The draft law that's in the making, will empower the securities regulator to supervise transactions and ensure the issuers and borrowers get a fair deal.
"We are working on filling the gaps on issues like corporate tax, stamp, duties, laws covering parate executions to ensure gray areas are covered when the Securitisation Act is comes into force," Securities & Exchange Commission Director General, Channa de Silva said Monday.
Regulators are also keen to make securitised instruments publicly traded.
"At the moment there are some legal gaps in structuring asset securitisation transactions, which have made some deals look risky," he says addressing participants at a Securitisation conference organized by Lanka Rating Agency.
Industry players have been pushing for a Securitisation Act for years, to clear uncertainty surrounding