Honduras Discussing New Debt Issue

The Honduran government could be looking to raise another $1 billion on the international market in 2015.

Friday, June 13, 2014

Added to the $1 billion placed in the external market in 2013 there could be a further issue of the same amount, according to the Ministry of Finance, which is analyzing how they might be structure the placement and the financial costs to be assumed.

"As a starting point we're talking about $1 billion, but we are completing a study to tell us what the correct value is", he said.

José Luis Moncada, former president of the National Banking and Insurance Commission (CNBS) mentioned in an article on Laprensa.hn that "...The placement referring to sovereign bond is not urgent, but it is necessary. We need to remember that we ended the fourth quarter with a very high deficit because revenues streams of L14 billion ($ 672 million) were reported and expenditure of L18 billion ($ 865 million) ".... revenues improved but what was lacking was better expenditure management, which is a signal to the country's financial authorities to conduct a thorough analysis regarding this."

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