India To Strengthen Ship Financing & Acquisition Laws
On Friday, February 10, International Financial Services Centers Authority or IFSCA, announced that they would be taking measures to strengthen ship leasing, financing and acquisition in India. They have set up a committee for this purpose.
According to IFSCA, there are specific regulatory and legal provisions which contradict each other and are in conflict with the different ship financing methods involved in the process. With a new framework, ship financing will be booming like aviation financing.
IFSCA changes led to 17 lessors’ registration in the aviation industry in the last few years, and a similar thing is expected in the maritime sector.
Senior officials of the organization revealed that the committee has already submitted the report, and it’s on the verge of being implemented.
Currently, 6 lessors are trying to get IFSCA registration for ship financing. The report named SAFAL, or Ship Acquisition Financing and Leasing, have already been implemented by the government to a certain extent.
References: Economic Times, Business Standard