Half of the recent US$500million bond which was raised on the international market will be used to refinance an existing bond which matures this month. This is according to Finance Minister, Colm Imbert.

Responding to a question posed by Opposition Senator Wade Mark during Wednesday’s sitting of the Senate, Minister Imbert said the bond was issued under the previous administration.

“The issue date was under the UNC in July of 2000, where the UNC government borrowed USD$250 million,” he said. 

“That bond was attracting interest or required interest at a rate of 9.75 per cent. The Ministry of Finance will be able to refinance that facility at a rate of 4.5 per cent resulting in an annual cost saving to Trinidad and Tobago of $89 million or, over the life of the refinancing, a cost-saving to the country of $890 million,” he said. 

Imbert said the other US$250million would be used to fulfill government’s budgetary allocations outlined in the mid-year budget review.