Arbitration India

Chief Justice of India Highlights Delay in Forming Arbitration Council

Published 2026-07-12 4 sources Arbitration Arbitration Institutions Arbitration Law Reform Court Backlog India India

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TL;DR

  • CJI Surya Kant called attention to a six-year delay in constituting the Arbitration Council of India.
  • The Council was created by statute in 2019 to grade institutions and accredit arbitrators.
  • A new amendment bill is expected to be introduced in Parliament following public consultation.
  • India's court backlog underscores the need for effective ADR frameworks.

Overview

Chief Justice of India Surya Kant has publicly emphasized the continued delay in establishing the Arbitration Council of India, originally mandated under the Arbitration and Conciliation (Amendment) Act, 2019. Speaking at a leading ADR event, he warned that such delays create a credibility deficit for India's arbitration framework and highlighted the urgency for legislative progress.

What Happened

During the Indian Institute of Arbitration and Mediation's silver jubilee event, CJI Surya Kant pointed out that the Arbitration Council of India, legislated in 2019 to oversee grading and accreditation in Indian arbitration, remains unconstituted after more than six years.

A draft Arbitration and Conciliation (Amendment) Bill, recommended by the Viswanathan Committee and circulated for public consultation in October 2024, still awaits formal introduction in Parliament.

CJI Kant stressed that the persistent gap between statutory announcement and actual implementation weakens India's credibility as a potential arbitration hub.

He also cited the magnitude of the Indian court backlog, with over five crore cases pending, as a key reason for the need to enhance ADR mechanisms such as arbitration, mediation, and digital dispute resolution.

Kant further noted that India remains a major exporter of disputes to foreign institutions like the Singapore International Arbitration Centre, highlighting the pressing need for robust domestic institutions.

Context

The Arbitration Council of India was intended to serve as a central regulatory authority to improve professional standards in Indian arbitration by grading institutions and accrediting arbitrators. Its creation was seen as a key element of India's strategy to become a preferred seat for international arbitration.

Despite being enacted through Parliament in 2019 and receiving presidential assent, the Council is yet to become operational, reflecting implementation challenges for ADR reform.

The Viswanathan Committee provided recommendations for further amendment, and a corresponding draft bill awaits parliamentary consideration.

Why It Matters

  • The absence of a functioning Arbitration Council hampers India's ability to establish institutional credibility in international arbitration.
  • Delayed implementation of statutory ADR reforms undermines business confidence and impedes efforts to address case backlogs within India's overburdened courts.
  • The progress and operationalization of the Arbitration Council are considered essential steps for improving the quality, predictability, and efficiency of commercial dispute resolution in India.

Sources

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