Why reform is needed
The financial crisis in 2008 underscored the need for a sound, efficient and predictable legal and regulatory framework for access to finance and for the continuous support of the SME sector in the face of liquidity constraints in countries where the EBRD works. Since the financial crisis, innovative financial services have dis rupted financial markets through technological solutions, which post unique challenges for regulators and policy-makers in EBRD's regions as they combine financial services with information technologies.
The LTP's role
The EBRD has a well-established record of accomplishmentof working on law reform in areas promoting access to finance. Our past work has mainly consisted of assisting in the development of legal and regulatory systems for secured credit, strengthening the security package (in the form of pledges and mortgages), supporting the development of different agricultural financing products, exploring alternative financial structures, such as leasing and factoring and contributing to the development of legal and regulatory frameworks for financial technologies (FinTechs).
Building on the positive past experience and being in a position to transfer cross-pollinate knowledge and expertise, we are continuing to explore well established as well as innovative financial products. We hope these will assist countries where the EBRD works in bridging some transition gaps that still exist in this area and in modernising their legal frameworks.