The Lok Sabha has passed the Micro, Small and Medium Enterprises Development (Amendment) Bill 2026. The bill aims to address payment delays and simplify dispute resolution in the MSME sector. However, the House was adjourned due to disruptions.
The Parliament has approved the Micro, Small and Medium Enterprises Development (Amendment) Bill 2026, with the Lok Sabha giving its nod today. The bill, which was initially passed by the Rajya Sabha on Monday, aims to address payment delays and simplify dispute resolution in the MSME sector.
The legislation provides that every central public sector enterprise must settle all invoices for procurement of goods or services from MSMEs on the Trade Receivables Discounting System. As per the bill, if mediation fails in case of dispute, then the reference for arbitration must be made within 30 days from the date of termination of mediation. It also adds that an award must be made within 90 days from the date of completion of pleadings.
If a case has been pending for more than six months, at least 50 per cent of the awarded amount must be paid to the supplier according to the bill. However, during the proceedings, the House was disrupted due to protests and adjourned for the day.
Lok Sabha Speaker Om Birla had earlier paid tributes to the freedom fighters and martyrs of the Quit India Movement and the House also observed silence in their honor.
Source:
Akashvani News
