Securitized Debt Instruments: On par with (as restrictive as) PTCs?
1. INTRODUCTION Securitization is gaining momentum in India and is developing and enhancing the financial markets.
APPLICATION SEEKING INSOLVENCY BASED ON AN UNREGISTERED ASSIGNMENT AGREEMENT MAINTAINABLE?
Introduction Under the Insolvency and Bankruptcy Code, 2016 (as amended) (“Code”), a creditor to whom a financial debt has been legally assigned or transferred to is entitled to file an application seeking initiation of corporate insolvency resolution process (“CIRP”) against a corporate debtor.
MORE POWER TO CREDITORS AS PERSONAL GUARANTORS MAY FACE INSOLVENCY PROCEEDINGS FOR DEFAULTING DEBTS
Introduction The Hon’ble Supreme Court of India in Dilip B. Jiwrajka v. Union of India & Ors.[1] has upheld the constitutional validity of the provisions contained in Sections 95 to 100 of the Insolvency and Bankruptcy Code,
DISTINGUISHING PENAL INTEREST & CHARGES: REGIME CHANGE BY RBI
Introduction The Reserve Bank of India (“RBI”) in its press release titled ‘Statement on Developmental and Regulatory Policies’[1], dated 8th February 2023 observed divergent practices amongst regulated entities,
INDIAN GREEN BOND MARKET: A STEP TOWARDS “GREEN FINANCING”IN A GROWING TAXONOMY
Over the last few years, the Indian Government has been taking measures towards environmental sustainability along with economic growth. As enumerated in Article 48-A of the Indian Constitution, preservation of the environment is enshrined in the Indian Constitution itself. The Finance Minister while tabling the Union Budget 2023-24 specified green growth as one of the …
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PRE-PACKAGED INSOLVENCY: TO UPHOLD THE LEGISLATIVE INTENT OR THE LETTER OF THE LAW?
Pre-packaged insolvency resolution process (“PPIRP”) was introduced by amending the Insolvency and Bankruptcy Code (“Code”) in April 2021[1]. This currently applies to Micro Small Medium Enterprises (“MSMEs”). This was enacted to provide ‘PPIRP’ as an alternative to Corporate Insolvency Resolution Process (“CIRP”) to mitigate the financial distress caused by the Covid-19 pandemic to MSMEs.
TRADE & COMMODITY FINANCING IN INDIA – AN OVERVIEW!
Trade finance is the financing of international trade flows. It exists to mitigate, or reduce, the risks involved in an international trade transaction. There are primarily two players in a trade transaction:
CLASSIFICATION OF SUSTAINABILITY LINKED DERIVATIVES IN INDIA
Sustainability Linked Derivatives (“SLDs”) are emerging as a powerful new instrument in the toolkit of financiers globally in the context of the growth of use of Environmental Social and Governance (“ESG”) factors in the financial world. For an orderly evolution, a suitable regulatory framework suited for this type of derivative contract is a must. SLDs …
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RBI Reforms the Framework on Loan Sales
Continuous growth of a robust secondary market and creation of additional avenues for raising liquidity have been the key requirements of the Indian loan market. To achieve this, the Reserve Bank of India (“RBI”) has rolled out the Master Directions – RBI (Transfer of Loan Exposures) Directions, 2021[1] (“Master Directions”) on 24th September 2021.
Secured Overnight Financing Rate (“SOFR”) in Arrears or Term?
Background SOFR is a risk-free reference rate (“RFR”) selected as the rate for usage in certain United States Dollar (“USD”) derivatives and other financial contracts, by the Alternative Reference Rates Committee (“ARRC”) of the Federal Reserve Bank of New York (“NY Fed”) in the year 2017. It is the preferred alternative to USD LIBOR.