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Chhattisgarh Approves Ease Of Doing Business Bill, First State To Bring Dedicated Law

Chhattisgarh Cabinet approved the Ease of Doing Business Bill, 2026, proposing deemed approvals, self-certification and risk-based inspections to boost investment. It now awaits Assembly approval.

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Key points generated by AI, verified by newsroom
  • Cabinet approved bill simplifying business procedures for investment.
  • Key reforms include deemed permissions, self-certification, risk-based inspections.

In a major push to improve the state's investment climate, the Chhattisgarh Cabinet, chaired by Chief Minister Vishnu Deo Sai, has approved the draft of the Chhattisgarh Ease of Doing Business (Exemption and Facilitation) Bill, 2026.

The proposed legislation aims to simplify regulatory procedures, reduce compliance requirements and create a transparent, technology-driven ecosystem for businesses. According to the state government, Chhattisgarh is set to become the first state in the country to introduce a dedicated law of this kind once the Bill is enacted.

Key Reforms Proposed

The Bill seeks to streamline the establishment and operation of industries by reducing procedural delays and ensuring time-bound, predictable delivery of government services.

One of its key provisions is 'Deemed Permission', under which applications pending beyond the prescribed deadline will be treated as automatically approved, preventing investment proposals from being held up due to administrative delays.

The legislation also proposes self-certification, allowing eligible businesses to certify compliance with specified regulations instead of undergoing repeated inspections. The government said the measure would reduce paperwork, improve operational efficiency and encourage voluntary compliance.

Another reform is third-party verification, enabling accredited independent agencies to verify regulatory compliance where required. The mechanism is expected to improve transparency while reducing direct intervention by government departments.

Risk-Based Inspections, Fewer Licences

The Bill introduces risk-based inspections, under which inspections will be conducted based on risk assessment rather than routine visits. The government said this would allow authorities to focus on high-risk cases while minimising disruptions for compliant businesses.

It also seeks to eliminate duplicate licensing requirements, ensuring businesses do not have to obtain multiple approvals for the same activity from different departments. The move is expected to reduce compliance costs and simplify the process of setting up enterprises.

Boost To Investment And Employment

The government said the draft legislation has been prepared after studying best practices adopted by leading industrial states and is expected to strengthen investor confidence while making Chhattisgarh a preferred destination for manufacturing, services and emerging industries.

Officials believe the proposed legal framework will accelerate industrial growth, attract fresh domestic and private investment, promote MSME expansion and create large-scale employment opportunities across the state.

The government said the Bill is aligned with its vision of 'Minimum Government, Maximum Governance', with technology, transparency and accountability forming the foundation of public service delivery.

Following Cabinet approval, the draft Bill will now be placed before the State Legislature. Once passed, it is expected to usher in a new phase of regulatory reforms by providing industries with faster approvals, simplified compliance and a more predictable business environment.

Frequently Asked Questions

What is the main objective of the Chhattisgarh Ease of Doing Business Bill, 2026?

The Bill aims to simplify regulatory procedures, reduce compliance, and create a transparent, technology-driven ecosystem for businesses. It seeks to improve the state's investment climate and foster industrial growth.

What is 'Deemed Permission' under the new legislation?

Under 'Deemed Permission', applications that are pending beyond their prescribed deadline will be treated as automatically approved. This provision is designed to prevent investment proposals from being held up due to administrative delays.

About the author Sneha

Sneha is a Senior Copy Editor at ABP Live English, covering national and global news, politics, and social developments. She approaches every story with clarity, accuracy, and a reader-focused perspective. She holds a Master’s degree in Mass Communication from Central University of Jharkhand.

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