Bonds News

Suriname says creditors extend bond payment deadline to Thursday

PARAMARIBO, Nov 25 (Reuters) - Suriname has reached a last-minute agreement with creditors to extend the deadline for payments on two global bonds until Thursday, the country’s finance minister said on Wednesday.

The South American nation this month asked creditors to defer payments on bonds maturing in 2023 and 2026, which have a total outstanding principal of $675 million.

“It has been extended for one day, so until tomorrow,” said Finance Minister Armand Achaibersing, speaking on the sidelines of the country’s independence day celebration. “And I expect that to be OK.”

He declined to elaborate on talks with creditors.

Financial markets in the United States are closed on Thursday for the Thanksgiving holiday.

A committee of Suriname’s creditors, which includes Franklin Templeton, Eaton Vance Corp, GMO Research Inc and Greylock Capital, said this month it would be willing to discuss a payment deferral as long as Suriname allowed enough time to engage in talks.

Achaibersing said Suriname was in advanced talks with the International Monetary Fund, without providing details.

The IMF said last week Suriname had asked for “financial assistance” and that it was holding “constructive and close dialogue” with Suriname officials. (Reporting by Ank Kuipers, writing by Brian Ellsworth; Editing by Tom Brown)