Junior Minister of Finance Explains G.O.B./S.S.B. Partnership

On Friday, the United Democratic Party demonstrated at the foot of the Assembly Building while a sitting of the House of Representatives took place inside.  The protest was the result of several concerns, including the proposed use of Social Security funds to invest in the construction of a public administration campus next door to the Eleanor Hall Building.  According to Minister of State Christopher Coye, the public/private partnership between the Government of Belize and the Social Security Board is a sound investment, notwithstanding the concerns being raised by the opposition.

Christopher Coye

Christopher Coye, Minister of State, Finance

“You do realize that the government is a shareholder, so part of the forty-two percent of that, of all the profits will come back right to the government.  So if you have a five and a half percent interest rate, but you’re making ten percent on the equity, then obviously the cost of that comes down.  So, that’s a good investment for government without even putting cash into it.  So we’re solving several objectives at the same time.  We’re improving the provision of government services, modernizing the government services, physically, not just about digitization, physically coming in, you have better services.  You can see what the facilities here look like and the intention is that it is somewhat mirrored, customized for the judicial complex, yes, but on the other building it would be similar to this.  I think the public deserves a better service from the government.  That’s one.  Second, look at the financial sector.  The financial sector, what’s the cost of borrowing from the financial sector.  For the public at large, you’re looking at eight, ten plus percent borrowing costs.”