Sayed-Khaiyum to table two motions in Parliament today for increased Government guarantees for Fiji Airways and Fiji Development Bank

Minister for Economy, Aiyaz Sayed-Khaiyum will table two motions in Parliament today for increased Government guarantees for Fiji Airways and Fiji Development Bank after the election of the country’s new President.

According to the Parliamentary Order Paper, Sayed-Khaiyum will move that Parliament approve the increased Government guarantee to Fiji Airways borrowings by increasing the existing local approved guarantee from FJ$191.1 million to FJ$241.1 million and the offshore borrowings from US$117.1 million to US$142.1 million with the total guarantee ceiling increasing from FJ$455 million to FJ$561.4 million valid until the guaranteed facilities are discharged or fully settled; and that Fiji Airways be exempted from paying a guarantee fee.

The second motion that Sayed-Khaiyum will move is for Parliament to approve the increased Government guarantee from $170 million to $250 million for the 12 month period from 1st March 2021 to 28th February 2022 for the Fiji Development Bank borrowings through the issuance of short and long-term bonds, promissory notes, term deposits, other short term borrowings and any Reserve Bank of Fiji financing facility; and that a guarantee fee of 0.075 percent be applied on the cumulative utilised guarantee credit.

Debate on the two motions will take place in Parliament today