19 FEB
3 03
THE BELIZE TIMES
2017
DESPERATE GOB LOOKS TO BOND PAYMENT DUE FEBRUARY 20TH… HOCK UTILITY SHARES
Tuesday, February 14, 2017 While the dismal state of the nation’s economy is no secret, GOB has been careful to shy away from revealing just how much they have screwed the country, driving us to the brink of disaster. Recently it was revealed that just to meet the monthly public service wage, Mr. Barrow was forced to go, hat in hand, to Taiwan to procure some bailout funds from that very generous, very freehanded donor. And it gets much worse. At a press conference this Monday, PUP Leader John Briceño revealed that GOB, in the depths of its desperation, is now seeking to sell off significant shares in the very utilities which they boast of having given back to Belizeans. According to Briceño, the Opposition learned of this plan through a proposal presented to the Prime Minister, “where they are talking about combining the three utilities,
the shares that they own, and putting it under one company, one trust, and then they want to sell these shares. I am told that they are trying to get – right now, as we speak, Social Security Board to buy – I am not sure if it is eleven million shares or eleven million dollars’ worth of shares, and I am told – I’ve been reliably informed, that the professionals that work for Social Security are not recommending that Social Security buy any more shares in B.T.L.” Briceño explained that the SSB’s Board is resisting the sale because the shares they have already purchased in BTL have plummeted in value. “In 2009 they bought an amount of shares – at that time those shares were valued at over five dollars per share; at the end of their financial year they had to revalue those shares and now those shares are valued at under four dollars per year.” It is reported that the government is attempting to bring in close to $200M from the sales of shares in these utilities. Briceño also pointed out that it would be very interesting indeed if Lord Ashcroft, a Belizean, is offered shares in the utilities as the cash-strapped government struggles to stay afloat.
ONE YEAR OF
UDP FAILURES
DEFAULT LIKELY
February 15, 2017 In just a matter of a few days, GOB needs to make a $26M payment to bondholders, even as Prime Minister Barrow travelled to New York earlier this week to join his negotiating team engaged in frantic negotiations with bondholder representatives. There is every indication that the government will not be able to meet that payment because it is, for all intents and purposes, broke. There is also every indication that bondholders are not prepared to accept a plan they say does not do what is necessary to ensure that in the future, GOB would be able to meet payment requirements on a restructured bond. Late last week Financial Secretary Joseph Waight confirmed that GOB has once again extended the deadline for bondholders to accept the terms, though the terms have not changed since the first presentation which was roundly refused. "The discussions continued, and we are hopeful that it would be fruitful and we need to give the process more time. So the government today has extended it for a further 2 weeks," Waight explained. According to Waight, there is some sort of progress in his view, since the bondholders are at least asking for more information which is being given to them. He would not comment on the status of the negotiations or any contin-
gency plan in the event of failed negotiations, though, expect to confirm that a large payment is due very soon - "Yes the payment is due on the 20th and the only person who can really answer that, I wouldn't be able to call on that, it would be the Prime Minister in due course." At his press conference this week, Leader of the Opposition John Briceño reiterated that where we are today is because of the mismanagement of Prime Minister Dean Barrow - "After boasting that he has solved the super bond issue and that the nation was on to good times, the Prime Minister has been forced to eat crow and admit that everything he said is not so. The default on the UDP superbond is now more likely than ever before. Make no mistake about it. Government is broke. This UDP government is broke."
GOOD GOVERNANCE
• PASSPORT SCANDAL • VISA SCANDAL • NATIONALITY SCANDAL • WILLIAM DANNY MASON SCANDAL • LANDS SCANDAL
ECONOMY
• RECESSION • $557M IN NEW DEBT FOR BTL • UNSUSTAINABLE NATIONAL DEBT • FOREIGN RESERVES DEPLETED • DEVALUATION LOOMING • NEW TAXES SOON
INDUSTRY
• SUGAR INDUSTRY IN CRISIS • CITRUS INDUSTRY IN CRISIS • BANANA INDUSTRY IN CRISIS • AQUACULTURE INDUSTRY IN CRISIS • PAPAYA INDUSTRY DEAD
NO HOPE WITH THE UNITED DEMOCRATIC PARTY!