Document background
The Co-Financing Agreement is a crucial document used when multiple financial institutions collaborate to provide financing for large-scale projects or significant corporate requirements in the UAE. It is particularly relevant for transactions requiring substantial capital deployment, risk sharing, or specialized financing expertise. The agreement must comply with UAE Federal Laws, including the Civil Code, Commercial Transactions Law, and Central Bank regulations. It typically includes detailed provisions for facility administration, security sharing, and enforcement mechanisms, with optional Sharia-compliant structures common in the UAE market. The document is essential for complex financing arrangements where multiple lenders pool their resources while maintaining clear governance structures and risk allocation mechanisms.
