Aviation Working Group (AWG) is published its inaugural enforceability index, which asses the law and practice in countries that are not yet parties to the Cape Town Convention (CTC) and its Aircraft Protocol.
The index assesses legal rules and practical experience within such countries based on whether, and the extent to which, they facilitate customary creditor rights and remedies and align with financing and leasing principles in the global aviation market.
“Publicly available materials also include scorecards and detailed annotations explaining the basis of the scoring,” AWG read in a statement. “While the AWG secretariat makes all scoring decisions and does so on a purely analytic basis, it has benefitted from consensus input on legal facts and developments from multiple leading aviation finance firm in each country.”
This inaugural publication includes scoring and detailed annotations for six countries, including: Israel, Morocco, the Philippines, Poland, South Korea, and Thailand. AWG said it will be adding scoring for additional countries either by the end of the year or at least the first quarter of 2026. The additional 10 countries include: Algeria, Cambodia, Chile, Finland, France, Greece, Hungary, Italy, Japan, and Portugal.
AWG said the index build on the analytical foundation in, and many years of experience developing, scoring, and revising, its CTC compliance index for CTC countries.
The index aims to both inform financiers and investors and provide an incentive for legal authorities to take action, and exercise discretion, within their control to align with customary creditor rights and remedies and financing and leasing principles in the global aviation market.
AWG added: "This enforceability index is meant as an interim action in the sense of AWG’s promotion of CTC ratification by all countries scored. We look forward, on their ratification of CTC, to removing them from the enforceability index and adding them to CTC compliance index, as CTC in now the widely acknowledged as international best practice and has been ratified or acceded to by 90 countries."