Direct Lending in Europe: Recent Developments

In Italy, France and Germany, lending activities have traditionally been reserved to a limited number of institutions (mainly banks and other regulated intermediaries). Recent reforms in all of these countries have brought about significant developments, by extending to alternative investment funds (AIFs) the ability to carry out lending activities, subject to certain conditions.

The memorandum provides an overview of the new framework applicable to lending activities carried out by AIFs in Italy, France and Germany.