Financing and Leasing of Aircraft in the British Virgin Islands

Posted 18/10/2011 • Under Legal Memoranda

The British Virgin Islands are becoming an increasingly popular jurisdiction for establishing asset holding entities, and in particular, special purpose vehicles (“SPVs”) for use in aircraft financing transactions. Political and economic stability, being a well regarded participant in international financial transparency and information exchange initiatives, the application of structural bankruptcy remoteness techniques, as well as having a respected judicial system, (the UK Privy Council being the highest court of appeal), a favourable legislative framework and tax regime, and the absence of exchange control and currency restrictions, make the BVI the ideal jurisdiction to play a consistent and reliable role in ownership and financing structures.