The Finance Minister is expected to place the Union Budget in Parliament on February 1, 2025. While critical fiscal law reforms are likely, the government should take this opportunity to initiate deeper reforms to revigorated the Indian stressed assets markets.
The IBC was a radical structural reform when it was introduced in 2016. It has been instrumental in reducing NPA levels and increasing recovery for banks. Over the years, the practical working of the law threw up various challenges. The government as well as the judiciary were extremely proactive in addressing these challenges by continuously streamlining the law and the jurisprudence around it. Two problems, however, persisted.
Delays associated with IBC resolutions remain…
