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There are growing fears that the government's plan to raise more than US$200 million on the international capital market is in jeopardy.
The money is needed to finance the 2008/2009 Budget.
With no end in sight to the global economic crisis, local financial observers say the Golding administration will definitely be hard-pressed to meet this target.
Lissant Mitchell, Senior Vice President at Scotia DBG says the United States financial meltdown poses more than one challenge.
He said the recent spate of buy-outs and mergers has reduced the list of US financial firms which normally helped Jamaica to raise low-cost funds overseas.
"Some of the big name firms who would have been on the shortlist that the government would have used or try and put deals together have all gone ... that would be a little concerning as to how the government is going to raise that US$200 million and if they raise that in the local market, what implications would you have for local interest rates," said Mr. Mitchell.
http://www.radiojamaica.com/content/view/11973/52/
The money is needed to finance the 2008/2009 Budget.
With no end in sight to the global economic crisis, local financial observers say the Golding administration will definitely be hard-pressed to meet this target.
Lissant Mitchell, Senior Vice President at Scotia DBG says the United States financial meltdown poses more than one challenge.
He said the recent spate of buy-outs and mergers has reduced the list of US financial firms which normally helped Jamaica to raise low-cost funds overseas.
"Some of the big name firms who would have been on the shortlist that the government would have used or try and put deals together have all gone ... that would be a little concerning as to how the government is going to raise that US$200 million and if they raise that in the local market, what implications would you have for local interest rates," said Mr. Mitchell.
http://www.radiojamaica.com/content/view/11973/52/
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