Document: Improving Business Environment trough Regulatory Impact Analysis - Opportunities and Challenges for Developing Countries

Regulatory Impact Analysis (RIA) is a tool now used in most developed countries to improve the understanding of economic and social welfare impacts of regulation. It is widely recognized as an important mechanism which can contribute to improving the business environment, and to promote regulatory efficiency and effectiveness. This article argues that RIA is equally capable of improving regulatory quality and the business environment in developing countries. The paper provides a framework and strategy for implementing RIA in developing countries. It urges a flexible, pilot-driven, step-by-step approach.