Bureaucracy Index is a simple and transparent quantification of the proverbial “red tape”, which is mentioned daily in media, but rarely in any quantitative terms
There are several existing competitiveness rankings around, that comprehensively assess the quality of law enforcement, infrastructure and tax law from a business perspective. In Bureaucracy Index, we decided to keep down to earth. In collaboration with experts from different areas, we have identified all the administrative tasks that the state requires from a model company. These tasks were assigned time and financial demands (similar methodology is used by Slovak Ministry of Economy).
Bureaucracy Index was founded in 2016 by the Institute of Economic and Social Studies (INESS). The goal was to establish a comprehensive list and subsequent cost of bureaucratic burden for a SME (small and mediumsized enterprise) in a country and to put a price tag on it – to draw attention to excessive administration and show just how heavy a burden it represents for entrepreneurs. Following a 2016 pilot in Slovakia, the project now aims to spread the idea to other countries and enable international comparison of bureaucratic burden, particularly for SMEs. As part of this effort, INESS established International Bureaucracy Day, marked every year on September 29th. On this occasion, INESS and partner organizations from other countries publish the project’s results and draw attention to the resources and talent wasted around the world due to excessive bureaucracy.
