The Indian government supports most recommendations for Insolvency and Bankruptcy Code (IBC) reforms, aiming to expedite resolutions and reduce litigation. Proposed changes include adjustments to timelines, voting thresholds, and decriminalization of offenses. However, the Centre opposes making the 'clean slate' provision for new investors retrospective from 2016, citing potential unforeseen legal consequences for ongoing court cases. An amendment is planned to remove the retrospective clause from the IBC (Amendments) Bill, 2025, before its passage.