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Earlier, we told you that the Prime Minister was in New York on official business.  But, up until two hours ago, no one knew what that official business was all about.  Well, thanks to a government press release, we know now.  Can you say, Superbond 3.0?  That’s right; Government has announced that it intends to commence discussions with holders of the Superbond.  An official release says this is due to, quote, “the serious economic and financial challenges currently facing the country.â€￾ 

But, if you can recall, the Superbond was just re-negotiated in 2013.  Well, the bullet payments for this restructured Superbond 2.0 are coming up in 2017, and, guess what? Government won’t be able to pay it.  
An official release puts is plainly, quote, “Belize’s economy has significantly underperformed in comparison with the projections used at the time in setting the terms of the 2038 Bonds.â€￾ 

So now, the government’s financial team will meet with individual bondholders or a committee representing the bondholders basically to tell them that hard times are here and government can’t pay. These meetings will be held before the end of November. Government has retained Citigroup Global Markets as its structuring advisor and a New York law firm as its counsel. 

Government is expected to offer the bondholders some sort of incentive to capitalize on present value, while deferring interest payments.  The bond matures in the year 2038.