The Northern Fishermen's Co-operative - it may be the biggest and oldest co-up in Belize - but this week, it's teetering on the brink of collapse.
As we have reported, the co-op is in big trouble with the Belize Bank for a non performing loan.
The Holy Redeemer Credit Union wants to buy over that loan to bail them out - but the Central Bank has opposed that idea.
So, the co-op remains on the brink. Will government intercede to save them? Here's what the PM said today:
John Briceno, Prime Minister
"It is indeed historic when you think about the development of this country about fisheries, who always think about the northern fisherman and cooperative. And as a government, we have the irresponsibility to be able to see how we can help them to keep the cooperative movement alive.What we have done is the central bank has expressed serious concerns as to the viability of that cooperative and its cash flow and I want to publicly thank the HRCU who have said that we are prepared to work with them because we believe that by reducing the interest rate lengthening the terms and making it longer terms we believe that it can succeeded. So we had a meeting with them. I think it was last week Monday with the credit unions with the corporative the head of the cooperative department central bank Belize bank all of us around the table, and we are working on a plan and some of the plans have to do With the head of the registrar will also now sit on the board to ensure that they do not take certain decisions that can affect them such as lending to members because the members out vote them, and I mean the membership, not the board. And so they felt that they are under the gun to be able to have to approve this, while we are going to step into ensure that it does not happen that we restructure the management of the cooperative and do everything possible to keep that cooperative alive."
Jules Vasquez
"So will the central Bank of Belize allow HRCU to take over that quite impaired debt?"
John Briceno, Prime Minister
"Well, it will allow depending on what are going to be the terms we've already spoken to the Belize Bank, the Belize Bank will also have to be able to we are asking them to write off their interest and penalties so that we can save the institution. so I think that the central bank will give an agreement provided that these things are met and so once that is met, we will be able to do that."
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