Jamaica Extends JDX Settlement Date

Jamaica has extended the settlement date for its JAD700bn ($7.86bn) Jamaica Debt Exchange (JDX) to February 24 from February15, it says, in order to complete processing of the old notes, and begin issuing new notes. The participation rate is over 97%, “including substantially full participation from institutional investors and a strong response among retail investors,” it says. In the tender closed February 3, the government offered holders of more than 350 government securities a par exchange for bonds with lower interest rates and longer maturities. The maturity extension should be an average 2.5 years, with interest rates lowered from an average of 18%-19% to 12%, according to ratings agency and sell-side analysis. Citi is managed the process, which coincides with a 27-month $1.27bn IMF stand-by agreement.