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COVID-19 - Impact on Financial Sector - 27 April 2020


Please find below a summary of COVID-19 developments relevant to our clients; these alerts are dedicated to following up on the financial  regulators’ responses to the crisis. We have also created a COVID-19 Resource Center to offer legal and business insights as this crisis continues to evolve. We wish you and your loved ones well.

If you have any questions please feel free to contact: 

Tom Van Dyck
+32 475 90 90 91

Freya Mareels 
+32 475 25 11 50

Wim Dedecker
+32 491 36 03 99



BS / MB 24/04/2020

Royal decree regarding special measures to protect public UCIs with variable capital against the effects of the COVID-19 pandemic, pursuant to which public UCIs may reduce the frequency of the execution of requests for the issuance or repurchase of units or requests to change sub-funds, as well as the frequency of the calculation of the net asset value.

The decrease is temporary and is only possible to the extent strictly necessary due to the absence for sickness, as a result of the epidemic, of the staff necessary for the calculation of the net asset value of the units in accordance with the established frequency.


BS / MB 24/04/2020

By Royal Decree No. 15 of 24 April 2020, the Belgian government has introduced a temporary Moratorium for enterprises in order to mitigate the systemic economic consequences of the COVID-19 crisis.

For the duration of the Moratorium, the general position, even though the debtor may be in payment default, is that: 

  • creditors will not be able to execute certain enforcement (proceedings) and security rights against a debtor;

  • creditors will not be able to terminate pending agreements due to payment default; and

  • enterprises cannot be declared bankrupt, be subject to judicial dissolution, nor be the subject of a forced transfer of their business activities due to bankruptcy before a Belgian court

Exceptions to these rules apply, such as in the case of fraud.  The scope of this temporary Moratorium is also limited, for example, in that it does not address directors’ liability. Directors should therefore seek legal advice on their (personal) liability duties and risks.


BS / MB 24/04/2020


Royal Decree nr. 11 regarding special measures concerning the arrangements for mortgage credits in the context of the Corona crisis.

This Royal Decree adds an explicit clause in art. VII.145 of the Code of Economic Law pursuant to which a deferral of interest will be one of the permitted changes to a mortgage loan agreement. From 1 April to 31 October 2020, a borrower will be able to make such an application (under certain conditions). No administrative costs may be charged in this respect. However, the banks are (officially) still free to authorize the request or not.

It is also explicitly stated that an assessment of the creditworthiness of the borrower is not required for such a deferral.


EIOPA publishes weekly information for Relevant Risk Free Interest Rate Term Structures and Symmetric Adjustment to Equity Risk with reference to 21 April 2020

Due to the COVID-19 outbreak, the European Insurance and Occupational Pensions Authority will in the coming weeks carry out extraordinary calculations on a weekly basis to monitor the evolution of the relevant risk-free interest rate term structures (RFR) and the symmetric adjustment to equity risk (EDA). EIOPA is publishing this information in order to support insurance and reinsurance undertakings in the monitoring of their solvency and financial position.

The information will be published on a specific area of the website created for this purpose both for RFR and EDA named “Extraordinary weekly updates”.

Copyright - Please do not quote without permission. Please note that this alert is not a legal advice.