India Implements Landmark Corporate Reforms in 2025

In 2025, the Ministry of Corporate Affairs introduced significant reforms aiming at simplifying compliance and enhancing corporate governance. Key changes included raising small company thresholds and launching an investor support portal. Additionally, progress under the Insolvency and Bankruptcy Code and the Prime Minister Internship Scheme was highlighted, fostering improved business conditions.

In 2025, the Ministry of Corporate Affairs (MCA) unveiled significant reforms to simplify corporate compliance and enhance governance, aiming to bolster India's business environment. These reforms were strategic in positioning India as a leading destination for global business operations.

One of the major announcements was raising the threshold limits for small companies by increasing the paid-up share capital limit to Rs 10 crore and the turnover threshold to Rs 100 crore, thus bringing more companies under regulatory relaxations. Furthermore, the ministry introduced amendments to facilitate the closure of government companies, speeding up processes through indemnity bonds.

The year-end review also spotlighted key developments like the launch of the integrated portal by the Investor Education and Protection Fund Authority, reducing claim settlement times, and significant achievements under the Insolvency and Bankruptcy Code. The introduction of the Prime Minister Internship Scheme also provided valuable opportunities, with substantial internship placements enhancing employment prospects for youth.

(With inputs from agencies.)