Ease of Doing Business Reforms: Jan Vishwas Bill 2.0.

In a post-budget webinar on ‘Regulatory, Investment, and Ease of Doing Business reforms‘ held on March 4th, 2025, Finance Minister Nirmala Sitharaman highlighted the government’s push towards trust-based governance. She announced the upcoming Jan Vishwas Bill 2.0, which aims to decriminalise over 100 provisions, furthering the government’s commitment to simplifying regulatory landscapes and enhancing the ease of doing business (EODB). 

Addressing the webinar through video conferencing, she underscored the importance of reducing unnecessary legal hurdles to promote investment and economic activity. FM Nirmala Sitharaman said that in an effort to facilitate ease of doing business, the government is steadfast in minimising regulatory hurdles and providing trust-based governance. 

“The budget initiatives are designed to transform India into a smooth, export-driven economy, enabling businesses to prioritise innovation and growth over bureaucratic hurdles and penalties,” she said.

She further added that decriminalising business-related loss reduces legal risks, allowing Indian industries to operate with greater confidence. “A Robust manufacturing sector free from unnecessary regulatory bottlenecks will further attract both domestic and foreign investments, driving economic growth and positioning India as a global player. 

Our government has over 42,000 compliances removed, and over 3700 legal provisions have been decriminalised since 2014. Will bring Jan Vishwas Bill 2.0 to further decriminalise over 100 provisions in various laws to further simplify processes for businesses,” she said. (Source: Business Standard)

Let’s explore what is Jan Vishwas Bill 2.0.

Jan Vishwas Bill 2.0

Building on the success of the Jan Vishwas Act of 2023, which streamlined regulations by decriminalising over 180 legal provisions, the Finance Minister announced in her 2025 budget speech that the government will introduce Jan Vishwas Bill 2.0. This new legislation aims to further enhance the ease of doing business by decriminalising over 100 additional outdated legal provisions, continuing the shift from criminal penalties to monetary fines for minor offences.

Jan Vishwas Bill 2023

The Jan Vishwas (Amendment of Provisions) Act, enacted in August 2023, marked a significant step towards simplifying India’s regulatory landscape. This legislation targeted minor offences across 42 Central Acts, decriminalising 183 provisions. Instead of facing criminal prosecution, businesses and individuals would now be subject to civil penalties, such as monetary fines, for these infractions. This shift reflects a move away from punitive measures for less severe violations, promoting a more pragmatic approach to regulatory enforcement.

The primary objective of this reform was to alleviate the compliance burden on businesses, particularly small and medium-sized enterprises (SMEs). The Act aimed to foster a more conducive environment for entrepreneurship and investment by reducing the fear of criminal prosecution for minor technical breaches. Streamlining operations and minimising the potential for unnecessary legal entanglements were central to this initiative. The government intended to create a more efficient and business-friendly regulatory framework, thereby boosting economic activity and encouraging growth.

Ministry/Department-Wise List of 42 Central Acts

  • The Agricultural Produce (Grading and Marking Act, 1937): Dept. of Agriculture and Farmers Welfare
  • The Marine Products Export Development Authority Act, 1972: Dept. of Commerce
  • The Rubber Act, 1947: Dept. of Commerce
  • The Tea Act, 1953: Dept. of Commerce
  • The Spices Board Act, 1986: Dept. of Commerce
  • The Legal Metrology Act, 2009: Dept. of Consumer Affairs
  • The Cantonments Act, 2006: Dept. of Defence
  • The Government Securities Act, 2006: Dept. of Economic Affairs
  • The High Denomination Bank Notes (Demonetisation) Act, 1978: Dept. of Economic Affairs
  • The Public Debt Act, 1944: Dept. of Economic Affairs
  • The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits, and Services) Act, 2016: Ministry of Electronics and Information Technology
  • The Information Technology Act, 2000: M/O Electronics and IT
  • The Air (Prevention and Control of Pollution) Act, 1981: M/O Environment, Forest, and Climate Change
  • The Environment Protection Act, 1986: Ministry of Environment, Forest, and Climate Change
  • The Indian Forest Act, 1927: Ministry of Environment, Forest, and Climate Change
  • The Public Liability Insurance Act, 1941: Ministry of Environment, Forest, and Climate Change
  • The Deposit Insurance and Credit Guarantee Corporation Act, 1961: Dept. of Financial Services
  • The Factoring Regulation Act, 2011: Dept. of Financial Services
  • The National Bank for Agriculture and Rural Development Act, 1981: Dept. of Financial Services
  • The National Housing Bank Act, 1987: Dept. of Financial Services
  • The Payments and Settlement Systems Act, 2007: Dept. of Financial Services
  • The Food Corporation Act, 1964: Dept. of Food and Public Distribution
  • The Warehousing Corporation Act, 1962: Dept. of Food and Public Distribution
  • The Drugs and Cosmetics Act, 1940: Dept. of Health and Family Welfare
  • The Food Safety and Standards Act, 2006: Dept. of Health and Family Welfare
  • The Pharmacy Act, 1948: Dept. of Health and Family Welfare
  • The Metro Railways (Operations and Maintenance) Act, 2002: Ministry of Housing and Urban Affairs
  • The Press and Registration of Books Act, 1867: Ministry for Information & Broadcasting
  • The Cinematography Act, 1952: Ministry for Information & Broadcasting
  • The Cable Television Networks (Regulation) Act, 1995: Ministry for Information & Broadcasting
  • The Merchant Shipping Act, 1958: Ministry of Ports, Shipping & Waterways
  • The Indian Post Office Act, 1898: Dept. of Posts
  • The Boilers Act, 1923: Dept. for Promotion of Industry & Internal Trade
  • The Copyright Act, 1957: Dept. for Promotion of Industry & Internal Trade
  • The Geographical Indications of Goods Act, 1999: Dept. for Promotion of Industry & Internal Trade
  • The Industries (Development and Regulation) Act, 1951: Dept. for Promotion of Industry & Internal Trade
  • The Patents Act, 1970: Dept. for Promotion of Industry & Internal Trade
  • The Trade Marks Act, 1999: Dept. for Promotion of Industry & Internal Trade
  • The Railways Act, 1989: Ministry of Railways
  • The Motors Vehicles Act, 1988: Ministry of Road Transport & Highways
  • The Prevention of Money Laundering Act, 2002: Dept. of Revenue
  • The Collection of Statistics Act, 2008: M/O Statistics and Programme Implementation

Impact of Jan Vishwas (Amendment) Act, 2023

  • Simplified regulatory processes and less compliance burden
  • Foster an enhanced business-friendly environment
  • The Act reduces penalties, decriminalises certain offences
  • Alternative dispute resolution

(Source: PIB)

Conclusion

The government’s unveiling of Jan Vishwas Bill 2.0, following the successful implementation of the 2023 Act, signifies a continued and decisive shift towards trust-based governance. The initiatives aim to dismantle unnecessary regulatory hurdles and foster a more conducive environment for businesses by systematically decriminalising minor offences and replacing punitive measures with civil penalties. This strategic reform, coupled with removing thousands of compliances, underscores a commitment to streamlining operations, attracting investments, and ultimately propelling India towards a more robust and globally competitive economy.

Leave a Comment