Turkey – Support with the Crowdfunding Secondary Legislation
In 2018, the EBRD's Legal Transition Team (LTT), at the request of the Capital Markets Board of Turkey (CMB), initiated a project to provide technical assistance with secondary legislation related to specific issues and procedures arising out of crowdfunding activities. With the support from local and international consultants, LTT reviewed draft secondary legislation prepared by CMB on equity-based crowdfunding and advised the CMB on the best practices around the regulation of debt-, donation- and reward-based crowdfunding.
LTT assisted the CMB with drafting the Equity-Crowdfunding Communique, which was adopted by the CMB and published in the Official Gazette on 4 October 2019. The Communique aims at promoting the development of equity-based crowdfunding platforms as alternative sources for access to finance and ensuring that the necessary consumer-protection measures are in place. The team also held a public event on the advantages and opportunities that the new Communique will bring, as well as international perspective on crowdfunding.
Kazakhstan – Regulatory Framework for Mobile and Digital Banking Services
In 2019, the EBRD's Legal Transition Team (LTT), at the request of the Astana Financial Service Authority (AFSA) - the regulatory authority for the financial activities of the Astana International Financial Centre (AIFC), initiated a project to provide technical assistance with the regulatory framework for mobile and digital banking services. With the assistance of international legal consultant, LTT is building on the existing regulatory framework in order to support the licensing of digital-only banks, to regulate banking services provided remotely (e.g. online; in a mobile app) and to introduce 'Open Banking' in AIFC.
The new legal framework will provide regulatory certainty to firms providing banking services, and to their clients. It will also promote new and innovative ways for banking services to be provided in the AIFC, making it an attractive location for both local and international providers of such services.
Jordan – Improving legal literacy and access to finance for women entrepreneurs
In 2019, the EBRD's Legal Transition Team (LTT) launched a technical assistance project to train women entrepreneurs in Jordan on legal literacy and tools to access finance and better manage their businesses. The capacity building activities cover the following topics: regulations affecting women entrepreneurs across sectors; basics of market economy, management skills resource planning, marketing and sales strategies; different tools in the Jordanian economy for women entrepreneurs to utilise to access finance in the banking and non-banking sectors; mediation efforts and other legal aid/services to support women entrepreneurs to resolve their disputes; and regulations in commercial/business/tax law that affect women entrepreneurs.
The project is divided in 3 Phases, including (1) developing the practical objectives of the training and methodology for selection of beneficiaries; (2) developing the training module; and (3) administration of the training. The project is currently in Phase 3, with trainings conducted online due to Covid-19 restrictions.
Kosovo – Facilitating access to finance for SMEs by improving the legal framework governing factoring activities
In 2017, the EBRD's Legal Transition Team (LTT), at the request of the Central Bank of Kosovo (CBK), initiated a project to provide technical assistance with the development of a regulation on factoring. With the assistance of local and international consultants, LTT reviewed the then existing legal framework governing factoring in Kosovo and benchmarked it against international and regional best practices. Guided by the findings of this review and the feedback from key market participants, LTT assisted with the preparation of the Regulation on Factoring, which was adopted by the CBK’s Board in October 2018 and entered into force in November 2018.
The new factoring regulation creates a more conducive environment for the development of factoring activities in Kosovo, which should ultimately facilitate and improve small and medium-sized enterprises' access to finance.
Montenegro – Regulation of Financial Leasing and Factoring
In 2016, the EBRD's Legal Transition Team (LTT), at the request of the Ministry of Finance of Montenegro, initiated a project to provide technical assistance with the development of a legal framework for financial leasing and factoring. With the assistance of local and international consultants, LTT reviewed the then existing legal framework governing factoring and financial leasing in Montenegro and benchmarked it against international best practices. Guided by the findings of this review, LTT assisted with the preparation of the relevant sections of the new law on financial leasing and factoring, which was adopted by the Parliament in November 2017 as part of the Law on Financial Leasing, Factoring, Purchase of Receivables, Micro-Lending and Credit-Guarantee Operations.
This new law in Montenegro entered into force in May 2018, and creates a more conducive environment for the development of factoring and financial leasing activities, which would ultimately facilitate and improve small and medium-sized enterprises' access to finance.