Bankruptcy Bill passed in Lok Sabha ; will improve reform sentiment in India

On an action packed Thursday , Lok Sabha has passed Bankruptcy Bill  by clearing the Insolvency and Bankruptcy code 2016 . One of the most prominent business  issue affecting the Indian economy and plaguing its growth story has been the NPA (Non performing Assets ) factor involving the PSBs (Public Sector Banks). 
Indeed the situation on the NPA is so bad in India that it has called attention of the lawmakers to urgently make policy changes and recommend measures that will resurrect the whole banking industry , in case India needs to be on track as regards healthy GDP growth going forward.

Arun Jaitley commented that when there is a global slowdown and a particular industry, for example Steel Industry suffers, it does not suffer in isolation and that it embroils the banking system with itself. 

The Bankruptcy Bill in its current form will definitely improve the business sentiment and the reform sentiment in India. The NDA government has been criticised previously on the grounds of its tall claims in the area of "Ease of Doing Business in India" and there is so little that it has done and achieved so far.  The current bill will definitely silence its critics and India which ranks at 130 for ease of doing business can expect to improve its worldwide ranking. 

The bill will empower creditors, inclusive of those who are not banks.  The focus will be on ease of doing business with this bill; and the provisions in the bill will help unlock the distressed corporate assets for the creditors. The creditors will now be able to recover debts faster and smoother before the debtor sinks completely and the assets lose majority of their value. 

While it takes a lot more than a Bill to have a developed ecosystem where  bankruptcy issues are tackled swiftly within a time frame , the Bankruptcy Bill is a sweet beginning in the right direction towards speedily resolving the stressed assets situation in India.