Regulatory Alerts2017-05-30
Recommendation 6/2017 on the negotiated restructuring process of claims against co-financed corporate borrowers
The Magyar Nemzeti Bank issues this recommendation to guide institutional lenders in conducting voluntary, good-faith negotiations with co-financed corporate borrowers facing financial difficulties. The document establishes frameworks for coordination mechanisms, such as restructuring colleges, and outlines the roles of independent advisors to facilitate consensus-based solutions outside of judicial proceedings. It defines criteria for borrower cooperation, information sharing protocols, and best practices aimed at reducing non-performing exposures while ensuring business continuity.
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