Asia Pacific Guide To Lending And Taking Security.
Legal News & Analysis - Asia Pacific - Banking & Finance
31 October, 2017
The Asia Pacific Guide to Lending and Taking Security addresses issues and requirements for lending and security and related matters (for example, insolvency) in 15 jurisdictions, including:
- Regulatory banking requirements when considering whether to lend in a particular jurisdiction
- Mechanics and requirements of loans in a particular jurisdiction
- Security, including the ranking of secured and unsecured creditors
- What to do when things go wrong, such as the enforcement of security when the lender is a foreign entity, arbitration versus litigation
The guide also covers recent developments such as the Myanmar Investment Law 2016, the Indian Solvency and Bankruptcy Code, the Malaysian Companies Act 2016 and the macro prudential administrative regime introduced by the People’s Bank of China in 2016 in relation to inbound financing.
Cross-border lending in Asia Pacific has been rising steadily for more than a decade. While the region was not immune from the global financial crisis, it managed to escape the degree of turmoil faced by other parts of the world. However, it has also experienced a shake-up in the composition of its lending markets. Despite a number of US and European banks continuing to play an important role in the Asia Pacific lending markets, banks from within the region are stepping up and becoming increasingly active. The growth opportunities in the region continue to remain attractive to investors, particularly in emerging markets.
The Asia Pacific Guide to Lending and Taking Security covers regulatory banking requirements for lending in 15 jurisdictions in the region, namely Australia, Cambodia, China, Hong Kong, India, Indonesia, Japan, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, Taiwan and Vietnam. It also looks at the mechanics of and requirements for loans in these jurisdictions, including restrictions on the charging of default interest, thin capitalization rules, stamp duty and withholding tax, debt subordination and financial assistance. The guide also deals with security and discusses issues such as insolvency regimes, enforcement of security for foreign lenders, and arbitration versus litigation.
This guide is a result of combined efforts from Baker McKenzie lawyers in 17 offices across major cities and financial centers in Asia Pacific. Baker McKenzie brings together its local expertise and strong global relationships to provide comprehensive legal services to clients across Asia Pacific.
For further information, please contact:
Steven R. Sieker Partner, Baker & McKenzie