Prime Minister Dean Barrow returned the country on Saturday afternoon after traveling to New York City on official business. He was there along with Economic Ambassador Mark Espat and Financial Secretary Joseph Waight to speak with Belize's financial advisors. They are finalizing the country's plan approach bondholders to convince them restructure the Superbond, for the second time in less than 4 years.
The Government needs immediate relief from the crippling bullet payments which start next year.
When the PM landed at the PGIA on Saturday, we spoke to him to discuss what the strategy will look like to get buy-in from bond holders. Here's what he told us:
Rt. Hon. Dean Barrow, Prime Minister of Belize
"I went together with Ambassador Espat and the Financial Secretary. We went to finalize matters with our legal and financial advisors prior to officially notifying bond holders and the public that we are going to be seeking to restructure. We have agreed our strategy and now it is a matter of actually engaging the bond holders in the face to face negotiations which Ambassador Espat will lead together with the city group which is the sort of financial intermediary advisories."
"We met with both Cleary Gottlieb, Lee Buchheit, who is the council from firm with whom Belize deals and with the city group. As I said, the whole idea was to be certain that in terms of our game plan going forward, we were all absolutely on the same page so that there could be no surprises. That was basically what that meeting was about. Preparatory as I said the actual engagement with the bond holders which clearly by way of Mr. Buchheit. City and Ambassador Espat will lead."
Ambassador Mark Espat, Financial advisor - GOB
"I think there are only 3 possibilities in that regard. There is the coupon rates, the interest rate being paid, there is the time when the principal repayment is supposed to start which at this present time is August of 2019 and there is the ultimate maturity which is schedule at this time for 2035. So those are the 3 elements that will be in play."
Daniel Ortiz, 7News
"What are those numbers? Can you say that you intend to look at and proposed to those bond holders?"
Ambassador Mark Espat, Financial advisor - GOB
"I think that would be premature at this point. The government of Belize and the terms and conditions of the bonds have an obligation to consult with bond holders and to confer to creditor committee when that committee is form. We fully expect that that committee will be formed in the coming days and Belize will engage in those discussions in good faith with the ultimate objective as Prime Minister Barrow enunciated just now to ensure long term sustainability."
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