IMF BOARD TO MEET FEB 3, DEBT EXCHANGE DEADLINE EXTENDED

IMF BOARD TO MEET FEB 3, DEBT EXCHANGE DEADLINE EXTENDED

KINGSTON, Jan. 26 (JIS):

Jamaica's request for a 27-month Standby Arrangement with the International Monetary Fund (IMF) will go to the Executive Board of the Fund next week Wednesday, February 3.

This was disclosed by Minister of Finance and the Public Service, Hon. Audley Shaw, as he closed the debate on the Government's economic programme, which will be supported by the US$1.25 billion loan, and will also catalyse another US$1.1 billion from other international financial institutions.

Mr. Shaw also announced that the deadline for completion of the Jamaica Debt Exchange initiative, which came into effect last week Monday and should have closed Tuesday (January 26), has been extended.

            He noted that there was no negative development, over the last week, leading to the extension of the deadline for the debt exchange initiative.

"The Government has received an overwhelmingly positive response to the offer, with substantially all institutional investors supporting the transaction," he told the House of Representatives Tuesday night.

However, he said that the Ministry has received several requests from retail brokers, which make up a large percentage of the total brokerage, to extend the submission deadline to allow them additional time to work with their retail clients.

He said that the success, so far, of the initiative has exposed the nation's ability to come together as a community at "this game changing moment in Jamaica's history."

The Ministry is in the process of aggregating the response and expects to release a preliminary report today (Wednesday). The new date should be announced Wednesday, following the preliminary assessment of the response. The Ministry of Finance will then submit the preliminary report to the IMF for circulation to the board, in advance of the board meeting now set for next Wednesday.