With mounting pendency, infra woes, NCLT struggles as insolvency cases surge beyond capacity

The Insolvency and Bankruptcy Code (IBC) framework faced significant timeline and capacity stress in 2025, with resolution processes exceeding statutory limits. Mounting case backlogs, limited NCLT court operations, and extensive litigation contributed to nearly Rs 10 lakh crore in distressed assets being locked. Experts highlight systemic delays due to insufficient government support, delayed appointments, and infrastructure gaps.