IGI Logo

Commerce and Industry Minister Piyush Goyal has said that the Insolvency and Bankruptcy Code (IBC) has brought about change in the attitude of both lenders and borrowers, besides promoting ease of doing business. He noted that IBC is a game changing reform compared to the past, when resolution would take probably decades. He said ‘we have come to a situation where we can reasonably expect resolution to happen within a stipulated timeline with that occasional delay. But resolution is happening. That is a reality’.

The minister exuded confidence that going forward, there will be significant positive action in terms of what is good for the credibility of India and its financial architecture. Any borrower who does not pay back his dues will be called to task. He also called upon the International Intellectual Property Institute (IIPI) members to follow five guiding principles in work -- integrity, objectivity, professional competence, confidentiality, and transparency. He said ‘And if we follow these five principles, that would be truly the kind of professional behaviour that is expected of professionals assembled in this room’.

Goyal further said harnessing technology is important to speed up resolution of bad loans and urged IIIPI to look at capacity building and upskilling of professionals. To shield businesses from distress in the COVID-19 period, he said the government took the proactive measure to suspend insolvency proceedings arising from defaults during March 2020 to March 2021. The Insolvency and Bankruptcy Code was enacted five years ago.