Belgium’s covered bond legislation will come into effect next Monday (3 September), after it was published in the Belgian State Gazette on Friday, according to law firm Stibbe.

A Royal Decree determining the eligibility and valuation criteria of the cover assets, among other things, is being finalised, added Stibbe.

Belgian covered bond legislation was fast-tracked through the country’s parliament before a summer recess, with the Senate approving the law on 19 July, a day after the lower house of parliament also voted in favour.

KBC Bank and Belfius Bank & Insurance have already stated plans or an interest to issue covered bonds. (See here for related coverage.)