Parliament Session: IBC Amendment Bill 2025 | How It’s Improving India’s Banking Sector| Sitharaman

The revised IBC framework has played a key role in improving recovery of NPAs by Scheduled Commercial Banks, with over ₹54,000 crore recovered through the IBC route out of ₹1 lakh crore total recoveries.

The new amendment replaces the underutilised fast-track CIRP with a creditor-initiated insolvency framework. It introduces features like out-of-court settlements, debtor-in-possession model, and defined timelines—aimed at faster and more efficient resolution, especially for small-cap companies.

Watch to understand how these reforms are reshaping India’s financial and banking ecosystem.