Bloomberg is reporting today that Belize’s debt burden is now the worst among emerging markets tracked by JPMorgan.
“All eyes are on Belize to make the coupon payment,” said AJ Mediratta, a partner at Greylock Capital Management who is leading negotiations for a group of investors holding about $300 million in Belize bonds. “The country has the money to make this coupon payment. We know it is there.”
According to Bloomberg Belize has $544 million of bonds and it’s looking like the Government of Belize will force it’s creditors to take a loss in any restructuring deal. Belize News Post is wondering how this news may be related to the GOB adding GST (tax) back on gas/diesel in Belize.
Belize’s dollar bonds have fallen 2.5 percent this month, the most among 52 emerging-market countries tracked by JPMorgan Chase & Co’s EMBIG index. Brazilian and Indonesian bonds have gained 4.2 percent over the same period. Yields on Belize’s so- called superbond due in 2029 climbed 145 basis points, or 1.45 percentage point, to 20.08 percent this month as the country nears its second restructuring in five years.