Suriname will have to close a deal with creditors this week after missing a US $ 25 million interest payment on its bonds. The Treasury Department is negotiating an agreement to delay payments and prevent disorderly default, with a deal expected this week, people said, who wished to remain anonymous because the case is private, Bloomberg news agency reported .
Suriname skipped the 30-day grace period on its 2026 banknotes, which were originally due on Oct. 26, the people said.
The Surinamese Creditor Committee, which represents some of the holders of Suriname’s 2023 and 2026 bonds, said in a statement on Monday that it will support the government’s proposal. Group members include Franklin Templeton Investment Management Limited, Eaton Vance Management, GMO LLC and Greylock Capital Management.
Suriname’s revised offer, which expires Friday, includes a provision to waive current standard events for the 2026 notes. It would also give the government several months of breathing room for payments for the securities due in 2023.