Finance Minister Nirmala Sitharaman praised the outcomes of the Insolvency and Bankruptcy Code, stating that it has revolutionized the debtor-creditor relation and provided a single solution for insolvency issues. She criticized the Congress for not taking similar progressive steps for India’s growth.
Since its implementation in 2016, the IBC has rescued 3,171 distressed companies, a significant improvement over the erstwhile BIFR that resolved fewer cases in nearly 30 years. Sitharaman emphasized the importance of IBC in enhancing corporate governance and recovering Rs 3.36 lakh crore, 32% of claims and 162% of liquidation value.
The minister highlighted the evolving nature of the IBC framework, with the government making efforts to strengthen the insolvency resolution process by filling vacancies in NCLT and NCLAT promptly.
Published 30 May 2024, 21:51 IST