As such, the key issue is whether such support is provided by private or public funding. It may be noted that the inability of private provision implies greater reliance on public funding which is a burden on the fisc. In the Asian context, this issue is of great relevance as ageing is occurring at lower income levels.
Specifically, the new legislation closes loopholes which debtors had been using to prolong the debt resolution process in areas such as intercompany liabilities, director and manager responsibility, while it makes bridge lending in cases of liquidity crunches more feasible.