India poised to become global arbitration hub: Meghwal

The government amended the arbitration and conciliation law with an aim to make India a hub for international arbitration, Union minister Arjun Ram Meghwal said on Friday.

The amended Arbitration & Conciliation Act has provisions to establish an independent body - Arbitration Council of India - to promote time-bound arbitration, mediation, conciliation and other alternative dispute redressal mechanisms.

"Arbitration & Conciliation (Amendment) Act, 2015 and 2019 by the Government of India are clear indications of the government's vision to make India a hub for arbitration," the Minister of State for Heavy Industries & Public Enterprises said at an event organised by SCOPE.

According to a statement issued by SCOPE, Meghwal also said India is poised to be a hub for arbitration and urged public sector enterprises (PSEs) to create more effective arbitral mechanism which would also help India in improving its ease of doing business ranking.

Former Law Secretary P K Malhotra advised state-owned entities to expedite arbitration procedure, the statement said.

SCOPE Director General Atul Sobti said arbitration will not only save time but also expenditure of PSEs.

"Enforcing of contract is a key concern for PSEs," he added.