). The Government e-Marketplace (GeM) has recorded cumulative transactions exceeding Rs. 18.4 lakh crore (US$ 192.64 billion), creating new opportunities for startups and Micro, Small and Medium Enterprises (MSMEs). Additionally, the Unified Payments Interface (UPI) processed transactions worth approximately Rs. 314 lakh crore (US$ 3.55 trillion) in 2025-26. Supported by trust-based governance reforms and reduced compliance requirements, these initiatives are fostering innovation, attracting investment and positioning India as a globally competitive economy.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Partners
