Financing mechanism for paying suppliers of local entities: Royal Decree-Law 4/2012, of 24 February
29 February 2012
Scope: agreements for works,services and supplies to local entities
Identification of the payment obligations included prior to 15 March 2012
Option for the local entity: pay or take recourse to the financing mechanism with an adjustment plan
Effects of the financing mechanism: collection by the suppliers by presentation for
collection in credit institutions, at a discount, and without interest, costs or expenses
Financing mechanism: system of guarantees for financing entities
Clifford Chance
