Governement of Barbados make BBD Debt Exchange Offer

The Government of Barbados announced on Friday that it has launched an offer to exchange the vast majority of Barbados dollar-denominated debt owed by the Government of Barbados and certain public sector obligors for new debt instruments issued by the Government of Barbados. The launch of the exchange offer follows the Government’s 1 June 2018 announcement of its intention to seek a comprehensive restructuring of the country’s unsustainable debt burden.

In making its announcement, the Government confirmed that the following Barbados dollar-denominated instruments fall within the scope of the exchange offer (“Affected Debt”):  

• Treasury Bills
• Treasury Notes
• Debentures
• Loans and bonds owed by the Government
• Loans and bonds owed by state-owned enterprises (SOEs) and other entities that receive transfers from the state budget
• Certain arrears owed by the Government and its public sector

 Savings Bonds do not fall within the scope of the exchange offer and will therefore not be restructured.  All holders of the Affected Debt will shortly receive letters with full details of the exchange offer, together with participation instructions. The exchange offer will be open to holders of the affected debt until 5:00pm on Friday, 28 September 2018.