The Ministry of Corporate Affairs in India introduced various initiatives in 2025 to simplify compliance, enhance corporate governance, and improve the ease of doing business. Notably, the threshold limits for small companies were raised to Rs 10 crore for paid-up share capital and Rs 100 crore for turnover, making more firms eligible for government incentives and loans. Amendments to the Companies Act expanded the scope of Fast Track Mergers and Demergers through changes in the Companies (Compromises, Arrangements and Amalgamations) Rules.
The Companies (Removal of Names of Companies from the Register of Companies) Rules were also amended to streamline the closure process for government companies. This amendment allows for faster closure by simplifying procedures and requiring an indemnity bond from an authorized representative. Additionally, the annual KYC filing requirement was replaced with a simpler KYC intimation every three years, aiming to ease compliance for directors across all companies.
Furthermore, the Insolvency and Bankruptcy Code (Amendment) Bill, 2025 was introduced to reduce timelines, enhance value maximization, and strengthen governance. The bill includes provisions for creditor-initiated insolvency, group insolvency, and cross-border insolvency. Notably, a total of 1,300 resolution plans have been approved under the Code, with creditors realizing Rs. 3.99 lakh crore by September 2025.
As part of a technology-driven reform, an integrated digital platform for the Insolvency and Bankruptcy Code ecosystem is currently in development. These reforms are expected to enhance credit availability, reduce transaction costs, and ensure faster outcomes, aligning with the government’s goal to boost India’s global standing in ease of doing business.
The Investor Education and Protection Fund Authority launched an Integrated Portal and Dedicated Call Centre to expedite claim settlement and provide enhanced investor support. This initiative has streamlined claim disposal into a transparent and investor-friendly digital process. Additionally, to bolster regulatory reach and service delivery, the Ministry will establish three new Regional Directorates and six new Registrar of Companies offices in key locations from January 1, 2026.
