New Delhi, Aug. 18 -- The Micro, Small and Enterprises Development (Amendment) Bill, 2026, could strengthen payment discipline and unlock working capital for MSMEs by introducing time-bound mechanisms for resolving delayed-payment disputes, according to Crisil Intelligence.

Time-Bound Dispute Resolution

Drawing lessons from the Insolvency and Bankruptcy Code (IBC), Crisil said the proposed framework seeks to address a major challenge for MSMEs by setting clear timelines for mediation and arbitration proceedings before Micro and Small Enterprises Facilitation Councils (MSEFCs).

Under the proposed amendments, mediation would have to be completed within 90 days from the date fixed for the first appearance. If mediation fails, the dispute ...