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COVID-19 Outbreak : Corporate Insolvency - How Can Out-of-Court Workouts Help? (الإنجليزية)

The COVID-19 crisis has affected firms’ liquidity and balance sheet. Many firms are expected to become insolvent. The surge in the number of bankruptcy cases is likely to result in higher costs, longer procedures and worse capital reallocation decisions, something especially problematic in countries with weak insolvency systems. This note describes the benefits of Out-of-Court Workouts (OCWs) as complements or alternatives to the larger insolvency...
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