Current Issues

We serve as the industry’s voice before multilateral agencies, export credit agencies, finance ministries, central banks and legislative bodies. We collaborate around the world with other industry groups and trade associations. As a member of BAFT, we represent you in continually striving to:

  • develop international standards such as the “Master Participation Agreement” for trade risk
  • support the “national treatment” of financial firms in the markets where they do business
  • promote the harmonization of financial services regulation and supervision between countries
  • coordinate with private and public sector stakeholders to ensure that governments, multilateral agencies, and leading policymakers around the globe have substantive feedback and reliable data on market dislocations and industry trends
  • Advocate for the positive consideration of trade finance and transaction banking under the Basel capital and liquidity framework
  • Use common Trade Finance Definitions to standardize industry/regulatory terminology and facilitate prioritization of trade risk in sovereign events
  • Ensure the continuation of benefits afforded companies via ECA financing

Policy News

BAFT / ITFA Guidance on Accommodation of LIBOR Transition in MPAS

by Stacey Facter | May 13, 2020
On May 13, 2020 BAFT and ITFA published wording guidance for Master Participation Agreements (MPAs) during the transition away from LIBOR.

BAFT and ITFA are developing updated standard wording for use in BAFT MPAs following the transition from LIBOR. As forward looking benchmark rates are not yet available, the Associations request avoiding the use of institution specific wording.

During the interim to preserve consistent standard MPA documentation wording for longer-dated transactions, a high-level disclaimer has been developed for inclusion in marketing materials and term sheets.

Please access the full guidance document in the Library of Documents page under BAFT Standard Documents.