In the light of the current situation under the outbreak of the Corona virus, the world economic equilibrium seems to have not only been disturbed but devastated. Large scale lockdowns have been imposed globally as the infection is said to have been contagious through droplets of saliva or heavy sneezing or coughing. Social distancing is the key requisite for public safety and since people are unable to leave their houses, all hierarchies of occupation seems to have come to a standstill. Prime Minister Narendra Modi brought into effect a nationwide lockdown on March 25^th because of which around 70 percent of economic activities like investments, exports, discretionary consumption halted while allowing the rudimentary aspects like agriculture, utility services and the like. Majority of the country’s private sectors have reported a steep decline in their operations and profits due to the pandemic. As a response to that, the Indian government deemed necessary to adopt measures to revive to economic normalcy by considering all finance generating sections before the country falls into the pit hole of insolvency and bankruptcy. The Insolvency and Bankruptcy Code introduced in 2016 by our current Prime Minister was voted by the Rajya Sabha to go under certain amendments to benefit the cause. In 3^rd world countries, like in the US, the Coronavirus Aid Relief and Economic. Security Act was brought into law, the German and Australian government have brought about changes in their legislation with regard to insolvency laws. The global market is approaching towards a downhill recession and hence, it is mandatory that insolvency laws allow certain levels of pliability that would prevent business that fill a country’s economic vault to revive from its unprecedented losses under a life threatening pandemic.