Finance Minister Nirmala Sitharaman on Saturday defended the Insolvency and Bankruptcy Code (IBC) against criticism over recovery rates, asserting in the Rajya Sabha that the framework is designed primarily for resolution and value maximisation rather than mere recovery.
Citing official data, she said the IBC has enabled the resolution of 1,376 companies, with creditors recovering ₹4.11 lakh crore. Financial creditors, she added, have realised over 64% of their claims through the process.
She also informed the House that commercial banks have recovered more than ₹1.04 lakh crore from non-performing assets (NPAs), of which over…