The Prerequisite Requirements for Effective Operations of the Centralized System of Movable Collaterals Registry for Boosting the Risk Management and Access to Finance of the Banking System

It is an axiomatic fact that the collateral financing is de facto, deemed as a plausible strategy for augmenting the feasibility of firms to be endowed with the required funds and to avail the externalities of furtherance of risk management of banking system, In toto. Though, we may not derive de jure, the same outcome in practice. In this paper, an attempt is made to investigate and analyze the building blocks of the strength of the legal rights index as the most significant component of access to credit extension index, gleaned with legal, systemic and executive infrastructures of collateral finance framework, Ipso facto. Meanwhile, the existing constraints of this set up; have been expounded, for non availability of registry system regarding the movable collaterals in Iran, A fortiori. Nonetheless, various approaches for evaluation of this framework along with the proffered scheme of IFC for implementation of the appropriate frameworks, considering the practical experiences of the other countries, and the necessity to contemplate on other systems comparative to the centralized collateral registry; have been propounded, Sine qua non.The results prima facie indicate that the extant drawbacks observed in each of these infrastructures, and /or non establishment of a viable optimal link between them, may lead to not attaining the expected sequels of financing viz-a-viz movable collaterals, per se. Thus, one may conclude that, the mere discernibility of the concerned system, shall not accomplish the prophesied grail, Quid pro qua.