Barrow Says Belize’s Acquisition of Scotia Bank ‘Consequential’

Prime Minister Dean Barrow says that Belize Bank’s acquisition of Scotia Bank is consequential. Caribbean Investment Holdings, the parent company for the Belize Bank is buying out Scotia Bank at a cost of more than thirty million dollars. The transaction announced this Monday is before the Central Bank of Belize and that process can take up to four months. PM Barrow says that Scotia Bank out of the picture, Belize has one bank less.

Prime Minister Dean Barrow

“Consequential. I am sorry to see Scotia go. I think their exit deprives us of an institution that was particularly stable and that had global reach. We’ve had our difficulties with correspondent banking. At no time could that sort of potential calamity have overtaken Scotia because of their global brand. So we lose that. The acquisition by Belize Bank will mean that that particular shield has now been lost to us. Just a fact that there are less, there is now one less institution in the commercial banking space is also a matter for some regret. But that apart, I don’t see that government can do other than to be satisfied that before the sale and acquisition is completed, the Central Bank, as regulator, will do all the due diligence that government, that citizens, that the financial institution sector all have a right to expect. The fact that the acquiring bank will now be, far in the way, the dominant player in that space; that is no doubt an elephant in the room. But I am saying I don’t want to go beyond that. I am not going to personalize this.”

Dean Barrow

Reporter

“…the country would.”

Prime Minister Dean Barrow

“I’m sorry?”

Reporter

“…or maybe I shouldn’t say the country, but a lot of people would.”

Prime Minister Dean Barrow

“Oh well I don’t think that that’s what I should do at this juncture, especially because remember this cannot be consummated until the Central Bank has finished its regulatory work and my understanding is that’s a four-month period.”