Vice President Manuel “Noli” De Castro said on Wednesday that a recent study conducted by the International Finance Corporation (IFC) and the World Bank (WB), which showed that the country at the bottom of its indices in terms of 'ease of doing business,' is a cause for concern and should prod the government and the private sector to ensure that the Philippines remain competitive in the context of the dynamic global economy.

“There is a need to study processes step by step and identify the ones that are helping businesses and those that kill innovativeness,” De Castro said.

Based on the report, economies are ranked on their ease of doing business, from 1 to 183, with first place being the best. A high ranking on the ease of doing business index means the regulatory environment is conducive to the operation of business.

This index averages the country's percentile rankings on 10 topics, made up of a variety of indicators, giving equal weight to each topic. The rankings are from the Doing Business 2010 report, covering the period June 2008 through May 2009.

In said study the IFC and World Bank ranked the Philippines at 144 out of 183 economies in terms of 'ease of doing business.'

The same study showed the country placing 162 out of 183 in terms of 'starting a business' and 153 out of 183 in terms of 'closing a business.'

Out of the 287 reforms recorded in the 183 studied economies, the Philippines was cited for only one reform — the introduction of new insolvency rules that made it easier to reorganize firms.

Singapore topped the overall list on 'ease of doing business' index followed by New Zealand, Hong Kong, United States and the United Kingdom.

"In other words, we are at the bottom third of the indices measured by the IFC and the World Bank. On the whole, our record is a cause for concern," De Castro said.

Nevertheless, De Castro said industries such as mining, can help improve the country's standing by examining the regulatory environment and eliminating the obstacles to competitiveness.