IBBI Overhauls Valuation Framework, Enhances Accountability of RPs and Valuers
By Communications Committee INSOL India Posted On : April 24, 2026
The Insolvency and Bankruptcy Board of India (IBBI) has introduced reforms to strengthen the valuation and information disclosure framework under the IBC. These measures seek to address concerns around inconsistent valuation practices and information asymmetry faced by creditors. The reforms place greater accountability on registered valuers, including stricter eligibility norms, clearer standards for valuation methodologies, and enhanced scrutiny of valuation reports to ensure consistency and reliability. Resolution professionals are now required to exercise deeper oversight over valuation processes, including verification of assumptions and ensuring that all relevant financial and asset-related information is accurately disclosed to stakeholders. The framework also mandates more detailed and standardised disclosures, enabling creditors and the Committee of Creditors (CoC) to make better-informed decisions during resolution. These reforms aim to curb issues of undervaluation and manipulation of asset prices, which have been recurring concerns in insolvency proceedings.