IBBI focuses on the next phase of strengthening the insolvency framework

Traders Union
All News
Financial News
Next phase of IBBI's insolvency framework

Highlights

At its 10th Annual Day, IBBI focused on the use of emerging technologies, including AI, faster resolution processes and policy reforms in the IBC framework.
NCLT and NCLAT officials said that the IBC has undergone seven amendments since 2016, and measures to ensure timelines and expedite case disposal have been implemented.
Currently, more than 4,400 Insolvency Professionals and 6,000 Registered Valuers are active, indicating the continued growth of institutional capacity in India's insolvency ecosystem.

This article was translated from the original. Read the original version by our correspondent here.

Reform agenda takes centre stage at 10th Annual Day

According to a press release issued by the Insolvency and Bankruptcy Board of India, the event held at Bharat Mandapam was attended by Minister of State for Corporate Affairs and Road Transport & Highways Harsh Malhotra as chief guest, along with senior officials from the NCLT, NCLAT and the Ministry of Corporate Affairs. Discussions focused on keeping the IBC aligned with evolving needs, accelerating the resolution process, and making greater use of emerging technologies, including AI.

In his address, Harsh Malhotra says that the Insolvency and Bankruptcy Code, 2016 has strengthened credit discipline, improved the recovery environment and contributed to ease of doing business in the country. Referring to recent legislative amendments, he urges all stakeholders to work towards faster and more value-creating resolutions in the next decade.

NCLT President Justice Anupinder Singh Grewal discusses measures being taken to reduce delays in case disposal and recent improvements in the faster approval of resolution plans. NCLAT member Indivar Pandey notes that the IBC has been amended seven times over the past ten years and that adherence to timelines remains essential for all parties.

Impact on sectoral capacity and market structure

Ansuman Patnaik, Additional Secretary at the Ministry of Corporate Affairs, highlights policy reforms, including the 2026 Amendment Act, aimed at further strengthening the Code. He also outlines the next areas for reform in the IBC framework and its associated ecosystem.

IBBI Chairperson Jayanth Kumar Prasad says the IBC has enabled significant recoveries for creditors, preserved viable businesses across sectors, and brought lasting changes in debtor-creditor behaviour. According to him, the ecosystem now includes more than 4,400 Insolvency Professionals and more than 6,000 Registered Valuers, reflecting the expansion of institutional capacity in India's insolvency framework.

During the event, the annual publication titled "Shaping the Next Decade of IBC: The Road Ahead" is released, and winners of the 7th National Online Quiz on the Insolvency and Bankruptcy Code are honoured. The participation of representatives from the government, regulatory bodies, industry associations, financial institutions, academia and the insolvency professional community underlines the broader policy and market significance of the IBC framework.

Our previous report on IBBI's 10th Annual Day outlined the event scheduled for 1 October 2026 at Bharat Mandapam, New Delhi, and the launch of the “Shaping the Next Decade of IBC: The Road Ahead” publication. The same article also noted that winners of the 7th National Online IBC Quiz would be honoured on the occasion, with participation from representatives of the ministry, NCLT/NCLAT, regulators and industry, fostering policy dialogue and networking in the insolvency ecosystem.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.