Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698841264539.pdf (Saint Vincent and the Grenadines)
Government of St. Vincent and the Grenadines [Email address] 3rd Quarter Debt Bulletin September 30, 2022 0 Produced by the Debt Management Unit, Ministry of Finance, Economic Planning and Information Technology 0 1.0 Total Public Debt Total public debt as at September 30, 2022 stood at $2.2 billion or 82.9 percent of GDP1.

This represented a decrease of 1.7 percent over Qtr 22 2022 and a 3.1 percent increase over September percent.
As a result of the increase in Euro currency debt, the exchange rate risk of the portfolio has increased.

As such, 14.3 percent of the portfolio is now susceptible to changes in exchange rates (representing a 2.7 percentage 2021.

Chart 1: Total Debt to GDP 2500 2000 M $ 1500 D C X 1000 500 0 point increase).
Chart 2: Loan Currency Composition TT 0.1% Kuwait Dinars 0.87% SDR 10.1% Euro 3.3% XCD 35.0% USD 50.7% 100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% e g a t n e c r e P 30.0% 20.0% 10.0% 0.0% QTR 3 2021 QTR 2 2021 QTR 1 2021 External Debt Debt to GDP QTR 4 2021 QTR 1 2022 QTR 3 2022 QTR 2 2022 Domestic Debt Debt to GDP Target Source: DMU, Ministry of Finance Source: DMU, Ministry of Finance 1.1 Currency Composition 1.2 Creditor Category The major currencies in the portfolio are the USD Concessional debt financing represents the (50.7 percent) and the XCD (35.0 percent).
majority of the portfolio with 51.0 percent of the During the Qtr, USD increased its share of the outstanding debt owed to multilateral creditors; portfolio by 1.1 percentage points while the an increase of 3.8 percentage points.

Other major XCD’s share decreased by 3.8 percentage points.

creditor categories are bilateral (12.0 percent) and Due to substantial disbursements related to the commercial banks (17.0 percent).
Port Modernization Project, caused the Euro denominated debt within the portfolio to increase from 0.2 percent to 3.3 percent.
SDR debt decreased by 0.5 percentage points to 10.1 1Revised 2022 Medium term Economic and Fiscal outlook GDP is $2589.8 million 2 Revised Total Public debt as at June 30, 2022 was $2,182.8 million 0 1 Chart 3: Total Debt by Creditor Category Chart 4: External debt by Creditor Category Public Corp 1% Private 4% Other 1% Monetary Authority 3% Insurance Fund 3% Financial Institutions 8% Multilateral 51% Commerical Bank 17% Bilateral 12% 1200 1000 800 600 400 200 0 Source: DMU, Ministry of Finance Source: DMU, Ministry of Finance Qtr 1 2022 Qtr 2 2022 Qtr 3 2022 2.0 External Debt 2.0.2 Currency Composition Total external debt stood at $1.6 billion (61.7 The United States dollar (USD) has further percent of GDP); a decrease of 2.7 percent when increased its share of the portfolio with 68.6 compared with Qtr 2 2022 and an increase of 2.6 percent of all external debt denominated in this percent when compared to same period last year3.
currency.

At the end of Qtr3, debt denominated 2.0.1 Creditor Category The category of multilateral creditor is still the largest within the external debt portfolio accounting for 68.7 percent.

Debt owed to bilateral creditors fell by 30.0 percent due to the official writing off of debt owed to Petro Caribe in the amount of $109.5 million.

in Kuwait Dinar, Euro and USD currency recorded increases in their stock positions.
Chart 5: External Debt by Currency USD 67.0% XDR 13.6% XCD 13.8% EURO 4.4% Other 1.2% KWD 1.2% TT 0.1% Source: DMU, Ministry of Finance 3 The Petro Caribe debt of $109.5 million was accounted for as debt relief in our debt stock as at 30/9/22.
1 2 3.0 Domestic Debt 3.0.2 Currency Composition Total domestic debt stood at $548.7 million (21.2 All domestic debt is denominated in Eastern percent of GDP), an increase of 1.4 percent over Caribbean dollars and contracted at fixed interest Qtr2 and an increase of 4.2 percent over same rates.

period 2021.
period 2021.

The most significant development in this portfolio includes this issuance of a $25.0m ECCB advance, the reduction in the IADC payables by $6.2 million4 by way of an amortized bond issuance for the amount.

Finally, a 13.2 percent reduction in statutory deposits as a refund of $2.8 million was issued to Lloyds Insurance as they have ceased operations.
4.0 Total Debt Service Preliminary Central Government debt service amounted to $51.1 million, which represented 30.7 percent of current revenue and 30.2 percent of current expenditure.

External and domestic debt service represented $26.3 million and $24.8 million of the total debt service respectively.

Total interest payments amounted to $11.0 3.0.1 Creditor Category million, amortization was $40.2 million.
Commercial banks comprised the largest creditor category (36.9 percent); followed by financial institutions (20.1 percent); NIS (14.4 percent), ECCB (9.7 percent); private individuals and businesses (7.0 percent); Life insurance companies (7.3 percent) and public corporations (4.6 percent).
Chart 6: Domestic Debt by Creditor 250 200 150 100 50 0 Qtr 3 2022 QTR 2 2022 Qtr 1 2022 Source: DMU, Ministry of Finance 4 This however did not reduce total debt as an amortized bond was issued in the amount of $6.2 million 2 Chart 7: Debt Service by Month, 2022 30 20 10 0 Dom Interest Dom Amortization Source: DMU, Ministry of Finance Ext Interest Ext Amortization 5.0 Treasury Bill Activity for the Quarter An amount of $84.0 million ($28m re-issuance monthly) was issued during the quarter.
The average discount (interest rate) achieved was 2.0 percent (versus the ceiling benchmark of 3.5 percent) with an average bid to cover ratio of 1 to 1.17.

Chart 8: Treasury bill performance by month percent due mainly to $109.5 million in debt 3 n o i l l i M 40 35 30 25 20 15 10 5 0 4 3.5 3 2.5 2 1.5 1 0.5 0 e g a t n e c r e P forgiveness received by Petro Caribe.
Indebtedness to the National Insurance Services by the Economically Disadvantaged Student Loan Company in the amount of $23.7 million now represents the majority of outstanding state owned company guaranteed debt (61.0 percent).

July Total Bids August September Accepted Bids Chart 9: Government Guarantee outstanding by SOE Source: DMU, Ministry of Finance.

BOSVG 36% 6.0 Loans and Securities Disbursement Activity A total of $87.1 million was disbursed in loans during the 3rd quarter.
HLDC 2% National Student Loan Co 62%  $25.0 million from ECCB;  $26.2 million from CDB;  $24.1 million from IDA;  $10.8 million from EXIM;  $0.135 million from Kuwait Fund for Arab Economic Development Source: DMU, Ministry of Finance 8.0 Cost and Risk Indicators 8.0.1 Refinancing Risk  $0.827 million from OPEC Fund for The overall ATM of the total portfolio remains International Development.
unchanged with a negligible deterioration on the 7.0 State-Owned Enterprises/Guaranteed Debt All Government state-owned enterprises debt is guaranteed.

The total amount of explicit contingent liability in the form of state-owned guaranteed debt at the end of the Qtr was $38.2 million.

This represented a decrease of 74.5 3 external component from 12.2 years to 12.1 years, while there was a slight improvement on the domestic component from 4.0 years to 4.3 years.
Debt maturing in one year however has increased on both debt profiles thereby increasing total debt maturing in one year from 16.7 percent to 17.2 percent.

Therefore, refinancing risk remains medium.

8.0.2 Interest Rate Risk 8.0.3 Foreign Currency Risk The ATR of the domestic portfolio remains Foreign currency risk is low as 85.7 percent of the considerably low at 1.9 years when compared to portfolio’s debt is denominated in local currency the external portfolio at 10.2 years.
The interest and United States dollars.

4 rate risk is therefore high on the domestic portfolio for instruments that would become due for re-fixing within one year, of which 52.1 percent of the domestic debt is due to be re-fixed vs. 36.4 percent of the total external debt.

The portfolio’s vulnerability to fluctuations in floating rates remains low as 79.6 percent of the portfolio is contracted at a fixed interest rate.
QTR 3 2022 Preliminary Total Debt Portfolio Risk Indicators Total debt in XCD ($M) Total debt in USD ($M) Nominal debt as % GDP Refinancing risk ATM (years) Debt maturing in 1yr (% of total) Debt maturing in 1yr (% of GDP) Interest rate risk FX risk ATR (years) Debt refixing in 1yr (% of total) Fixed rate debt (% of total) Non XCD or USD debt (% of total debt) Ext debt Dom debt 1,597.6 548.7 Total debt 2,146.
3 591.7 203.2 794.9 61.7% 21.2 % 82.9% 12.1 4.3 10.4 11.4 46.9 17.2 7.0 9.9 14.2 10.2 1.9 8.4 36.4 52.1 36.4 72.6 100.0 79.6 14.3 4