ISSUE OF $100,000,000 BARBADOS GOVERNMENT 6½% TREASURY NOTE 2016

ISSUE OF $100,000,000 BARBADOS GOVERNMENT 6½% TREASURY NOTE 2016

Applications are invited for subscription to this Treasury Note opening on Monday, June 02, 2008.  The Treasury Notes will be issued at par with a fixed interest rate of 6½% payable on March 31 and September 30 of each year.  The interest due to Pensioners 60 year and over residing in Barbados will not be subject to withholding tax.

Non-residents seeking tax exemption must satisfy the Commissioner of Inland Revenue of their status before exemption is granted.  However, for all persons resident in the island, the interest from these Treasury Notes will be taxed separately from other income at a rate not exceeding 12½%.  These Treasury Notes will be repayable at par on September 30, 2016.

The issue will remain opened until the Central Bank advises that it has been fully subscribed.

Prospectuses may be obtained from the Central Bank of Barbados, the Accountant General’s office or any commercial bank.  Application forms should be addressed to the Director, Banking, Currency & Investments Department, Central Bank of Barbados, Tom Adams Financial Centre, P.O. Box 1016, Bridgetown.

May 27, 2008