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  • 1
    Language: English
    Pages: 1 Online-Ressource (39 p)
    Series Statement: World Bank E-Library Archive
    Parallel Title: Erscheint auch als Benhassine, Najy Finding a Path to Formalization in Benin: Early Results after the Introduction of the Entreprenant Legal Status
    Abstract: In April 2014, the Government of Benin launched the entreprenant status, a simplified and free legal regime offered to small informal businesses to enter the formal economy. This paper presents the short-term results of a randomized impact evaluation testing three different versions of the entreprenant status on business registration decisions, each version including incremental incentives to registration: (i) information on the new legal status and its benefits, (ii) business training, counseling services, and support to open a bank account, (iii) tax mediation services. The study included 3,600 informal businesses operating with a fixed location in Cotonou, Benin, which were randomly allocated between three treatment groups and one control group. One year after the program launch, all versions of the program had significant impact on formalization rates. The impact was 9.1 percentage points in the first treatment group; 13 percentage points in the second group; and 15.8 percentage points in the last group. The program had a higher impact on male business owners, with more education, operating outside Dantokpa Market, in sectors other than trade, and that before being offered the incentives to formalization had characteristics similar to businesses that were already formal. Data from a second follow-up survey, which is expected to take place in March 2016, will explore the impacts on other outcomes, like business performances or access to banking
    URL: Volltext  (Deutschlandweit zugänglich)
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  • 2
    Language: English
    Pages: 1 Online-Ressource (60 p)
    Series Statement: World Bank E-Library Archive
    Parallel Title: Erscheint auch als Benhassine, Najy Can Enhancing the Benefits of Formalization Induce Informal Firms to Become Formal? Experimental Evidence from Benin
    Abstract: Governments around the world have introduced reforms to attempt to make it easier for informal firms to formalize. However, most informal firms have not gone on to become formal, especially when tax registration is involved. A randomized experiment based around the introduction of the entreprenant legal status in Benin is used to provide evidence from an African context on the willingness of informal firms to register after introducing a simple, free registration process, and to test the effectiveness of supplementary efforts to enhance the presumed benefits of formalization by facilitating its links to government training programs, support to open bank accounts, and tax mediation services. Few firms register when just given information about the new regime, but 9.6 percentage points more register when they were visited in person and the benefits were explained. The full package of supplementary efforts boosts the impact on the formalization rate to 16.3 percentage points, demonstrating that enhancing the benefits of formalization does induce more firms to formalize. Firms that are larger, and that look more like formal firms to begin with, are more likely to formalize, providing guidance for better targeting of such policies. However, formalization appears to offer limited benefits to the firms, and the costs of personalized assistance are high, suggesting that such enhanced formalization efforts are unlikely to pass cost-benefit tests
    URL: Volltext  (Deutschlandweit zugänglich)
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  • 3
    ISBN: 9780821378892
    Language: English
    Pages: Online-Ressource (XXIX, 243 Seiten) , Ill.
    Edition: World Bank eLibrary
    Series Statement: MENA development report
    Parallel Title: Erscheint auch als From privilege to competition
    DDC: 338.956/05
    RVK:
    Keywords: Economic development ; Economic development ; Public-private sector cooperation ; Public-private sector cooperation ; Privatwirtschaft ; Wirtschaftswachstum ; Leistungsfähigkeit ; Investition ; Produktionspotential ; Economic development ; Economic development ; Public-private sector cooperation ; Public-private sector cooperation ; Naher Osten ; Mittlerer Osten ; Nordafrika
    Abstract: The future prosperity of most people of the Middle-East and North Africa—and the social cohesion of their countries—rests in great part on the ability of governments to enable the private sector to respond to this job creation challenge. This is what this report is about. It is about enabling the new generations of entrepreneurs that have emerged over the past years all across the region to play a bigger role in the growth of their countries. It is also about encouraging more investors to believe in the prospects of the region and trusting that business-friendly policy reforms will benefit them and not only a minority of privileged entrepreneurs.From privilege to competition: unlocking private-led growth in the Middle-East and North Africa complements previous regional flagship reports published by the World Bank. In particular, the 2004 flagship report on trade and investment in the MENA region and the 2008 report on education touched upon other fundamental ingredients of economic competitiveness and private sector development. By focusing on market institutions, the quality of implementation of economic policies and the credibility of reforms from the private sector perspective, this report offers a new angle to the growth and employment challenge of the MENA region.
    Note: Includes bibliographical references and index. - Statement of responsibility from p. xxiii. - Gesehen am 04.04.2013 , Statement of responsibility from p. xxiii
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    URL: Volltext  (Deutschlandweit zugänglich)
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