This document summarizes the findings of a report on conducting business in Nigeria and Madagascar. It discusses the following key points in 3 sentences: The report presents data from the Doing Business indicators on the ease of starting and operating a business across different locations in Nigeria and Madagascar. It finds that it is easiest to do business in Abuja, Nigeria based on factors like cost and time to start a business, register property, build a warehouse, and enforce contracts. The report also identifies best practices from high-performing states in Nigeria that could help improve the overall rankings of Nigeria and other countries if adopted more broadly.

1. Starting a business in Madagascar REPORT LAUNCH REPORT LAUNCH MAY 20, 2008 ABUJA

2. Doing Business indicators Add 3 countries Research program on regulation and business opportunities for women Ongoing work on new indicators Add 3 countries Reformer’s Club: 11 case studies Starting a business Dealing with licenses Employing workers Registering property Getting credit Protecting investors Paying taxes Trading across borders Enforcing contracts Closing a business 2009 2008 2007

3. Top performers on Doing Business 10. Bulgaria 116. Zambia 10. Iceland 9. China 108. Nigeria 9. Australia 8. Kenya 102. Ethiopia 8. Ireland 7. Saudi Arabia 95. Swaziland 7. Canada 6. Colombia 87. Ghana 6. United Kingdom 5. Georgia 72. Kenya 5. Denmark 4. Macedonia, FYR 51. Botswana 4. Hong Kong, China 3. Ghana 43. Namibia 3. United States 2. Croatia 35. South Africa 2. New Zealand 1. Egypt 27. Mauritius Singapore TOP 10 REFORMERS TOP 10 AFRICAN COUNTRIES TOP 10 DOING BUSINESS COUNTRIES

4. Many countries are reforming fast

5. Why Expand Doing Business to the Sub-National Level? Extends Doing Business indicators beyond the most populous city Actively involves state governments in the reform process Diagnostic tool Reform instrument M&E instrument Creates baseline Allows locations to compete locally and globally Puts regulatory reform on political agenda Comparisons within countries are strong drivers of reform Uncovers bottlenecks and local good practices Promotes peer to peer learning Measures progress over time Creates an incentive to maintain reform effort even when governments change

6. KADUNA ABUJA (F.C.T) CROSS RIVER ENUGU ANAMBRA ABIA OGUN LAGOS SOKOTO KANO BAUCHI SOKOTO Doing Business in Nigerian states

7. Topics covered by the subnational assessment Company registration Licenses and permits Property registration Contract enforcement

8. Time to start a business – fastest in Abuja World’s best Africa’s best

9. Cost to start a business – cheapest in Abuja World’s best Africa’s best

10. Time to build a warehouse in Nigerian states Africa’s best World’s best

11. Cost to build a warehouse in Nigerian states World’s best Africa’s best

12. Governor’s consent – bottleneck to registering property World’s best Africa’s best

13. Cost to register property – administrative fees vary World’s best Africa’s best

14. Time to enforce a contract in Nigerian states World’s best Africa’s best

15. Cost to enforce a contract in Nigerian states World’s best Africa’s best

16. Where is it easiest doing business in Nigeria? Kaduna (easiest) Abuja, FCT Bauchi Kano 4. Sokoto Abia Enugu Lagos Anambra Cross River Ogun (most difficult)

17. Best practices from across Nigeria * In the global Doing Business report, Nigeria is represented by Lagos 32% 457 22.2 82 14 1,016% 350 18 57% 34 9 Nigeria’s performance in Doing Business 2008* 13% 315 9% 38 12 142% 46 12 37% 22 5 Best practice Kaduna Abia Abuja, FCT Kano Abuja, FCT, Bauchi Kaduna Sokoto Bauchi, Kaduna Abuja, FCT Abuja, FCT Abuja, FCT Best performing state Cost to enforce a contract Days to enforce a contract Cost to register property Days to register property Procedures to register property Cost to build a warehouse Days to build a warehouse Procedures to build a warehouse Cost to open a business Days to open a business Procedures to start a business Indicator

18. Potential for improvement in ranking After adopting all best practices “ Nigeriana” - 51 Nigeria - 108 Ethiopia – 102 Bangladesh – 107 Nepal – 111 Taiwan – 50 Botswana – 51 Italy – 53

19. Business friendly regulation leads to more registered businesses and start-ups Countries ranked by ease of doing business, quintiles Business Density (registered firms per capita) Business Entry (new firms in % of registered firms) Source: Doing Business database Easiest Most difficult Most difficult Easiest

20. … which means more formal employment Informal sector (% del GDP) Unemployment (% labor force) Easiest Most difficult Most difficult Easiest Countries ranked by ease of doing business, quintiles

21. More reforms, higher equity returns 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% -6 -4 -2 0 2 4 6 8 10 12 Number of reforms, 2003-06 3-year shareholder return (%)

22. DOING BUSINESS IN NIGERIA Additional data available at http://subnational.doingbusiness.org www.doingbusiness.org