Belize - Belize News - Channel5Belize.com - Great Belize Productions - Belize Breaking News
Home » Economy, Featured » Superbond restructure talks resound locally and internationally
Aug 21, 2012

Superbond restructure talks resound locally and internationally

Locally, the private sector says it is in favor of the restructuring of the Superbond and that the government must pay its debts. The opposition has asked the prime minister the nation and says it wasn’t consulted when the government decided not to pay the twenty-three million US dollar coupon. But internationally, the Superbond continues to make negative headlines in financial circles. There is swift reaction to government’s decision not to meet the payment that was due on Monday. In the re-structuring, Government is offering bondholders twenty cents on the dollar, which is regarded as an offer so low that it is worse than what Argentina gave creditors following its 2001 default. The Bank of Nova Scotia (BNS) and Citigroup Inc. also describe the three proposals advanced on August eighth as the least among sixteen sovereign debt restructurings since 1998. And according to Arturo Porzecanski, a professor of international finance at the American University in Washington, it is not a haircut, it is a scalping which puts Belize in the same league as the most punishing restructurings in sovereign history. The Prime Minister will be holding a press conference this Wednesday and this hot button issue is surely to come up. In some quarters there is optimism that the payment will be met during the thirty day grace period because the government made the allocations in the budget and because a default is likely to land Belize in the arms of the International Monetary Fund. So for now, the weight of uncertainty continues to place Belize in a most unenviable position.

Be Sociable, Share!


Viewers please note: This Internet newscast is a verbatim transcript of our evening television newscast. Where speakers use Kriol, we attempt to faithfully reproduce the quotes using a standard spelling system.

Advertise Here

12 Responses for “Superbond restructure talks resound locally and internationally”

  1. Storm says:

    People have compared our default to Argentina’s, but they are not really comparable. Argentina is a much larger economy and was quite a bit more developed even in 2001. It was needed in the international community more than we are, frankly. Sadly, Barrow, Espat & Co, remind me of an ant with a bad attitude, trying to negotiate with elephants.

    I’m still puzzled by where the money went that was set aside and budgeted by Hon. Barrow to pay this coupon. Did he lose his wallet in Miami, and our money with it? INQUIRING MINDS WANT TO KNOW.

  2. Ricky Malthus says:

    We don’t want to disparage the economic and financial midgets who advise Barrow but the $46 million coupon payment due represents only 4.6% of the $1 billion government budget; and 1.8% of the $2.5 billion GDP for the entire country.Condider too that it cost $60 million annually to fund Barrow’s advisors in Central Bank, Ministry of Finance, GG’s Office , Office of the PM,Beltraide, Economic Development,Solicitor Gen. Office and to some extent Attorney Gen. Office. So what is the rationale for Barrow’s nefarious action? Is it malicious mischief since $ 46 million is like a raindrop in the ocean. Is it Barrow love to control everything and everyone? Is it the sickness of megalomania? Whatever the rationale, it is sick and the nation must not be sacrificed to feed this sickness. But this is Barrow’s Waterloo and the Waterloo of all the advisors. So mote it be.

  3. Rod says:

    When you have such an incompetent pm what else do you expect when he spends half the year in Miami beach spending all the po people money then coming back and putting us in the worse position we have ever been in barrow ism needs to go people no more barrow ism we are sick and tired of your incompetence and impotence the one thing that jumps out is that barrow is know by his first name in Miami beach they love him at that hotel where he pays over 300.00 dollars a night.

  4. KID says:

    ROD YOUR COMMENTS MAKE NO REFERENCE TO THE ABOVE NEWS ARTICLE

  5. jack says:

    Before we criticize the PM who is trying to negotiate the superbond, why dont we analyze the root cause of the problem. Was it Barrow that incurred in such high debt? the Bzean piple now have to pay this thing and is trying his best to negotiate and let we pay the minimum. Or is it that the Belizean public is happy to pay 46MD…I am not.

    PUP will not let others enter the political arena so the leader of the opposition goes unchallenged……a decision made by the party. already smelling the scent of dictatorship…….just imagine when they get in power………

  6. me says:

    Imagine the millions of dollors dean barrow have taken to miami (due to his diplomatic immunity) . so now i wonder if he wants the belize dollor to devaluate for he then will be able to buy more things here in belize with his same Us dollors in US banks. dean borrow surely have earned jail time in belize.

  7. Storm says:

    I like you, Malthus. When you speak, you have the facts. Facts can be strangely persuasive.

  8. bzean says:

    i am not defending Barrow but everybody please think back and remember who were the ones that put the bond on belize….. they were the ones in power at that time and what did they do with all that money, maybe thats where we need to first start diggin up answers and find back those millions to return as payment towards the bond.
    i believe mr johnny briceno once had asked his own party to “GIVE BACK DI MILLIONS”

    Seemingly ROD and the likes no memba all dat..

  9. Rod says:

    Bzean, Under this pm and gov. Economy in the dumps
    Education in the dumps worse scores ever
    Crime completely out of control
    More murders in 4yrs than the last 50 yrs in Belize
    Tourism in the dumps
    Corruption rampant
    Guatemala taking over the country
    To me this gets one big dunce hat. Put aw dunce hat pa barrow and put a fu sit down Ina the corner because to me this is called a total failure due to barrow ism.

  10. Love Joys says:

    Mark Espat is the real hero here for crossing party lines to help force renegotiation of the Super Bond for the survival of Belize. Remember this debt was a bad idea in the first place, and now an older and wiser Espat is attempting to reverse the damage being caused by the greed and corruption of Musa Administration.

    Keep in mind, that as the Superbond Payments continue to increase exponentially and the global economy continues to worsen, inevitably Belize will face a Superbond default. It is much to default now, than to give away every last dollar to the banksters and still be forced into default and austerity.

    Belize First. Only the Fittest will Survive Respect and Props to Mark Espat

  11. herm says:

    Storm
    that money want to Miami beach vacation with his family..

  12. herm says:

    Storm
    that money want to Miami beach vacation with his family..
    this Barrow have not fix anything in belize
    look at the main highway..
    and what happen to all the tax & duty money we pay…

Leave a Reply

CAPTCHA Image
*