Friday, February 15 2008

FINANCE MINISTER Karen Nunez-Tesheira yesterday said the sale of RBTT Financial Holdings to Royal Bank of Canada (RBC) could enhance this country’s attractiveness as an international financial centre (IFC) but the sale was not Government’s decision to make.

Speaking at the post-Cabinet news conference at Whitehall, Nunez-Tesheira said the RBTT-RBC deal was “a private sector initiative” and only RBTT shareholders could decide whether it proceeds or fails.

However from the perspective of the IFC and the country’s financial services sector, the Minister stated, “Once the shareholders agree to the sale and the conditions of the sale, clearly that is something that is positive for Trinidad and Tobago.” RBTT shareholders are to vote on the sale on March 20 but FITUN is lobbying them to oppose it.

Nunez-Tesheira also announced that Cabinet approved the laying of a bill in Parliament authorising the issue of a third category of government securities, namely treasury bonds, which will be used specifically for liquidity management in order to curb inflation. While there is a legal provision for a maximum of $2 billion in bonds to be issued, Nunez-Tesheira said she could not say what the total quantum of this third category of government bonds would be as yet.