||Central Bank Of Barbados
Opening date for receipt of application: 9:00 a.m. Wednesday, September 28,
P R O S P E C T U S
Applications are invited for subscription to
BARBADOS GOVERNMENT – 7¼% DEBENTURES 2029
ISSUE OF $100,000,000
ISSUE DATE: OCTOBER 1, 2016
Forming part of a loan of $6,500,000,000 issued under the Local Loans Act,
1988 – 1 and Local Loans (Amendment) Act, 2012.
Interest will be payable on March 31 and September 30 of each year.
PRICE OF ISSUE – AT PAR
The Loan is being raised to assist with the financing of the Development Plan.
Debentures under this issue will be in denominations of one thousand
dollars or a multiple thereof and will before being issued, be recorded in the
Register of Securities at the CENTRAL BANK OF BARBADOS. Each Debenture
and the right to receive principal and interest represented thereby will be
transferable. Debentures are eligible securities for trading on the Barbados
Stock Exchange Inc.
The interest due to Pensioners 60 years and over residing in Barbados will
not be subject to withholding tax. Non-resident holders seeking Tax exemption
must satisfy the Barbados Revenue Authority of their status before exemption is
granted. However, for all other persons resident in the Island, the interest from
the Debentures will not be aggregated with other income, but will be taxed
separately at a rate not exceeding 12½%.
This loan is secured on the Consolidated Fund and assets of the
Government of Barbados. A sinking fund will be established by half-yearly
appropriations out of the Consolidated Fund with accumulations of interest to
enable the Debentures to be redeemed when they fall due.
The Debentures will be repayable at par on September 30, 2029.
The Public Debt of Barbados at February 29, 2016 was approximately $12,331.81 million of which Treasury Bills outstanding stood at $2,884.42 million.
Persons with a refund of pension contributions who have exercised their option to purchase this government security should apply directly to the Central Bank of Barbados.
Applications in the prescribed form must be addressed to the Director, Banking Currency & Investments Department, Central Bank of Barbados, Tom Adams Financial Centre, P.O. Box 1016, Spry Street, Bridgetown. Payments may be made on or after allotment and interest will accrue from the day of payment of such amounts, effective October 1, 2016.
The transfer register is closed during the month in which interest is paid on this security. Consequently, NO payments shall be received for securities during the month in which interest is paid for the said securities. For payments under BDS$100,000.00, crossed cheques can be made payable to the Central Bank of Barbados and may be drawn on any commercial bank operating in Barbados. However, all payments for securities of nominal value BDS$100,000.00 and over must be settled through the Real Time Gross Settlement (R.T.G.S) payment system. To effect the payment, the applicant should request any commercial bank operating in Barbados to make the transfer on his/her behalf to the Accountant General’s account at the Central Bank of Barbados.
Prospectuses and application forms may be obtained from the Central Bank of Barbados, the Barbados Revenue Authority, and the commercial banks; and at the Central Bank of Barbados’ website: www.centralbank.org.bb.
This prospectus is issued by the Central Bank of Barbados on behalf of the Government of Barbados.
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