Central Banks cancels Naf 26M bond issue


WILLEMSTAD/PHILIPSBURG–The Central Bank of Curaçao and St. Maarten has cancelled the bond issue on behalf of the Government of St. Maarten.

The bond issue was planned for Wednesday, October 12, regarding a NAf. 26 million, 0.60 per cent sinking bond with duration of 25 years.

This issuance has been cancelled by the St. Maarten Government.

“The raising of funds through this vehicle is no longer necessary,” according to a Central Bank statement issued on Friday.

Democratic Party (DP) leader Member of Parliament (MP) Sarah Wescot-Williams has fired off questions about the cancellation to Finance Minister Richard Gibson Sr. via Parliament.

Wescot-Williams, in a press release, described the Central Bank’s notice of the cancellation as a “terse statement.”

The bond was originally issued to pay off projects pre-financed by Windward Roads Infrastructure and MNO Vervat. The original bond issuance paid off those companies. The now cancelled October 12 bond would have been a re-financing of the original bond.

“Why was this bond issue cancelled? What are the outstanding amounts to the contractors mentioned above and for which projects specifically,” she asked in her letter.

A copy of the cancelation request was also sought by the MP who expressed hope that the Minister’s response will be received “post haste”.

Source: The Daily Herald https://www.thedailyherald.sx/islands/60825-central-bank-cancels-naf-26m-bond-issue