India Ratings and Research (Ind-Ra) has said that despite several regulatory amendments to the Insolvency and Bankruptcy Code (IBC), recovery outcomes in India’s insolvency framework remain constrained by execution-related challenges rather than the regulatory structure itself.
The fourth quarter (Q4) of fiscal 2026 (FY26) reflected this trend, with fresh admissions moderating to 143 cases from 170 in the previous quarter. However, liquidation outcomes continued to exceed resolutions, with 48 liquidation cases compared to 36 resolution cases, Ind-Ra said in a press release.
Recovery levels remained broadly stable at around 31 per cent of admitted claims, indicating continued significant haircuts for creditors. Ind-Ra noted that while…