Slovakia slipped six places to rank 49th in the 2014 edition of the Doing Business Report, which assesses the ease of doing business across 189 economies worldwide.

The report, which sheds light on how easy or difficult it is for a local entrepreneur to open and run a small to medium-size business when complying with relevant regulations, is compiled by the World Bank and the International Finance Corporation (IFC). It measures and tracks changes in regulations affecting 10 areas in the life cycle of a business: starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency.

Slovakia improved its position in terms of trading across borders where it ranked 108th globally, advancing 3 places from the previous report, and in the getting electricity area where it climbed one spot to 65th. The country kept its position unchanged in terms of resolving insolvency and enforcing contracts – 38th and 65th, respectively. Its performance worsened in the remaining 6 areas. Slovakia made starting a business more difficult by adding a new procedure for establishing a limited liability company. It also reduced the maximum cumulative duration of fixed term contracts, reintroduced the requirement for third-party notification when terminating an employee, reintroduced mandatory severance pay for workers with more than 2 years of service in the company and increased the minimum wage. The country made paying taxes more costly for companies by increasing the corporate income tax rate and by adjusting land appraisal values.