Before this, cross-border insolvency relied on slow bilateral agreements that often dragged things out.
The proposed NCLT bench will be staffed by members trained in cross-border insolvency resolution and following global best practices (like those used in over 50 other jurisdictions), experts say India's process will be much more efficient.
"A special bench will result in faster resolution of cross-border insolvency cases. This will brighten the chances of recovery for creditors as well," said Yogendra Aldak.
The Ministry of Corporate Affairs will begin framing the detailed rules soon, which will be laid before each House of Parliament for oversight.