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Insolvency and Bankruptcy Code receives presidential assent

On 28 May 2016 the Insolvency and Bankruptcy Code, 2016 received presidential assent, creating a time-bound corporate and individual insolvency process. In the causal graph this event strengthens the driver Banking-System Stability.

Insolvency and Bankruptcy Code receives presidential assent

Sources: [1][2]

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On 28 May 2016 the Insolvency and Bankruptcy Code, 2016 received presidential assent, creating a time-bound corporate and individual insolvency process.

Context

The Finance Ministry and IBBI implement. NCLT benches hear cases. Modi is the prime minister of the government that enacted it. He did not sit as every resolution professional. Later amendments are neighbouring later statutes.

GST in 2017 is a neighbouring later tax instrument. Later IBC amendments are neighbouring later statutes.

The Prime Minister of India is head of the Union Council of Ministers. Parliament writes statutes; the President assents; states and Union ministries implement; the Supreme Court can strike a scheme down. A prime minister can announce demonetisation, drive a bill, and take an oath. He does not write a UNFCCC depositary record, an ISRO telemetry file, or a Supreme Court judgment by himself.

Why it matters

The path is banking-system stability and fiscal sustainability: a completed insolvency code is a dated creditor-rights and resolution instrument.

Who was responsible

Contribution type and responsibility level for each recorded actor — not sole-author shorthand.

  • Narendra Modi

    Person

    Direct responsibility

    responsibility level 0.65 · verified

    His government piloted the code. Parliament passed it. The President assented. IBBI and NCLT implement.

What changed

Fact → Driver → Indicator. Relationship strength orders the paths; it is not the observed indicator movement.

    1. FactInsolvency and Bankruptcy Code receives presidential assent
    2. strengthensDriverBanking-System Stability

    impact weight 0.5 · Effect from 28 May 2016 · verified

    A completed time-bound insolvency code is a dated expected improvement in corporate-debt resolution.

    1. FactInsolvency and Bankruptcy Code receives presidential assent
    2. strengthensDriverFiscal-Policy Sustainability

    impact weight 0.35 · Effect from 28 May 2016 · verified

    Faster resolution reduces expected fiscal cost of zombie credit, with lag and court congestion.

Evidence

The sources behind this fact and its verification state.

Verified2 sources on file
  1. 1.Reuters — India passes bankruptcy law to ease recoveryReuters · High credibility · verified
  2. 2.India Code — Insolvency and Bankruptcy Code, 2016Government of India · High credibility · verified
What the sources establish

Government of India carries the official instrument or communique. Reuters records the same dated act independently.

Established: a 28 May 2016 presidential assent to the Insolvency and Bankruptcy Code.

Not established: a unique later NPA coefficient from assent day, or that every later haircut was optimal.

Parliament passed it. The President assented. IBBI and NCLT implement.. A later repeal, court stay, or successor order would be a different Fact with a different date. That pair identifies Insolvency and Bankruptcy Code receives presidential assent, not a later speech about Insolvency and Bankruptcy Code receives presidential assent.

Co-authors and later implementers named in Context remain on the file. If a later repeal, stay, or successor decree exists, it needs its own date and its own row. The contribution described on this Person row is limited to His government piloted the code. Parliament passed it. The President assented. IBBI and NCLT implement. That limit is the alternative to treating office-holding as authorship of every later series. The Lok Sabha, Rajya Sabha, the President, the Reserve Bank, state governments, the Election Commission, and foreign counterparties share specific files. Allegation is not a completed judgment. A Supreme Court striking-down is not a criminal conviction. A scheme notification is not a unique rupee coefficient. A UN pledge is not a delivered emissions path.

Causal path

How this event connects to drivers and indicators in the graph.

  1. ActorNarendra Modi
  2. contributed toFactInsolvency and Bankruptcy Code receives presidential assent
  3. strengthensDrivers (2)Banking-System Stability

Cite this page

Factrail. (2026). Insolvency and Bankruptcy Code receives presidential assent. Factrail. https://factrail.ai/facts/in-ibc-2016

https://factrail.ai/facts/in-ibc-2016

Accessed 15 October 2026.

By the Factrail desk · Method: how we source and score · Last reviewed

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