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PMIS and IBC Gaps Flagged by Parliamentary Finance Panel

1 August 20251 min read
ECONOMYPMIS and IBC GapsFlagged byParliamentaryFinance Panel1 August 2025safalsetu.com

Why in the news

A parliamentary panel on finance placed its report before Parliament on 31 July 2025, covering the PM’s Internship Scheme (PMIS), the insolvency law and tax disputes.

Key facts

  • PMIS funds: enough for the pilot phase, but they need fresh review when the scheme scales.
  • PMIS gaps: exclusion of government-employee families judged excessive; thin reach among SMEs, startups and regional bodies.
  • PMIS fixes sought: independent periodic evaluation, relaxed eligibility for poor and marginalised youth, a monitoring framework, wider sector and regional spread.
  • IBC problem: slow resolution and growing backlog at NCLTs.

Way forward

  • Stronger NCLT infrastructure and public-private models inspired by Seva Kendras.
  • Ministry of Corporate Affairs agreed to start reforms.

Exam angle

  • Panel head: Bhartruhari Mahtab.

Test yourself

1. Who chaired the Standing Committee on Finance whose report on PMIS and IBC was tabled on 31 July 2025?

The notes name MP Bhartruhari Mahtab as the committee chairperson.

2. What was the PMIS allocation at the RE FY25 stage, according to the Finance Committee report?

BE FY25 was ₹2,000 crore, which was revised to ₹380 crore at RE FY25.

3. For IBC delays, the Finance Committee suggested fast-track tribunals and PPP models inspired by which institutions?

The panel cited the success of Seva Kendras as an inspiration for PPP models.