“Super” bond explained
Mark Espat, head of Belize’s debt restructuring team, discusses why foreign investors shouldn’t necessarily fear the super bond.
Why we think you should read this:
There’s been much talk about Belize’s Super Bond in recent years, much of it causing uncertainty with foreign investors unfamiliar with the inner workings and implications of the debt restructuring agreement. This Q & A with the head of Belize’s debt restructuring team explains exactly what the super bond is and why investors shouldn’t be worried.
- The super bond is essentially a consolidation of Belize’s external commercial debt
- The super bond does not represent any additional risk to foreign investors in Belize
- The super bond enables the Government of Belize to direct more funds toward spending programs and capital investments
- The Belizean dollar, which is pegged to the US dollar, remains stable. This stability has been confirmed by the International Monetary Fund (IMF)
Read full article [p. 28]