The main objective of Asset Based Financing (ABF) in Western Balkans is to enable an increase in liquidity and available financing for MSMEs through the establishment of innovative ABF solutions; support for the asset-based lending ecosystem; and mitigation of the impact of late payments on business The Project objectives will be achieved through activities that will be addressing the gaps related to: legislation/regulations linked to factoring and late payments; providing a roadmap for technological infrastructure for the introduction of national invoice trading platforms; MSME knowledge and capacity to leverage ABF.The Project aims to:* Provide a deep dive regulatory and market analysis of the factoring market in the Western Balkans region.* Assess the Late Payments and Trade Credit in WBC.* Draft a model Code of Prompt Payments.* Assess the needs and development of the roadmaps for the introduction of national invoice trading e-platforms.Each country is at a different level of development of the factoring market and represents a market with unique characteristics and variations. For example; in Serbia there is a widespread recognition both by the regulator (Ministry of Finance) and factoring industry on the need to change the current legislation.1. Draft a deep dive regulatory assessment of the factoring regulatory framework in the Western Balkans region.The consultant will provide a thorough review of the regulatory framework related to factoring across the Western Balkans and provide a deep dive regulatory analysis of the factoring markets in the Western Balkans countries (Albania; Bosnia and Herzegovina; Kosovo; Montenegro; North Macedonia and Serbia). The assessment will:* Identify regulatory gaps and inefficiencies in the current framework.* Propose legal and policy improvements to facilitate market development.* Assess national laws transposing the EU Late Payment Directive and evaluate compliance with anticipated EU regulatory changes.2. Draft Assessment of the Late Payments and Trade Credit in the Western Balkans.In collaboration the IFC¡¯s project team; the consultant will contribute to the analysis of the current landscape of late payments and trade credit practices in the region and collaborate with the team to identify challenges faced by businesses and propose actionable solutions to enhance payment practices and legislative compliance. The consultant will assess the laws that transpose the EU Late Payment Directive or implement solutions required in the anticipated EU Regulation. Throughout the region the implementation of the current laws is weak and leads to numerous problems. An improved framework should protect companies; particularly SMEs; against those who pay late and ensure timely receipt of payments to avoid cash flow disruptions. The analysis will specifically look at inefficiencies that primarily inhibit the MSME sector's collection and a way to ensure more effective implementation of the relevant national laws. The analysis of possible amendments will consider requirements stipulated by the draft EU Late Payment Regulation; that substantially changes the institutional and legislative framework. In collaboration with IFC¡¯s project team; the consultant will:* Provide recommendations for legislative amendments considering the requirements of the draft EU Late Payment Regulation; which introduces significant institutional and legislative changes.* Develop recommendations for policy improvements to enhance factoring operations in the region.3. Draft Model Code of Prompt Payments In collaboration the IFC¡¯s project team; the consultant will assist in the development of a standardized framework to encourage timely payments and establish best practices for businesses. The consultant will also engage with stakeholders alongside the team to ensure practical applicability and alignment with regional and best EU practice.4. Present the findings of the final draft of the regulatory assessment to the IFC¡¯s project team.The consultant will provide and present the final draft of the Western Balkans region regulatory assessments to the IFC¡¯s project team in the form of a report. 5. Submit the final assessment.After receiving the final comments from the IFC¡¯s project team; the consultant will revise the final draft of the regulatory assessment and submit its final version. The final list of deliverables should include the following:1. Report that summarizes the findings from the factoring regulatory assessment in the Western Balkans region 2. Draft Contribution to the assessment report on late payments and trade credit with proposed legislative and operational solutions.3. Support in drafting a model Code of Prompt Payments tailored to the Western Balkans' business environment.4. Active participation in relevant stakeholder meetings and workshops to present findings and recom