SVG

NIS bought EC$5 million in gov’t bonds – PM

KINGSTOWN, St. Vincent – The state-owned National Insurance Services bought EC$5 million of the EC$40 million in government bonds auctioned last month while the Trinidadian firm contracted to help with the sale retained half of the instruments.

The private sector bought the remainder and, “That’s all you need to know,” Prime Minister Dr. Ralph Gonsalves said at a press briefing on Tuesday in response to Opposition Leader Arnhim Eustace’s questions about who bought the bonds.

The bond were floated on the regional securities market on April 27 and Eustace said the small oversubscription of EC$285,000 suggested a lack of investor confidence in the country’s financial situation.

But Gonsalves said that the instruments sold out within 90 minutes. “This reflects confidence in the management. Because people are not going to take their money and buy bonds if they know you are shaky.

“I am not saying we are out of the woods,” he, however, stated during the press briefing in which he announced that the economy grew 0.41 per cent in 2011, after three years of decline.

“Why you want to sell more than you have?” Gonsalves said in response to Eustace’s comments about the small oversubscription.

Eustace, a former prime minister and minister of finance, had noted that this country’s previous bond issues were oversubscribed by as much as EC$10 million.

Gonsalves said his government engaged Trinidad’s First Citizen’s financial services to prepare the relevant documents, advertising, and contact entities and individuals who would be interested in purchasing the bonds.

“They decided that it’s a good investment. So, apart from working with us, … they agreed that they will take EC$20 million of the bonds for themselves and to on-sell to their clients,” he said.

He said the firm bought the bonds “as an early mark of confidence,” adding, “That’s the market speaking.”

“Now, let’s face it: if [someone] goes and makes an investment and buys bonds, you want your name to be in the newspaper…? Is it not your business?” he said in response to Eustace.

Gonsalves said the government would know who bought the bonds because it has to pay them interest.

He said that while he is answerable to Parliament and the people about state entities that buy bonds, he “can’t go about and talk other people’s business”.

He defended as “sensible” the NIS’ purchase of the bonds, saying that the company’s policy is to try for an average of 6.5 per cent interest on its investment.

“[This] means that you have to take some risks in the current climate. But, if you are buying bonds from the government, which has never defaulted, and you are getting 7.5 [per cent], you are ahead of the game,” he said.

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Discussion

12 thoughts on “NIS bought EC$5 million in gov’t bonds – PM

  1. I TOLD YOU SO, the NIS bought a portion of the bond to keep up the appearance that we are oversubscribed. We were not oversubscribed, we were initially undersubscribed.

    The NIS buying SVG Bonds is not a good investment, the country is bankrupt and a bad investment target.

    SMOKE AND MIRRORS

    ” ITS NOT YOUR BUSINESS” what a disgraceful statement from Donkey Dung Gonsalves, the opposition is part of parliament.

    GONSALVES, your out of order and need to stop this plantation owner attitude, you are a public servant, and a pretty crap one at that.

    You are a confirmed liar, we cant trust you because you are a liar. Remember you told us “show me a liar and I will show you a thief”.

    You also sign things fully well knowing them to be unconstitutional and unenforcable, therefore a written lie or instrument of deception.

    Posted by Peter | May 16, 2012, 08:11
  2. They also invested in Clico 🙂

    Posted by Joe | May 16, 2012, 15:59
  3. this is hilarious,you mean there’s not new money,the ulp is like a dog that eats it’s own vomit then howls about how delicious vomit is,oversubscribed?as if NIS had a choice l.o.l

    Posted by Jahu | May 16, 2012, 16:16
  4. What a load ah Sh*t! NIS gwine just like NCB! It won’t surprise me if Ralph call on the NIS to repay itself. Wha Glen use to say … GUNZIENOMICS? AH! HA!HA!HA! AHA! HA!HA!HA

    Posted by AHA | May 16, 2012, 17:27
  5. These Backward moves by the N.I.S is S.I.N poor people pension getting wasted

    Posted by Jahu | May 17, 2012, 00:41
  6. The people placed at the NIS by the ULP are colluding with the government in the bond matters. Heads must roll at some point, especially once the government fails to pay back the NIS by default.

    This is a wicked evil Marxist government, led by a little fat Marxist, Donkey Gonsalves.

    Come on people, are you all really that stupid?

    Posted by Peter | May 18, 2012, 19:09
  7. I HAVE TOLD YOU IN THE PAST THAT THE NIS ARE BUYING THE BILLS AND BONDS, ITS A WAY THAT GONSALVES CAN GET MONEY FOR THE AIRPORT WITHOUT IT SHOWING THAT THE NIS ARE BEING MILKED FOR INVESTMENT IN THE AIRPORT.

    PERHAPS INVESTMENT IS THE WRONG WORD.

    Posted by Peter | May 20, 2012, 08:08
  8. HOW QUIET MOTOR MOUTH VINCYPOWA IS AND ALSO HIS APPRENTICE COTTAGER JASON IS ON THIS SUBJECT. DONKEY GONSALVES HAS ADMITTED THE NIS BUY THE BONDS, SHOOTING YOU BOTH IN THE COTTAGING TACKLE.

    Posted by Peter | May 27, 2012, 07:48
  9. THE QUESTION WE NEED NDP TO ASK IN PARLIAMENT, HOW MANY BONDS AND TO WHAT VALUE HAS THE NIS BOUGHT SVG BONDS AND TREASURY BILLS IN THE PAST TO PRESENT DATE?

    WE NEED TO KNOW HOW DEEP THE DECEPTION GOES.

    REMEMBER THAT IF SVG IS GOING TO DEFAULT, THEY WILL DEFAULT WITH THE NIS FIRST, LESS REGIONAL FALLOUT, AND THE CARIBBEAN MONEY MARKET AND VINCENTIAN PEOPLE WILL BE UNAWARE.

    [SORRY I MEANT WHEN, NOT IF]

    COMING OUT OF THAT, HAS SVG EVER FAILED TO REPAY THE NIS ON TIME OR AT ALL, IN THE PAST OR NOW THE PRESENT?

    HOW MUCH DOES THE GOVERNMENT OWE THE NIS FOR BOND AND BILL REPAYMENT, ALSO IN LOANS FOR PROJECTS INCLUDING THE AIRPORT?

    PEOPLE AT HOME AND IN THE DIASPORA, WE MUST MAKE OURSELVES AWARE OF THE EVIL THAT THIS MARXIST REGIME EMITS.

    REMEMBER THE GOVERNMENT RAMMED BANK SHARES INTO THE NIS, TO MAKE IT APPEAR THAT THE SHARE SALE WAS FULLY TAKEN UP. IF THE NIS DIDN’T TAKE THE SHARES GOVERNMENT WOULD OF HAD EGG ON THEIR FACE.
    REMEMBER THE BANK EMPLOYEES REJECTED THE SHARES, THEY DIDN”T WANT THEM.

    HOW FAR WILL ALL THIS DECEPTION GO, TO WHAT LENGTHS WILL THE DECIEPT REACH?

    NDP ASK QUESTIONS NOWwwwwwwwwwwwwwwwwwww

    The National Insurance Services is a statutory corporation established by Act No. 33 of 1986 and its functions are executed in accordance with a number of legislations. The institution falls under the portfolio of the Minister of Finance Dr. Ralph E. Gonsalves and is governed by a nine-member board of Directors.

    “The NIS pledge to be honest, confidential and thrifty and to safeguard by high ethical standards the Social Security trust fund.” WE NEED TO QUESTION THIS STATEMENT.

    NIS STATEMENT ON THEIR WEB SITE [no mention of putting money into the airport or buying SVG government Bonds or Bills]
    The NIS is fulfilling its mandate by contributing to the development of St. Vincent and the Grenadines through its social outreach programmes:

    Significant contributions were made in the field of education through the funding of the National Student Loan Programme.

    NIS makes home ownership a reality by contributing to the NCB 100% Mortgage Finance Program for Public Servants.

    NIS aids in the reduction of unemployment, and the growth and development of the micro enterprise sector in St. Vincent and the Grenadines by providing funds for the NCB Micro Enterprise loan Programme.
    EC$6 million was advanced to the National Fishing Fleet Expansion Program. This provides loans to fishers, fish handlers and vendors, and other self-employed stakeholders in the fishing industry.

    Significant contributions were made in the field of Health. One such contribution was the donation of the Ultrasound and C.T. Scan machines for the Kingstown Hospital.

    In an effort to improve the conditions and services towards the elderly population of St. Vincent and the Grenadines, the NIS in partnership with the Government has constructed two activity centers for senior citizens. One Centre is located at Cane Grove on the Leeward side of the Country. The other is located at Black Point on the Windward side.

    The Non-Contributory Assistance Age Pension (NAAP) was instituted in 1997 for persons who could not have contributed to the NIS because of their age, but were members of the National Provident Fund. It is also paid to some indigent persons who were identified following a means test exercise, and those farmers who were displaced from the banana industry.

    The NIS introduced the Elderly Assistance Benefit (EAB) in 2009 to help cushion persons who were affected as a result of the global financial crisis.

    CITIZENS HAVE A LOOK AT THEIR WEB SITE http://www.nissvg.org/

    SEND THEM AN EMAIL nis@nissvg.org ASK THEM THE QUESTION, AFTER ALL ITS YOUR MONEY.

    EVERYONE EMAIL THE NIS

    Posted by Peter | May 27, 2012, 08:40
  10. PETER, what DECEPTION is this…the one that you have CREATED in your MIND?

    Posted by VINCYPOWA | May 27, 2012, 14:25
  11. VINCYPOWA, I will be able to say, told you so. I am always right and your always wrong, but you always claim your right.

    I hear from a friend of Jason, that you have taken up snurging? Add that to your cottaging WOW, you must be busy, how do you find time for writing all your crap.

    By the way, have you heard from Homeland Security yet?

    Posted by Peter | June 1, 2012, 18:15
  12. PETER, again, what DECEPTION is this? Please ENLIGHTEN US.

    Of course, you CANNOT ANSWER the QUESTION ,because, as always, U R TALKING out of …

    SEE you AROUND BUB.

    Posted by VINCYPOWA | June 2, 2012, 09:58

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