Over the last years, business environment reform has increasingly been seen as an important factor for how well firms in any given economy perform. This has placed greater importance on the question of how business environment reform links to economic growth and poverty reduction.
This rapid evidence assessment focuses on the poverty impacts of business environment reforms in terms of increasing incomes and employment. The overriding finding suggests that business environment reform does contribute to poverty reduction, but through indirect links rather than a direct impact. This paper explores these indirect effects of business environment reforms on poverty in detail.