Document background
The Loan Market Agreement is a sophisticated financial instrument used in Belgian banking and lending transactions to document commercial loan facilities. This agreement type is essential for medium to large-scale financing transactions where formal documentation of lending terms, security arrangements, and party obligations is required. The document must comply with Belgian financial regulations, including the Belgian Banking Law of 2014 and relevant provisions of the Belgian Civil Code. It typically includes detailed sections on facility terms, conditions precedent, representations and warranties, covenants, and events of default. The agreement is particularly important for corporate borrowing, project finance, and other significant financial transactions in Belgium, offering a standardized yet customizable framework for lending relationships while ensuring compliance with Belgian legal requirements and market practices.
