Alerts & Updates 22nd Sep 2025
The Insolvency and Bankruptcy Code (IBC) has been India’s most ambitious economic reform of the past decade, offering a modern framework for resolution of distressed assets and strengthening creditor rights. Yet, despite early successes, the ecosystem continues to grapple with persistent delays, litigation-driven bottlenecks, and frequent misuse of the process as a debt recovery tool rather than a genuine revival mechanism. Against this backdrop, the IBC Amendment Bill, 2025 was expected to deliver bold reforms to address systemic weaknesses. Instead, what it offers are largely procedural tweaks, many of which risk multiplying litigation rather than streamlining resolution.
This update examines the proposed amendments, their limitations, and the reforms still urgently required for the IBC to fulfil its original promise.
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