Yesterday we told you about the cabinet battle over who will restructure Belize's debt. But that internal fight matters very little to international rating agencies who continue to see Belize's financial position as dismal. Both Moody's Investor Service and Standard and Poor's Rating Agency have issued grim reviews for Belize in the past week.
Standard and Poor's yesterday confirmed Belize CCC- rating which is the lowest among sovereign nations and concluded that while the Venezuela money will enable Belize to meet its debt payments for this year, it's just buying time, and next year does not look good. In fact it is called "especially difficult". It warns, "the servicing profile is more demanding in 2007, with public sector debt due for repayment standing at US$137 million, twice the 2006 amount."
The report goes on to say that, "the government's already weak decision making track record has been recently severely impaired by March 2006 municipal elections." You can read the full report here
