Uttar Pradesh Tops National Ranking in Business Reform Implementation Across 23 Priority Areas

Uttar Pradesh has achieved the top ranking in the Centre's comprehensive business reform assessment, becoming the first state to fully implement all 23 priority reform areas identified by the central government. The achievement positions the state as a leader in creating a business-friendly environment through systematic deregulation and process simplification.

Comprehensive Reform Implementation

The state-wise ranking under the 'Deregulation 1.0' report evaluated states based on their effective implementation of reforms across five major sectors. Uttar Pradesh distinguished itself by being the only state to comprehensively adopt all 23 priority areas, demonstrating a holistic approach to business environment improvement.

Land and Construction Sector Reforms

In the land sector, Uttar Pradesh implemented significant structural changes to facilitate business operations. The state adopted a flexible zoning framework that enables mixed-use development, providing greater flexibility for businesses in land utilisation. The land-use change process underwent complete digitalisation, reducing bureaucratic delays and improving transparency.

The building and construction sector witnessed substantial regulatory amendments aimed at reducing land wastage in industrial and commercial developments. The state enhanced the role of empanelled third parties in critical processes including building approvals, joint inspections, and fire safety assessments. This reform has significantly reduced approval timelines while maintaining quality standards through online issuance of occupancy and completion certificates.

Labour Market Modernisation

Uttar Pradesh implemented progressive labour reforms that modernise workplace regulations while ensuring worker protection. The state removed restrictions preventing women from working in certain industries previously classified as hazardous, expanding employment opportunities. Night-time employment for women across factories, shops, and commercial establishments received official permission, enhancing workforce flexibility.

The compliance threshold under the Shops and Establishments Act was raised to 20 workers or more, reducing regulatory burden on smaller enterprises while maintaining oversight for larger operations. Working hour limits underwent rationalisation to balance productivity requirements with worker welfare.

Digital Integration and Streamlined Processes

The state's approach to utilities and permissions demonstrates comprehensive digital transformation. Third-party certification for environmental consents was enabled, accelerating the approval process while maintaining environmental standards. Factory and trade license approvals transitioned to online systems, eliminating physical paperwork and reducing processing time.

Electricity and water connections now operate through integrated digital platforms, providing businesses with streamlined access to essential utilities. The reclassification of non-polluting industries under the White category further simplified compliance requirements for environmentally friendly businesses.

Strategic Impact on Business Environment

These comprehensive reforms position Uttar Pradesh as a model for other states in implementing business-friendly policies. The systematic approach across all five identified sectors creates a cohesive ecosystem that addresses multiple pain points faced by businesses. The integration of digital platforms with regulatory processes demonstrates the state's commitment to leveraging technology for administrative efficiency.