Alerts Archive

Following the publication of the LMA Day One ZARONIA Agreement and the update of the South African Rate Switch Agreement to recommended form, the LMA has updated its existing South African Rate Switch Commentary to cover both the Day One ZARONIA Agreement and the unsecured and secured Rate Switch Agreements.   

To further support the market’s transition from JIBAR to ZARONIA, the LMA is pleased to have published three key documents: 

• Exposure draft day one ZARONIA facility agreement (with comments due by 30 January 2026)
• Recommended form SA rate switch agreement (unsecured)
• Recommended form SA rate switch agreement (secured)

The LMA has been reviewing the implications of comments made in the English court decision in Macdonald Hotels v Bank of Scotland around the English law requirements for a deed to be clear on its face that it is a deed. The LMA welcomes the memorandum issued by the Financial Law Committee of the City of London Law Society (CLLS), which affirms the sufficiency of the LMA’s intercreditor documentation. The LMA does not intend to amend the testimonium provision in its intercreditor documentation.

On 20 November 2025, the LMA co-signed a joint statement setting out concerns from the perspective of investors on the European Commission's proposed reforms regarding the EU securitisation framework. The joint statement sets out the shared views of the LMA and six other trade associations (AFME, AIMA, EFAMA, IACPM, ICMA and MFA).  

On 29 October 2025, we published Guidance on the Register of Overseas Entities Regime to assist members in understanding compliance requirements under the UK regime and its implications for LMA documentation.

On 23 October 2025, we updated a series of documents to strengthen market practices, including:

• Confidentiality and No Front Running – Primary Syndication
• Mandate Letter – Best Efforts
• Mandate Letter – Underwritten
• No Front Running Letter of Undertaking
• User Guide to No Front Running Letter of Undertaking

These updates provide guidance on best practices for confidentiality and mandate processes in syndicated lending.

On 17 October 2025, we submitted our response to the House of Lords Financial Services Regulation Committee’s inquiry regarding the growth of private markets in the UK following reforms introduced after 2008.

The Guide to Transition Loans, published on 16 October 2025, was developed by the Loan Market Association (LMA) in collaboration with the Asia Pacific Loan Market Association (APLMA) and the Loan Syndications and Trading Association (LSTA).It was informed by a dedicated taskforce of over 60 institutions, predominantly from the financial sector, alongside leading market authorities across key jurisdictions.

On 17 September 2025, the LMA published its recommendations on further improving the EU securitisation framework following the European Commission's recent proposals (SR Proposals).

Together with Bank Policy Institute (BPI), the Swiss Finance Council, UK Finance, the UK Association of Foreign Banks (AFB), the Bankers Association for Finance and Trade (BAFT), and the Japanese Bankers Association (JBA), the LMA has published a position paper on EU Member States’ implementation of the branch requirement under CRDVI. 

On 5 September 2025, we published a package of updated German law documentation, including:

• User Guide to German Law Multicurrency Term and Revolving Facility Agreement
• German Law RFR Multicurrency Term and Revolving Facility Agreement
• German Law Euro Term Facility Agreement for REF Multiproperty Investment Transactions (English)
• German Law Euro Term Facility Agreement for REF Multiproperty Investment Transactions (German)

We are pleased to have published recommended form versions of our single currency euro exposure drafts with €STR-based fallbacks. The recommended forms have not substantively changed except for the incorporation of the drafting for the ISDA/Bloomberg EURIBOR-€STR Spread Adjustment. 

On 5 June 2025, we submitted our response to the European Commission's (the Commission’s) call for evidence on an impact assessment for the Savings and Investments Union. We also submitted a response to the Commission’s targeted consultation on integration of EU capital markets on 10 June which covered overlapping themes.

On 30 May 2025, we responded to the European Commission’s Call for Evidence on review of the Sustainable Finance Disclosure Regulation (SFDR). The European Commission is expected to publish its proposal revising the SFDR in Q4 2025.

On 28 May 2025, the LMA responded (together with the Bank Policy Institute) to a Dutch consultation on the implementation of CRDVI. 

Today the LMA submitted its response to the FSB Consultation on Leverage Risks in NBFIs

Thank you to all our buy-side and sell-side members who contributed their insights to the response. Your feedback has been instrumental in shaping the LMA’s response and ensuring that the collective voice of the market is heard.

On 17 December 2024, we published a package of documentation to assist with the implementation of robust EURIBOR fallbacks including: single currency euro exposure drafts; exposure draft wording for the Bloomberg EURIBOR-€STR Spread; and a guidance note on fallbacks to interbank term rates and LMA documentation.

The LMA is pleased to have published exposure draft RFR terms to further assist the market with the transition away from JIBAR to ZARONIA in South Africa. 

The LMA is pleased to have published the first in a series of Leveraged Focus notes. These are intended to promote a greater understanding of the terms of the typical TLB product and the potential pressure points associated with TLB terms. 

On 5 September 2024, the FCA made a final announcement on the forthcoming end of LIBOR. The FCA confirmed that there will be no extension to the end-September 2024 deadline and that the last remaining synthetic USD LIBOR settings will permanently cease after their final publication on 30 September 2024.

The South African Reserve Bank’s Market Practitioners Group (MPG) legal workstream (which oversees legal matters related to the switch from JIBAR to ZARONIA) is holding their second Legal Industry Webinar on the transition to ZARONIA.  The LMA will be speaking on the webinar alongside ICMA and senior members of the MPG. 

On 24 June 2024, the LMA published a new USD Term SOFR loan agreement, governed by English law while assuming a variety of African borrowers/guarantors including Mauritius, Ghana, Nigeria, Kenya, Tanzania, Uganda and Zambia.

This aims to promote certainty for investors lending into Africa via the “Mauritian Holdco Structure”, whereby international investment is channelled into a Mauritian parent “Holdco” and “on-lent” to operating subsidiaries in the relevant African countries. Mauritius is popular due to a lack of foreign exchange controls, a strategic location, economic, political and legal stability, a raft of double tax treaties with other African countries and a skilled, bilingual workforce.

The LMA and APLMA are pleased to have published a joint open letter urging loan market participants to take all necessary steps to complete USD LIBOR transition. The FCA has made clear that the remaining tenors of USD synthetic LIBOR will be discontinued by end-September. We urge all loan market stakeholders to pass this message on to ensure no-one is left unprepared.

Click Read more to take part in our survey on the LMA’s RFR documentation suite. The results of the survey will help us in our ongoing process of reviewing and consolidating our documentation suite. The survey consists of 12 questions and requests your views on various RFR related documentation topics including EURIBOR fallbacks, alternative term rates, term SOFR fallbacks, baseline CAS and the most often used interest rate drafting. 

The LMA is pleased to have published a new guidance note on untied ECA financing, updated buyer credit documentation, and a supporting statement from the LMA’s Export Finance Working Party. 

Given the single currency nature of the buyer credit facility, there are now three variations of the buyer credit facility agreement. We have also published a new term SONIA commentary. The User Guide has also been expanded to cover commonly discussed areas. The new guidance and revised documentation can

On 7 June 2024, the LMA is pleased to have published a guidance note which sets out documentary considerations when dealing with a sovereign borrower or guarantor. The guidance has been produced following demand from LMA members, partly driven by recent experiences in the market in respect of sovereign distress cases.

The guidance note is intended to be a helpful tool for lenders, investors, borrowers and advisers of the relevant considerations in the context of dealing with sovereign obligors (which includes for these purposes a state-owned entity). 

The LMA will be taking part in a FTSE Russell webinar alongside ESMA looking at the progress in the loan market of the adoption of the Euro RFR Working Group’s recommendations on fallbacks to EURIBOR. One of the Working Group’s recommendations was for market participants to include a forward-looking €STR term rate-based fallback into specific segments of the loan and trade finance market.  

The LMA encourages members with EURIBOR-referencing loans to attend this FTSE Russell webinar. This is a unique opportunity for members to hear directly from, and ask questions to, ESMA on the EURIBOR fallback recommendations.  

Date: 26 June 2024

Time: 2:00pm BST / 3:00pm CET with Q&A

On 21 May 2024, the LMA is pleased to have published a form of drafting of an extension option for users of the LMA's recommended forms of facility agreements for investment grade transactions. 

The intention of the extension option is to provide a position that broadly reflects general market practice for an extension option in a syndicated facility to a corporate borrower with an investment grade credit rating.  As with all LMA recommended form documents, it is recognised that the negotiated terms of individual extension options can vary widely and the extension option seeks to provide a sensible starting point only.  The users guide sets out the basis on which the extension option is drafted, as well as highlighting in a non-exhaustive manner some of the negotiation points which may arise.

On 9 May 2024, we published further South African law documentation to assist the loan market in transitioning away from JIBAR to compounded ZARONIA. The Unsecured Single Currency Single Borrower Term and Revolving Facilities Agreement Incorporating Rate Switch Provisions (the “Exposure Draft SA Rate Switch Agreement”) provides for an in-built switch from JIBAR to a backward-looking compounded ZARONIA on the occurrence of specified trigger events.  It includes mechanics and provisions for transition which are intended to mitigate the risk of a further amendment being required.

On 2 May 2024, we published our updated guidance note in relation to the Directive on Administrative Cooperation (commonly known as "DAC6"). This follows a consultation on 28 March 2023 whereby the rules implementing DAC6 in the UK were repealed and replaced with The International Tax Enforcement (Disclosable Arrangements) Regulations 2023 (the "Regulations").

The guidance note covers the applicability of both regimes.

We are delighted to announce the publication of the LMA’s Sustainability Coordinator Letter (the SC Letter).

The SC Letter is intended to provide a starting point for negotiation where a sustainability coordinator is to be appointed on a sustainable lending transaction. 

The SC Letter is aligned with the Draft Provisions for Sustainability-Linked Loans published on 4 May 2023.

Given that the sustainability coordinator role is continuing to develop, the SC Letter will be kept under review and updated periodically as required. 

We would like to thank our dedicated working group and all members of our ESG Committee for their hard work on this project.

Improving efficiency, particularly around settlement times, in the primary and secondary loan markets continues to be one of the key goals of the LMA and its members.

Working with members of the Board from both the buy and sell side, the Board have approved a recommended timeline for settlement of primary leveraged loan syndication, incorporating fault based delayed settlement compensation. 

The timeline seeks to address the delays occurring by providing a set of recommended timings for key steps in the syndication process and where the recommended settlement time is not met, the introduction of a fault based delayed settlement compensation mechanism. 

The guidance looks to balance the competing interests of all stakeholders in the syndication process. The following key points should be noted:
 

• the timeline is a statement of recommended best practice with a target of 10 business days, meaning that it requires settlement - namely the potential lender/buyer becoming lender of record - within 10 business days from the later of the allocation date and the funding date;
• the compensation mechanism only applies to syndications where the facility agent, security agent, and underwriter are all part of the same group.

The LMA will keep these guidelines under review to ensure operational effectiveness, market impact, consistency with best practices, and fulfilment of the objectives of promoting greater efficiency and reduced settlement times. 

If appropriate and applicable, the LMA will look to extend to other areas of the loan market at a later stage. 

The LMA will look to track certain key metrics and maintain the existence of the Board Working Group to look at the utilization and impact of the guidance. 

The LMA is pleased to have published an updated version of its RFR destination table. The document has been revised in accordance with member feedback. As a result, it has been split into two destination tables: (i) A new table has been added which is divided by currency / RFR – this allows members to more easily locate the documents which are relevant for a particular currency / RFR; (ii) The existing table which is divided by sector to show the RFR equivalent (or most close equivalent) to a previously LIBOR-referencing LMA document. The updated destination tables are intended to make the LMA’s RFR documentation more easily accessible to members.  

With only 4 months to go until the cessation of CDOR, the LMA would like to invite members to two events being hosted by the Bank of Canada on the CDOR transition. 

29 February, PwC/CARR live webinar on the CDOR transition (4:00pm GMT)
This session will be focused on lending and hedging, as well as the transition away from the Bankers’ Acceptance market. For more information and to access the live event, please register with PwC at https://event.webcasts.com/starthere.jsp?ei=1653571&tp_key=3ea818391d. 

12 March, CDOR will end in less than 4 months: How financial markets are adapting to CORRA (in-person event)
The High Commission of Canada in the UK, in partnership with TMX and in collaboration with the CARR, will be hosting a panel discussion with industry experts including the CARR co-chairs, on the current transition from CDOR to CORRA. 
Event details:  12 March 2024, 16:00 - 18:00 GMT, Canada House, Trafalgar Square, London SW1Y 5BJ
To register, please send your RSVP to christiane.lavallee@tmx.com.  

The LMA is pleased to announce publication of revised Schuldschein Loan Agreements in German and English language.

As with the original versions, the revised LMA Schuldschein Loan Agreements are available in German and English language for both single borrower and single borrower with guarantor transaction structures. 

The revisions have been considered and agreed by members of the original working party and reflect changes in law, feedback received from market participants since 2018, developments in relation to reference rate fall-back provisions and aligning the security over lenders’ rights clause to the relevant clause provided for in the German law precedent for syndicated facilities. 

We have been part of the Euro RFR Working Group and have worked with the Group on strengthening fallbacks to EURIBOR. 

On 1 February 2024, we published an updated version of our term €STR fallback exposure draft and related commentary following market feedback. As feedback received was generally supportive of the exposure draft, there have been no major changes. However, given the lack of market practice in the use of term €STR fallbacks, the LMA has not yet moved this document to recommended form.  As a result, we need members to provide us with ongoing feedback from the provisions being used on transactions. 

We have also updated the existing form of German law investment grade documentation to include a switch to compounded €STR upon a permanent cessation or non-representativeness of EURIBOR. 

We are delighted to announce the publication of the second edition of the ‘External Review Guidance for Green, Social and Sustainability-linked Loans’, produced in collaboration with the APLMA and LSTA.

The LMA is pleased to have published updated versions of its developing markets and pre-export finance (PXF) facility agreements for the transition to risk-free rates (RFRs). 

We are delighted to announce the publication of 'An Introduction to Green Loan Frameworks' (the Guide), an educational piece offering direction on green loan frameworks, as referenced in the February update of the Green Loan Principles (GLP). 
 

The LMA is pleased to release two new documents for use on real estate finance transactions as part of its ongoing work to improve efficiency in the syndicated loan market. 

We are delighted to announce the launch of our new introductory guide to sustainable finance, 'Getting Started in Sustainable Finance', produced in conjunction with the Association of Corporate Treasurers.

Intended for use by new entrants to the sustainable lending market, this guide describes the background to the emergence of sustainable lending, the global commitments driving the sustainability agenda, the range of products on offer and further resources at hand to help. 

We are delighted to have co-authored an article with Trowers & Hamlins focussing on sustainable finance for social housing.

This article explores the potential benefits of the use of green, social, and sustainability-linked loans in the social housing sector, and focusses on some of the related challenges and opportunities for market participants.

We are pleased to have published a user guide and revised recommended form of replacement of screen rate clause for the LMA’s South African law documents (“SA revised replacement of screen rate clause”). The SA revised replacement of screen rate clause is based on the LMA’s existing 2018 revised replacement of screen rate clause (as updated) produced in the context of LIBOR transition. However, it also has regard to the work of the MPG on sample reference language for bilateral loans and reflects specifics of the South African market and JIBAR transition. In order to provide additional context, there are footnotes explaining any differences in the LMA clause and the MPG sample clause.

​​​​​

We are delighted to have released an article today focussing on mid-market sustainable finance, following a Regional Early Evening Seminar which we co-hosted with Browne Jacobson on 13 September 2023.

We have published an updated CORRA Schedule which provides drafting for term CORRA in addition to compounded CORRA. Further, we have updated both our CORRA Schedule and TONA Schedule to reflect the updated definition of the “Daily Rate” in the updated IG compounded rate documents to provide for an interim fallback to a historic rate (prior to the application of a central bank rate plus any adjustment spread). This addresses what is sometimes referred to as the “Good Friday issue”.

We are pleased to have published an exposure draft multicurrency term and revolving facilities agreement which incorporates term €STR fallbacks from EURIBOR. This is accompanied by a cover note providing a high-level summary of the fallback provisions set out in the document, and a separate commentary providing further detail of the provisions. Today, we have also published updated versions of our investment grade compounded rate facilities agreements, along with updated versions of the related term sheets and commentaries. 

The LMA has today published the term sheet to accompany its model provisions for sustainability-linked loans (SLLs). Contained in Part 8 of the Term Sheet for Leveraged Acquisition Finance Transactions (Term Sheet), the draft sustainability-linked loan terms can be inserted into the body of the Term Sheet or, as with the LMA's Draft Provisions for Sustainability-Linked Loans, be adapted for use in conjunction with the LMA's other recommended forms. 

The LMA, in conjunction with the European Leveraged Finance Association, is delighted to announce the publication of the updated Best Practice Guide to Sustainability-Linked Leveraged Loans (SLLLs, and the Guide).


 

We are delighted to have co-authored an article with Norton Rose Fulbright LLP focussing on financing sustainability in shipping. 

Shipping plays a critical role in facilitating efficient global trade and underpins the international economy. There are, however, a number of social and environmental issues which the industry will have to address. This article explores how the sustainability-linked loan product can be, and already is being, used in the context of shipping financing transactions to address these issues and align with the direction of regulatory changes designed to stimulate a more efficient industry.

 

LMA.Automate is delighted to have produced a new bilateral facility agreement, which has been made available to all subscribers on the platform. We believe this new template, being the first of its kind, will have a broad and compelling use case for all LMA.Automate subscribers, whether lenders or law firms.

The LMA is delighted to have co-authored an article with Norton Rose Fulbright LLP focussing on financing a sustainable future for the aviation industry. 

Aviation is essential for global mobility, but is a ‘hard-to-abate’ sector, meaning it is prohibitively costly or impossible to transition to net zero with currently available abatement technology. This article explores how the sustainability-linked loan product can be, and already is being, used in the context of aviation financing transactions to catalyse the transition to a more sustainable future.

We are pleased to have published our exposure draft term SOFR documentation as recommended form. The related term SOFR commentary has also been updated. The move to recommended form follows the increasing use in the market of the term SOFR provisions in the exposure drafts, market feedback received, the length of time since publication of the exposure drafts and the impending end-June 2023 deadline for US dollar LIBOR transition. 

We have published model provisions for sustainability-linked loans (SLLs).  These model provisions look to provide a proposed form of draft SLL provisions for inserting into LMA loan documentation, which are aligned with our Sustainability-Linked Loan Principles and accompanying Guidance notes.

We have published updated versions of the LMA intercreditor agreement for real estate finance transactions, and the LMA intercreditor agreement for real estate finance transactions (contractual subordination only). Amendments have been made to these documents to reflect the transition to risk-free rates as well as the UK's withdrawal from the European Union.  

We have today updated the corporate lending facility agreement available on the LMA.Automate platform to incorporate Term SOFR. This is part of the commitment to provide updated pre-automated LMA templates on the platform, including accommodation of the latest developments with respect to RFRs. 

The LMA is pleased to have published a note focusing on LMA facility documentation and the recommendations published by the working group on euro risk-free rates on EURIBOR fallback trigger events and €STR-based EURIBOR fallback rates (Euro WG Recommendations). Particularly, the note outlines the current approach taken to the Euro WG Recommendations in the LMA's recommended forms of English law multicurrency facility documentation which reference risk-free reference rates from the outset and aims to help market participants understand how they can use existing LMA RFR documentation to implement robust fallbacks to EURIBOR.    

We are pleased to have published a schedule for compounded in-arrear CORRA. This has been produced in response to demand from some participants in the syndicated lending market to provide a suggested form of drafting for use of compounded in-arrear CORRA in conjunction with the structure for use of compounded in-arrear risk-free reference rates contained in the LMA's existing compounded rate facilities agreements. As it is designed to work with the structure in the compounded rate facilities agreement, the schedule is largely technical in nature and follows the form of the other currency schedules already contained in the compounded rate facilities agreements. 

We have released a note which outlines the documentary implications for the replacement of TARGET2. Market participants may be aware that TARGET2, the Trans-European Automated Real-time Gross Settlement Express Transfer payment system, is due to be succeeded in March 2023 by a new real-time gross settlement system (to be called T2). After T2 becomes operational, the LMA intends to update its facility documentation in due course to expressly reference the new system. In the meantime, the note sets out the changes that the LMA plans to adopt in its definitions of relevant documentation once T2 has become operational.