Arbitration Reforms in Process, Government Backs Institutional Mechanism: Arjun Ram Meghwal

Shri Arjun Ram Meghwal, Hon’ble Minister for Law & Justice, Government of India on Saturday struck a pragmatic and reform-oriented note at the 5th Edition of the ICA International Conference on “Arbitration in the Era of Globalization”, signalling that long-pending amendments to India’s arbitration framework are actively under consideration and may see movement soon.

Addressing a room filled with arbitration experts and practitioners, Meghwal acknowledged the growing consensus around the need to transition from ad hoc arbitration to institutional arbitration, affirming that the government is aligned with this shift and is committed to strengthening institutional mechanisms in the near future.

His remarks come at a time when India is attempting to position itself as a global arbitration hub, even as stakeholders continue to flag concerns around delays, enforcement challenges, and procedural inefficiencies.

Meghwal’s assurance that reforms to the Arbitration and Conciliation Act are “in process” reflects a continuity of policy intent, especially in response to sustained demands from the arbitration community, including calls for clarity in arbitrator appointments and improvements in commercial court trials. He noted that a committee is already examining these aspects, indicating that the government is engaging with structural bottlenecks rather than merely incremental changes.

The Minister also linked arbitration reform with the broader legislative push towards ease of doing business, pointing to the recently enacted Jan Vishwas Bill as a significant milestone.

Drawing attention to the disproportionate costs involved in minor regulatory penalties, Meghwal observed that procedural inefficiencies often imposed greater financial strain than the penalties themselves. The reforms, he suggested, were designed to correct such anomalies and create a more rational compliance environment.

In a broader reflection on legal reform, Meghwal underscored the government’s efforts to revisit colonial-era laws and remove discriminatory provisions. He cited changes to the Indian Succession Act, 1925, particularly the removal of mandatory probate requirements in certain jurisdictions, as an example of aligning legal frameworks with constitutional values of equality under Article 14. The move, he indicated, was part of a larger exercise that has seen over 1,600 outdated provisions either repealed or amended.

Interestingly, the Minister also flagged the scale of reforms undertaken in India’s criminal justice system, suggesting that these changes deserve as much attention as civil and commercial law reforms. His remarks appeared to gently critique the selective focus of stakeholders, urging a more holistic appreciation of the government’s legal overhaul efforts.

Looking ahead, Meghwal pointed to India’s growing engagement in international legal and economic forums, including the upcoming BRICS meetings in Ahmedabad, where arbitration and economic cooperation are expected to feature prominently.

In a philosophical turn, Meghwal invoked India’s traditional “panch” system to draw parallels with modern arbitration, describing arbitrators as neutral and respected decision-makers akin to the concept of “Panch Parmeshwar”. This analogy underscored the cultural continuity of dispute resolution practices in India while reinforcing the importance of neutrality and trust in arbitration processes.

Concluding on an aspirational note, the Minister reiterated the government’s commitment to achieving both ease of doing business and ease of living, linking efficient dispute resolution mechanisms to India’s broader economic ambitions, including its goal of becoming the world’s third-largest economy in the coming years.

His address, while light in tone, conveyed a clear message: arbitration reform remains firmly on the government’s agenda, and stakeholder inputs will play a key role in shaping its trajectory.

Event Name: 5th Edition of ICA International Conference on “Arbitration in the Era of Globalization”

Event Date: April 11, 2026