On Wednesday, 16 February 2022, Dr Felix Steffek, Associate Professor in Law and Co-Director of the Centre for Corporate and Commercial Law (3CL), gave evidence to the Financial Stability Board (FSB). The Board focussed on corporate debt workouts in this session.
The objective of the session was to examine practices, experiences and lessons from member jurisdictions as regards out-of-court workouts and their implications for financial stability. First, the main features that facilitate or hinder the use of out-of-court workouts were discussed. Second, the specific challenges for small and medium-sized enterprises were investigated. Third, experiences with structures set up by financial sector authorities to support the restructuring of debt were examined.
The Financial Stability Board (FSB) is an international body that monitors and makes recommendations about the global financial system. The FSB has the mandate to promote international financial stability. It coordinates national financial authorities and international standard-setting bodies as they work towards regulatory, supervisory and other financial sector policies.
