New Delhi, Dec. 29 -- The proposed amendments to the Insolvency and Bankruptcy Code (IBC) are encouraging. They could help improve recovery rates and reduce resolution timelines. Still, credit rating agency ICRA noted that the changes do not address long-standing structural issues in the real estate sector, which continues to account for the second-highest share of cases under the corporate insolvency resolution process (CIRP).

"Real estate sector-specific reforms have not been addressed in the current proposals despite the fact that the real estate and construction sector has the second highest share in cases ongoing in CIRP," the agency said.

In a press release, ICRA said that while the recommendations from the Lok Sabha Select Commit...