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BNB $35m line for Govt

Albert Brandford

BNB $35m line for Govt

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Government is seeking a $35 million line of credit from the Barbados National?Bank (BNB) to meet its spending commitments over the next two years.
Minister of Finance Chris Sinckler is down on the Order Paper to pilot a resolution to approve the line of credit from the BNB when the House of Assembly meets today at 10 a.m.
According to the resolution, the money, being sought under the Special?Loans Act which caps Government borrowing at $1.5 billion, will be used to provide support for the Freundel?Stuart Administration’s expenditure programme over the next two years and specifically to assist with road infrastructural works.
The line of credit will be for a period of two years and will fluctuate within the approved limit inclusive of monthly interest charges, commencing from the date of acceptance of the facility.
The principal is to be liquidated on maturity from the Consolidated Fund, with the option to convert any amount drawn at that time to a long-term bond facility with terms to be negotiated in accordance with market conditions at that time.
Read the full story in today’s DAILY NATION.