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150 Economic Survey 2021-22

to 14 per cent for its employees. It is extended to Bank employees, State Govt employees and
Central Autonomous Bodies (CABs). The Government has also provided the option to Central
Government employees to change their pattern of investment along with opting for any other
pension fund apart from the present default scheme.

INSOLVENCY AND BANKRUPTCY CODE

4.55 The Insolvency and Bankruptcy Code (IBC) has created a cohesive and comprehensive
insolvency ecosystem. With the enactment of IBC, India has witnessed the birth of two professions,
namely, the insolvency profession and the valuation profession that have professionalised
insolvency services. The Code has opened possibilities of the resolution, including merger,
amalgamation and restructuring of any kind, which often requires professional help. This
has created markets for services of Insolvency Professionals, Registered Valuers, Insolvency
Professional Entities and expanded the scope of services of Advocates, Accountants and other
professionals (Table 22).

Table 22: Ecosystem under the Code

Appellate Authority Two Benches of National Company Law Appellate Tribunal
Adjudicating Authority 15 Benches of National Company Law Tribunal
Regulator Insolvency and Bankruptcy Board of India
As on
Service Providers
Mar2017 Mar2018 Mar2019 Mar2020 Mar2021 Sep2021
Information Utilities 00 01 01 01 01 01

Insolvency Professional 03 03 03 03 03 03
Agencies
Insolvency Professionals 977* + 96 1812 2456 3004 3504 3816

Insolvency Professional 03 75 48 69 83 86
Entities
Registered Valuer NA NA 11 12 16 16
Organisations

Registered Valuers NA NA 1186 3030 3967 4366
Registered Valuer Entities NA NA 0 20 40 52
Source: IBBI
Note: *These registrations had a validity of six months and expired by 30 June 2017
th
Outcomes under the Code

4.56 In view of the COVID-19 pandemic, the Insolvency and Bankruptcy (Amendment)
Ordinance, 2020 was promulgated on 5 June 2020, which suspended initiation of the CIRP
th
of a corporate debtor (CD) for any default arising on or after 25 March 2020. Further, the
th
suspension of the Code was extended twice for 3 months each on 24 September 2020 and
th
22 December 2020, to provide relief to the firms undergoing stress due to the pandemic. The
nd
relaxation combined with continued resolutions led the number of cases to decline during 2020-
21, which has slightly increased to 1640 as of September 2021 (Figure 20).