IIM Bangalore Conducts Research Study on ‘Behavioural impact of Insolvency and Bankruptcy Code’: Key Findings

IIM Bangalore studies IBC's behavioral impact - A research study by IIM Bangalore's Centre for Capital Markets and Risk Management (CCMRM), featured by the Insolvency and Bankruptcy Board of India (IBBI), has assessed the behavioral impact of the Insolvency and Bankruptcy Code (IBC). The study, utilizing extensive datasets, found that IBC has significantly improved borrower discipline, reduced loan delinquencies, and enhanced the pace of debt resolution. It specifically noted an improvement in the credit culture of corporates, with the average duration of overdue corporate loans sharply declining, and a reduction in gross NPAs.