ENTERPRISE SURVEYS Tunisia 2020 Country Profile
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ENTERPRISE SURVEYS
WHAT BUSINESSES EXPERIENCE
Tunisia 2020
ENTERPRISE SURVEYS
Country Profile
1Contents
Introduction......................................................................................................................................................... 3
Firms Characteristics ........................................................................................................................................... 4
Workforce............................................................................................................................................................ 5
Firm Performance................................................................................................................................................ 5
Physical Infrastructure ........................................................................................................................................ 6
International Trade.............................................................................................................................................. 6
Access to Finance ................................................................................................................................................ 7
Crime and Informality ......................................................................................................................................... 8
Regulations, Permits, and Taxes ......................................................................................................................... 8
Corruption ........................................................................................................................................................... 9
Business Environment Obstacles ........................................................................................................................ 9
Appendix............................................................................................................................................................ 11
The Country Profiles produced by the Enterprise Analysis Unit of the World Bank Group provide an overview of key business environment indicators in each economy, comparing them to
their respective geographic region and group of countries with similar income levels. The same topics are covered for all countries with slight variations of indicators. All indicators are based
on the responses of firms. To learn more about the Enterprise Analysis Unit and to obtain Country Profiles for other countries, please visit www.enterprisesurveys.org
© 2020 International Bank for Reconstruction and Development / The World Bank Group
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Washington DC 20433
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Internet: www.worldbank.org
This work is a product of the staff of The World Bank Group with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the
views of The World Bank Group, its Board of Executive Directors, or the governments they represent.
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Please cite Enterprise Surveys data as follows: Enterprise Surveys www.enterprisesurveys.org The World Bank Group.
The Enterprise Surveys team can be contacted at:
The World Bank Group
2121 Pennsylvania Avenue, NW
Washington DC, 20433 USA
Tel. (202) 479-3800
2economies and includes the entire manufacturing sector
Economy Overview and most services sectors: retail, wholesale, automotive
repair, hotels and restaurants, transportation, storage,
Tunisia 2020 communications, construction, and IT. Public utilities,
Region: Middle East & North Africa
Income Group: Lower Middle Income
government services, health care, and financial services
sectors are not included in the sample (Figure 1). The ES
interview takes place with top managers and business
Introduction owners.
The Enterprise Surveys (ES) focus on many aspects of the
The ES are repeated approximately every four years for a
business environment. These factors can be
particular economy (or region). By tracking changes in the
accommodating or constraining for firms and play an
business environment, policymakers and researchers can
important role in whether an economy’s private sector
look at the effects of policy and regulatory reforms on
will thrive or not. An accommodating business
firm performance. Repeated surveys aid in studying the
environment is one that encourages firms to operate
evolution of the business environment and how it affects
efficiently. Such conditions strengthen incentives for
the dynamics of the private sector.
firms to innovate and to increase productivity — key
factors for sustainable development. A more productive
This document summarizes the results of the Enterprise
private sector, in turn, expands employment and
Survey for Tunisia. Business owners and top managers in
contributes taxes necessary for public investment in
615 firms were interviewed between September 2019
health, education, and other services. Questions
and July 2020.* Figure 2 provides a description of the
contained in the ES aim at covering most of the topics
sample breakdown across the three survey design
mentioned above. The topics include infrastructure,
categories: business sector, firm size, and location.
trade, finance, regulations, taxes and business licensing,
corruption, crime and informality, access to finance,
innovation, labor, and perceptions about obstacles to
Figure 1: Sectors of the economy covered by the
doing business.
Enterprise Surveys
Excluded Included
The ES are conducted by the World Bank Group and its
partners across all geographic regions and cover small, SECTORS SECTORS
medium, and large firms. The size of the firm is Agriculture Manufacturing (all subsectors)
Fishing Construction
determined by the number of employees: 5 to 19 (small), Mining Motor vehicles sales and
20 to 99 (medium), and 100 or more (large). Firms with Public utilities repair
less than five employees are ineligible for the survey. Financial intermediation Wholesale
Firms that are 100% state-owned are also ineligible. Public administration Retail
Education, health and social Hotels and restaurants
Partners for the ES have included the European Bank for work Storage, transportation, and
Reconstruction and Development (EBRD), the European communications
Investment Bank (EIB), and the UK's Department for IT
International Development (DFID). ADDITIONAL CRITERIA ADDITIONAL CRITERIA
• < 5 employees • 5+ employees
The surveys are administered to a representative sample1 • Informal firms • Formal (registered) firms
of firms in the non-agricultural, formal, private economy. • 100% state-owned firms • Minimum of 1% private
ownership
Sector coverage is defined consistently across all
Data collection took place before and during the COVID19, which may affect some of the indicators.
3Figure 2: Characteristics of firms surveyed
Sector
125 112
Food [112] Textiles & Garments [129] Other Manufacturing [124]
Wholesale & Retail [125] Other Services [125]
125 129
124
Size
146
223
Small (5-19) [223] Medium (20-99) [246] Large (100+) [146]
246
Location
108
205
North East [205] Centre East [167] North West & Centre West [135] South East & South West [108]
135
167
Firms Characteristics Figure 3: Age distribution of firms
40
In addition to collecting information on the business 33
environment and firm performance, the ES also collect
30
information on characteristics of private firms. Figure 3
% of Firms
shows the distribution of firms in the private sector 21 21
according to their age, measured by the number of years 20
they have been in operation. The effect of the business 13
environment on firm performance may depend on firms’ 10 8
experience and longevity. Also, older firms and young 2 2
firms may differ in their ability to successfully navigate the
0
business environment. 0-10 11-20 21-30 31-40 41-50 51-60 60+
Firm Age (Years)
4Figure 4 exhibits the percentage of female participation in The incidence of training is measured by the percent of
employment, in top management and in firm ownership, firms that offer formal training and the intensity of
compared to the equivalent percentages for the region training is measured by the share of workers receiving
and for economies with similar income levels. Female training in the manufacturing sector.
inclusion in economic activity is necessary for promoting
shared prosperity, one of the twin development goals of Figure 6: Within firms offering training, proportion of
the World Bank Group. workers trained**
60 51
Figure 4: Female participation in employment, top 44
management and ownership 38
40
50
% of Firms
39 40
20
40 35
32
Percentage
30
23 0
20 19
20 Tunisia2020 Middle East & Lower Middle
10 North Africa Income
10 7
** only for manufacturing firms
0
% Employees that % Firms w/ a % Firms w/ Firm Performance
are female female top female
manager participation in
ownership If an economy’s business environment is supportive and
Tunisia2020 Middle East & North Africa Lower Middle Income competitive, resources are often channeled to the most
productive uses and firms invest to further increase their
productivity. Using the responses to questions on annual
Workforce sales and the total number of permanent full-time
employees, both in the last fiscal year and three fiscal
The ES collect workforce information such as the number years earlier, growth measures can be computed for each
of permanent full-time employees, the number of firm. Figure 7 displays the resulting annual growth rate in
temporary employees, employees by gender, whether employment and in real sales. By looking at business
formal training is offered, and the top manager’s environment measures in conjunction with available
experience working in the firm’s sector. In addition, for performance measures, policymakers can determine
manufacturing firms, the ES also collects the breakdown which aspects of the business environment may be
of the workforce between production and non- impeding or enabling the growth of the private sector.
production workers and between skilled and unskilled
production workers. Figures 5 and 6 highlight firms’ Figure 7: Annual employment and sales growth
investment in the skills and capabilities of their 6 5.0
4.2
workforce. 4
2.3 1.9
Figure 5: Percentage of firms offering formal training 2
0.4
40
% Annual
32 0
30 Annual employment growth Real annual sales growth (%)
-2 (%)
22
19
20 -4
% of Firms
10 -6
-6.3
0 -8
Tunisia2020 Middle East & Lower Middle Tunisia2020 Middle East & North Africa Lower Middle Income
North Africa Income
5Physical Infrastructure Figure 9: Days to obtain an electrical connection
140 128
A well-developed physical infrastructure, including roads, 120
electricity, water and telecommunications, is central to 100
competitiveness and growth of an economy. Quality 80 68
Days
infrastructure efficiently connects firms to markets for 60 40
inputs, products, and technologies. It reduces the cost of 40
production and enhances the competitiveness of firms in 20
domestic and international markets. 0
Tunisia2020 Middle East & Lower Middle
North Africa Income
The ES capture the dual challenge of providing a strong
infrastructure for electricity, water supply and For many industries in the manufacturing sector water is
telecommunications in addition to information on the also an important input in the manufacturing process.
development of institutions that effectively provide and Figure 10 presents the average number of water
maintain these public services. insufficiencies in a typical month experienced by firms in
the manufacturing sector. Interruptions in water
Efficiency in the operation of the private sector requires a provision can have serious harmful effects on firms’
reliable supply of electricity. Figure 8 shows the extent to operations.
which firms face failures in the provision of electricity as
measured by the percent of firms experiencing electrical Figure 10: Reliability of water supply**
2 1.8
outages and by the number of power outages. Inadequate
No. of Insufficiencies
1.4
electricity provision supply can increase costs, disrupt
production, and reduce profitability. 1
Figure 8: Reliability of electricity supply and related 0.1
losses 0
80.0 9.2 9.3 10 Tunisia2020 Middle East & Lower Middle
63.3 North Africa Income
8
60.0 ** only for manufacturing firms
No. of power outages
40.2 42.2 6
International Trade
% of Sales
40.0
4
20.0
2
Participation in international trade allows firms to
0.9
expand, raise standards for efficiency, import materials at
0.0 0 lower cost, and acquire updated and better technologies.
% of firms experiencing No. of power outages However, trading also requires that firms deal with
electrical outages customs and trade regulations, and often firms are also
Tunisia2020 Middle East & North Africa Lower Middle Income required to obtain export and import licenses.
The ES quantify the trade activity of firms and collects
Figure 9 displays the efficiency of infrastructure services information on the operational constraints faced when
by quantifying the number of days it takes to obtain an exporting and importing. Figure 11 provides a measure of
electricity connection. Service delays impose additional the intensity of foreign trade in the private sector,
costs on firms and may act as barriers to entry and captured by the percentage of firms that export directly
investment. at least 10% of their total annual sales. Figure 11 also
shows the percentage of manufacturing firms that use
inputs or supplies of foreign origin.
6Figure 11: Percentage of exporting and importing firms The ES provide indicators on the sources of firms financing
80 and on the characteristics of their financial transactions.
64 62
56
Figure 13 compares the various sources used to finance
60 purchases of fixed assets (investments). Investment
% of Firms
purchases can be financed by internal sources, banks,
40
24 inputs’ supplier credit, or other sources, including non-
20 15 bank financial institutions or personal networks.
10
Excessive reliance on internal funds may indicate
0 potentially inefficient financial intermediation.
% of firms exporting directly % Using inputs of foreign
origin* Figure 14 displays two indicators of the use of financial
Tunisia2020 Middle East & North Africa Lower Middle Income services by private firms: the percentage of firms with a
checking or savings account and the percentage of firms
** only for manufacturing firms with a bank loan. The former indicator measures the use
of deposit mobilization services which helps firms to
Efficient customs procedures enable businesses to manage their liquidity and payments. The second
directly export and import goods. Figure 12 displays the indicator measures the use of financial services on the
average number of days to clear customs for exports and credit side. Availability of credit permits funding projects
imports. Delays in clearing customs for exports and that otherwise would be constrained by each firm’s
imports create additional costs to the firm, can interrupt limited pool of funds.
production, interfere with sales, and may result in
damaged supplies or merchandise. Figure 13: Sources of financing for purchases of fixed
assets
Figure 12: Average days to clear exports and imports
through customs
Tunisia2020 20 1 6 47 27
18 16
15 13
11 Middle East & North Africa 13 5 3 73 5
12
Days
9 8 8
7
6 Lower Middle Income 13 5 4 73 6
3
0 20 40 60 80 100
0
% of Investment
Exports at customs Imports at customs Financed by banks Financed by equity
Tunisia2020 Middle East & North Africa Financed by supplier credit Financed internally
Lower Middle Income Other
Figure 14: Use of financial services
Access to Finance 100 98 97 97
80
Well-developed financial markets provide payment
% of Firms
services, mobilize deposits, and facilitate funding for the 60 54
47
purchase of fixed assets – such as buildings, land, 33
40
machinery, and equipment – as well as working capital.
Efficient financial markets reduce the reliance on internal 20
funds or informal sources such as family and friends by
0
connecting firms that are creditworthy to a broad range
Small (5-19) Medium (20-99) Large (100+)
of lenders and investors. With checking/savings account With bank loan
7Crime and Informality Figure 16: Firms and informality
120
96
Firms can become the target of theft, robbery, vandalism, 87 87
90
or arson. Protecting themselves against crime imposes
% of Firms
61 56
costs as firms are forced to divert resources from 60 43
productive uses to cover security costs. Moreover, both
foreign and domestic investors perceive crime as an 30
indication of social instability, and crime drives up the cost
0
of doing business. Compete with informal Registered when started
firms operations
Figure 15 displays the average security costs as a Tunisia2020 Middle East & North Africa
percentage of sales for firms that pay for security, as well Lower Middle Income
as the average losses from theft and vandalism among
firms that experience losses. These resources represent
the opportunity cost of crime since they could have been Regulations, Permits, and Taxes
invested in productive activities.
Good economic governance in areas such as regulations,
Figure 15: Firms’ cost of crime business licensing, and taxation is a fundamental pillar of
a favorable business environment. Registered firms pay
8
taxes and are supposed to comply with regulations.
5.9
6 5.1 Figure 17: Time tax and meetings with tax officials
% of Sales
4.2
10.0 100
4 3.0 7.7
8.0 80
2 60.1
% of firms
0.8 1.0 6.0 51.0 60
% of Time
4.2
0 4.0 40
% Sales in security costs % Sales in theft costs
2.0 9.3 20
Tunisia2020 Middle East & North Africa Lower Middle Income 0.1
0.0 0
Senior mgmt time w/ govt % of firms that met with
When firms are formally registered, they are required to regulations tax officials
abide by rules and regulations, which are commonly set Tunisia2020 Middle East & North Africa Lower Middle Income
by governments. Paying taxes is usually the most tangible
consequence of becoming part of the formal private
sector. Some firms try to avoid these consequences by
not registering their business and thereby remaining in Permits and licenses are usually required for business to
the informal sector. A large informal sector may represent operate, build a new structure, and to import directly,
a challenge to competing formal firms as informal firms among other activities. Ideally, these regulations and
are able to engage in practices that can give an unfair permits safeguard the general public’s interest while
advantage over formal firms that must comply with the remaining transparent and not imposing heavy burdens
prevailing rules and regulations. on the private sector.
Figure 16 provides two measures of the incidence of The ES provide quantitative measures of regulations such
informality in the private sector. The first indicator is the as business licensing and taxation. Figure 17 illustrates
percentage of firms that indicate that they face the “time tax” imposed by regulations, which is the
competition from unregistered or informal firms. The percentage of time spent by senior management dealing
second indicator is the percentage of currently registered with regulatory compliance. Figure 17 also presents the
firms that started operations being formally registered. percent of firms that were visted or required to meet with
tax officials.
8Figure 18 focuses on the efficiency of business licensing The ES capture individual transactions where bribes may
and permit services. The indicators measure the time be solicited. Figure 20 displays the extent to which firms
required to obtain an import license, a construction are requested to pay a bribe in order to receive selected
permit, and an operating license. Delays in obtaining public services. Businesses may be asked to pay bribes
licenses can be costly to entrepreneurs as they add when they request a construction permit, while trying to
uncertainty and additional costs to much needed business secure a government contract, or during meetings with
transactions. tax officials. These three types of transactions are
common instances where opportunities for bribery occur.
Figure 18: Number of days to obtain permits
100 88 Figure 19: Bribery incidence (percent of firms
80 experiencing at least one bribe payment request)
60 49 25 22
41 41
20 16
40
% of Firms
21 17 18 23 12
Days
15
20
0 10
0
5
Import license Construction Operating license
permit 0
Tunisia2020 Middle East & Lower Middle
Tunisia2020 Middle East & North Africa North Africa Income
Lower Middle Income
Figure 20: Percentage of firms requested or expected to
Complying with regulations is costly for businesses. give gifts or informal payments
Excessive or inefficient regulations can discourage private 40
sector activity and foreign direct investment. 33
28 29 26
30
Corruption
% of Firms
20 16
13 13
11
Corruption by public officials can be a major 10 5
administrative and financial burden on firms. Corruption
creates an unfavorable business environment by 0
undermining operational efficiency and raising the costs For construction For govt contract In mtgs w/ tax
and risks associated with running a private firm. permit officials
Tunisia2020 Middle East & North Africa Lower Middle Income
Inefficient regulations constrain firms’ operations as they
present opportunities for soliciting bribes, where firms
are required to make “unofficial” payments to public Business Environment Obstacles
officials to get things done. In many economies bribes are
common and quite high and they add to the bureaucratic Most indicators in the ES are derived from survey
costs in obtaining required permits and licenses. They can questions that ask businesses for their actual experiences
be a serious impediment for firms’ growth and dealing with the business environment. For example,
development. “How many days did it take to get a permit?” or “How
many hours did the power outage last?”. A small number
Figure 19 provides a composite index of corruption, the of survey questions ask business owners or top managers
bribery incidence, that reflects the percentage of firms for their subjective opinion regarding the importance of
experiencing at least one bribe payment request across various business environment elements.
six different transactions including paying taxes, obtaining
Figure 21 shows the percentage of firms that consider a
permits or licenses, and obtaining utility connections.
specific business environment obstacle as the most
important one. The respondent was asked to choose the
9biggest obstacle to their business from a list of 15 perceptions of managers of medium and small firms. This
business environment obstacles. The figure presents the is related to the capacity to navigate business
top 10 ranking obstacles compared to the regional environment obstacles: larger firms may have more
averages. options to face obstacles but at the same time they are
also more visible and more exposed to failures of the
Figure 22 displays the top 3 obstacles for small, medium,
business environment.
and large firms. In many economies, the perceptions of
managers of large firms are very different from the
Figure 21: Top ten business environment constraints
45 39 Tunisia2020
40 Middle East & North Africa
35
30
% of Firms
25
20 15
15 11
8 5
10 5 5 3 3
5 1
0
Access to Corruption Political Practices of Inadequately Customs and Business Tax rates Labor Tax
finance instability the informal educated trade licenses and regulations administration
sector workforce regulations permits
Figure 22: Top three business environment constraints by size
Small (5-19 Employees) Medium (20-99 Employees) Large (100+ Employees)
40 35 50 45
35 50 45
30 40
40
% of Firms
% of Firms
% of Firms
25 30
20 16 30
14
15 20 15 20 12
10 10
8 10
5 10
0 0 0
Access to Corruption Political Access to Corruption Political Access to Political Corruption
finance instability finance instability finance instability
10Appendix
The following tables contain the values of all indicator variables used in the country profile.
Tunisia2020 Middle
Lower
East &
All Small Medium Large Middle
North
Firms firms firms firms Income
Africa
Firm Characteristics
Age of the establishment (years) 21.6 19.8 22.7 26.3 21.1 17.4
Percent of firms with at least 10% foreign ownership 10.2 5.5 9.9 31.0 6.4 12.4
Percent of firms with at least 10% government/state ownership 0.1 0.0 0.0 0.3 0.7 1.2
Gender
Percent of firms with female participation in ownership 40.1 37.8 40.0 50.6 19.0 35.2
Percent of firms with a female top manager 10.4 10.1 10.1 12.3 6.5 20.1
Proportion of permanent full-time workers that are female (%) 39.2 34.8 41.2 52.7 22.6 31.8
Percentage of permanent full-time non-production workers that are
48.1 41.8 52.3 51.6 24.5 32.5
female*
Percentage of permanent full-time production workers that are
49.7 35.5 58.9 59.0 19.2 27.9
female*
Workforce
Percent of firms offering formal training 19.1 13.3 21.0 37.8 21.5 32.5
Proportion of workers offered formal training (%)* 44.2 45.0 39.1 49.6 37.5 51.5
Years of the top manager's experience working in the firm's sector n.a. n.a. n.a. n.a. 20.2 16.6
Number of workers 47.9 10.4 40.9 223.5 28.9 40.7
Proportion of permanent workers (out of all workers) 98.1 98.2 97.4 99.4 96.0 94.1
Proportion of temporary workers (out of all workers) 1.9 1.8 2.6 0.6 4.0 5.9
Proportion of production workers (out of all permanent workers)* 77.8 70.7 80.7 85.2 71.1 72.1
Proportion of skilled workers (out of all production workers)* 46.5 52.3 43.6 41.2 68.8 76.0
Performance
Real annual sales growth (%) 0.4 0.4 0.8 -0.4 -6.3 1.9
Annual employment growth (%) 4.2 3.0 5.2 7.2 2.3 5.0
Innovation and Technology
Percent of firms that spend on R&D 6.7 2.9 4.7 27.3 8.5 12.6
Percent of firms that introduced a new product/service 14.0 13.7 9.9 25.3 20.1 35.4
Percent of firms whose new product/service is also new to the main
75.4 81.6 78.6 58.7 66.7 67.9
market
Percent of firms that introduced a process innovation 4.4 2.9 4.1 11.1 15.0 33.7
Infrastructure
Number of electrical outages in a typical month 0.9 0.9 1.0 1.0 9.2 9.3
Percent of firms experiencing electrical outages 40.2 36.6 45.2 42.1 42.2 63.3
Days to obtain an electrical connection (upon application) 128.3 n.a. 92.9 n.a. 68.3 40.1
Percent of firms experiencing water insufficiencies* 7.1 11.6 5.9 2.8 15.0 18.3
Number of water insufficiencies in a typical month* 0.1 0.1 0.1 0.2 1.8 1.4
Trade
Days to clear direct exports through customs 6.7 3.3 6.0 8.2 7.6 8.0
Percent of firms exporting directly (at least 10% of sales) 23.6 8.3 30.3 68.5 15.1 10.1
Percent of firms exporting directly or indirectly (at least 10% of sales) 31.9 16.5 40.1 74.3 19.7 14.8
Days to clear imports from customs* 15.8 24.3 17.5 10.4 10.8 13.0
Percent of firms using material inputs and/or supplies of foreign
63.8 45.5 69.2 86.3 61.7 55.9
origin*
Finance
Percent of firms with a checking or savings account 97.5 97.6 97.4 97.2 79.6 83.0
Percent of firms with a bank loan/line of credit 42.0 33.4 54.1 47.4 25.4 26.6
Proportion of investment financed internally (%) 46.6 49.0 43.9 45.6 73.5 72.6
Proportion of investment financed by banks (%) 19.9 12.9 25.8 26.0 13.5 12.9
Proportion of investment financed by supplier credit (%) 5.8 2.0 8.5 10.1 3.2 3.5
Percent of firms using supplier/customer credit to finance working
44.9 44.3 46.0 45.0 23.4 22.8
capital
11Proportion of investment financed by equity or stock sales (%) 1.0 0.1 2.6 0.0 4.9 5.1
Crime
If the establishment pays for security, average security costs (% of
0.8 0.8 0.7 0.8 3.0 4.2
annual sales)
If there were losses, average losses due to theft and vandalism (% of
1.0 n.a. 0.5 n.a. 5.1 5.9
annual sales)
Informality
Percent of firms competing against unregistered or informal firms 60.9 66.4 61.0 36.9 43.2 55.6
Percent of firms formally registered when they started operations in
96.0 96.7 93.5 99.2 86.8 86.7
the country
Regulations and Taxes
Senior management time spent dealing with the requirements of
0.1 0.1 0.0 0.2 4.2 7.7
government regulation (%)
Percent of firms that were visited or required to meet with tax
9.3 8.6 9.5 11.7 51.0 60.1
officials
Days to obtain an import license 20.6 24.3 27.7 4.0 16.8 17.9
Days to obtain a construction-related permit 41.2 11.1 57.9 24.0 87.9 48.8
Days to obtain an operating license n.a. n.a. n.a. n.a. 40.8 23.1
Corruption
Bribery incidence (percent of firms experiencing at least one bribe
11.9 19.0 7.0 2.3 16.5 21.7
payment request)
Percent of firms expected to give gifts to get a construction permit 10.5 14.3 11.4 0.0 28.2 28.7
Percent of firms expected to give gifts to secure government contract 12.5 15.2 14.2 1.1 26.3 33.4
Percent of firms expected to give gifts in meetings with tax officials 4.8 9.3 0.7 0.0 12.7 16.1
Biggest Obstacle
Access to finance 39.4 35.0 44.6 45.4 11.4 17.3
Access to land 0.5 1.0 0.0 0.0 2.4 4.0
Business licenses and permits 4.9 5.3 4.5 4.7 3.7 2.7
Corruption 15.0 16.3 14.8 9.8 9.0 9.3
Courts 0.5 0.0 1.5 0.0 0.9 1.0
Crime, theft and disorder 0.4 0.0 1.2 0.0 1.6 3.3
Customs and trade regulations 5.4 4.7 7.1 3.8 3.5 3.7
Electricity 0.6 0.2 1.3 0.8 11.7 10.8
Inadequately educated workforce 5.4 4.8 5.5 7.4 8.7 4.9
Labor regulations 3.1 2.1 2.2 9.6 2.7 2.4
Political instability 11.5 13.7 7.5 11.8 19.1 12.2
Practices of the informal sector 8.3 11.3 6.3 0.0 7.7 12.9
Tax administration 1.0 0.7 2.1 0.0 2.6 3.4
Tax rates 3.2 4.5 0.2 5.2 11.0 9.2
Transportation 0.8 0.4 1.1 1.6 4.0 2.9
* These indicators are computed only for the manufacturing sector
1. The sample for each economy is stratified by industry, firm size, and geographic region. The level of detail of the stratification by industry depends on
the size of the economy. Stratification by size follows the three levels presented in the text: small, medium, and large. Regional stratification includes the
main economic regions in each economy. Through this methodology estimates for the different stratification levels can be calculated on a separate basis
while, at the same time, inferences can be made for the non-agricultural private economy as a whole. For more details on the sampling strategy, review
the Sampling Note available at www.enterprisesurveys.org.
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