The National Insurance Services has provided the government a loan of EC$15 million to help fund the hotel being built at Diamond.
Minister of Finance, Camillo Gonsalves told Parliament that the NIS will also provide EC$3.5 million in non-cash equity to the hotel project, which is the value of the land upon which the hotel is being constructed.
He was responding to a question from Opposition Leader, Godwin Friday, who asked the finance minister to say if the NIS is investing money in the hotel project and, if so, how much and on what terms.
Gonsalves said the NIS will transfer the land as equity to a company to be jointly owned by the government and the NIS.
“Additionally, the NIS will extend a long-term loan to the government as part of the financing mix of the hotel to complement the loan and grant from the CARICOM Development Fund and other local loans raised by the government,” Gonsalves said.
He said the EC$15 million loan from the NIS is for 10 years at 6.5% interest with a 12-month grace period.