BELIZE CITY Nov 20 Belize's government is
continuing talks with bondholders to restructure a $550 million
superbond as a reprieve granted by the creditors will soon
expire, the Central American country's central bank said on
In late September, Belize won a 60-day reprieve from
bondholders after paying half of an overdue interest payment,
delaying any potential legal action under the specter of a
full-blown default. The reprieve will expire Dec. 1, a source
close to the negotiations said.
"Discussions between the government and its bondholders are
ongoing," the central bank said in a statement. "In fact, talks
between the government and bondholders have intensified."
"We do not expect the expiry of the 60 days voluntary
standstill offered by the (creditor) committee to have an effect
on the substance or timing of ongoing discussions with
bondholders," it added.
The central bank said it did not expect a partial guarantee
or credit enhancement from the Inter-American Development Bank.
A source close to the negotiations confirmed talks were
The Belize government has laid out three proposals for
rescheduling its bond payments, shocking analysts with its
suggestion that they take a haircut of up to 45 percent on their