Why Parliament's return will see focus on this bankruptcy bill
The government is bringing back the Insolvency and Bankruptcy Code (Amendment) Bill, 2025, aiming to make it easier and faster for companies to resolve debt issues.
First introduced last August, the bill will be reintroduced in the second phase of Parliament's Budget session.
Bill aims to improve ease of doing business
If you're interested in how businesses bounce back from financial trouble, this bill matters.
It introduces a Creditor-Initiated Insolvency Resolution Process allowing specified classes of financial creditors, or creditors holding a specified majority of financial debt, to start restructuring outside of court, sets a strict 14-day deadline for key tribunal decisions, and brings in rules for complex cases like group or cross-border insolvencies.
The goal? Faster resolutions, stronger creditor rights, and more trust in India's business scene—potentially improving ease of doing business and investor confidence.