Mayor Wagner Updates on Municipal Bond

Belize City Mayor Bernard Wagner is preparing to launch a bond and prospectus. The City Council’s plan is to increase revenue by selling bonds. Wagner says that the limit of subscribers to the bond has been reached and the more than six point five million dollars bond is expected to be successful. According to Wagner, the final draft is being prepared and will utilize the secondary market. As for investors, Mayor Wagner says that they have agreed to the risk. 

Bernard Wagner

Bernard Wagner, Belize City Mayor

“That is at the point of the completion of the prospectus. All the other necessary documentation, all clearances have been met. The bill has been passed. The final draft is being prepared. When that is completed they will send it to myself. The city administrator and our team will go through it and ensure that all necessary disclosures are there and after that we go to print. We do a press conference and we launch the bond.   We have exceeded our initial what we wanted. We had said that we wanted six million. We have succeeded that to date, oversubscribed.  The conditions of the streets that you find right now is a result of that bond that was floated. No thought was put in to that bond. You could have used the secondary market which this bond is now doing. You know what bondholders did with that first bond, they took no risk and they received eight percent interest. This bond that we are floating, the bondholders have to take risk. If you are receiving better interest on your investment then you have to take risk. We are saying we pay you your annual interest every quarterly, semi-annually and annually, how you want it, and it spins over. So we will never have to pay the principal.”