New securitization-friendly legislation was recently implemented in Portugal, which allows the state and social security authorities to securitize a variety of receivables, paving the way for Portugal's first government-related deal.

Industry sources are comparing the initial 1.7 billion (US$2 billion) securitization of tax and social security claims to Italy's Istituto Nazionale della Previdenza Soziale (INPS), which has raised approximately 12.4 billion through securitizing delinquent social security contributions owed by companies, self-employed people and agricultural enterprises. The INPS debut was the first securitization that specifically aimed to improve a European government's GDP ratio to comply with EU fiscal discipline as outlined under the Maastricht criteria.

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