A panel of debtors and creditors on Friday drafted a set of guidelines for debt waivers in an effort to raise transparency in a system accused of distorting market principles.
Banks will not be able to forgive loans to troubled corporate borrowers unless the borrowers can eliminate excessive liabilities and produce profits within about three years, the draft says.
But without force of law, it remains unclear how effective the guidelines will be when finalized in late September.
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