A swift response

Govt has moved fast to address IBC problems

Less than a fortnight after the banking and financial system was thrown into turmoil by a decision of the National Company Law Appellate Tribunal (NCLAT) in the Essar Steel case, the Union Cabinet issued a series of amendments to the Insolvency and Bankruptcy Code (IBC) that address some outstanding issues in it. This is a remarkably swift response — not just by the standards of the Indian state but by any objective analysis. The government and the corporate affairs ministry deserve credit for recognising the scale of the problems and moving to address them so quickly.

The NCLAT judgment had, in