IFC Debt Resolution Program, Phase II


The Debt Resolution Program contributes to effective debt management frameworks in Serbia, Albania, Bosnia and Herzegovina, Macedonia and Kosovo.

Pays/région Période Budget
Albanie
Bosnie et Herzégovine
Macédoine
Serbie
01.11.2017 - 31.03.2022
CHF 4'350'000
Contexte

Effective insolvency regimes are key features of a modern market economy. They allow sound but temporarily troubled firms to keep functioning. Furthermore, they offer an alternative approach to bankruptcy in a way that protects lenders? and employees? interests in the best possible way. As a result, modern insolvency regimes keep productive assets in the economy, free-up the unproductive ones and play a crucial role retaining jobs that would otherwise be lost. The Debt Resolution Program addresses key constraints to economic development in the Western Balkan region and is well aligned with SECO's strategic objectives.

Objectifs

The objective of the program is to contribute to effective insolvency frameworks in order to reduce the levels on non-performing loans and to allow for currently unproductive assets to re-enter the investment cycle. This second phase will focus on the practical application of the newly introduced frameworks in Serbia, Albania and Bosnia. Furthermore, it aims to replicate the success in improving the existing legal and regulatory framework in Macedonia and in Kosovo.

Effets à moyen terme

The program countries have a modern legal and regulatory insovency framework that allows for effective corporate debt restructuring.

The relevant actors (judges, administrators, etc.) dispose of the necessary expertise to make effective use of the improved insolvency frameworks.

The private sector (banks, companies, etc.) are aware of the improved insolvency framework and make active use of it.

Résultats

Principaux résultats attendus:  

Technical assisstance in drafting relevant laws, bylaws and regulations tailored to the individual country context.

Capacity development in the form of training for insolvency judges, administrators, practitionners, law enforcement bodies, etc.

Peer learning opportunities through workshops and seminars.

Awareness raising activities such as conferences, public discussions and media coverage.


Principaux résultats antérieurs:  

During the first phase Serbia, Albania and Bosnia and Herzegovina have adopted improved insolvency frameworks in line with international best practice following an extensive consultation process involving all relevant stakeholders. As a result the debt recovery rates have improved pursuant to the program?s targets from 21 cent/USD up to 30 cent/ USD. Furthermore, over 500 jobs have been retained and compliance cost savings for the private sector in the amount of more than USD 200 million have been realized. Finally, high-level trends such as declining levels of NPLs and accelerating credit growth in the region confirm the overall relevance of the program although a direct attribution is obviously not possible.


Direction/office fédéral responsable SECO
Crédit Coopération au développement
Partenaire de projet Partenaire contractuel
  • Société financière internationale


Budget Phase en cours Budget de la Suisse CHF   4'350'000 Budget suisse déjà attribué CHF   0 Budget y compris partenaires de projet CHF   4'350'000
Phases du projet Phase 3 01.11.2017 - 31.03.2022   (Phase en cours) Phase 2 01.09.2014 - 30.04.2018   (Completed)