TCRLA_Public/170215.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     L A T I N   A M E R I C A

               Wednesday, February 15, 2017, Vol. 18, No. 033


                            Headlines



A R G E N T I N A

LA RIOJA: S&P Assigns 'B-' Issue Level Rating on $200MM Notes
MEINL BANK: Regulator Removes Directors Implicated in Scandal


B R A Z I L

BANCO DO NORDESTE: S&P Affirms 'BB/B' ICRs; Outlook Negative
HYPERMARCAS SA: Moody's Withdraws Ba2 Corporate Family Rating
QGOG CONSTELLATION: S&P Raises CCR to 'B+'; Outlook Negative


C A Y M A N  I S L A N D S

AES OCEAN: Commences Liquidation Proceedings
ALLSEASONSPTL GLOBAL: Commences Liquidation Proceedings
ALLSEASONSPTL GLOBAL MASTER: Commences Liquidation Proceedings
ALLSEASONSPTL LIMITED: Commences Liquidation Proceedings
AQR GLOBAL: Placed Under Voluntary Wind-Up

ASTWIRELESS CORPORATION: Placed Under Voluntary Wind-Up
BLUESHIFT ENERGY: Commences Liquidation Proceedings
CHEM CAPITAL: Commences Liquidation Proceedings
CHESAPEAKE PARTNERS: Commences Liquidation Proceedings
CONSECTOR PARTNERS: Commences Liquidation Proceedings

CORUM FUND: Commences Liquidation Proceedings
EXELION ESTATE: Commences Liquidation Proceedings
LIFE PREMIUM: Creditors Hold Meeting
OPRAH-IS FUND: Creditors' Proofs of Debt Due March 6
RAINBOW PROPERTIES: Commences Liquidation Proceedings

SILVERPATH INVESTMENTS: Placed Under Voluntary Wind-Up
SORIN ALPHA: Placed Under Voluntary Wind-Up
SORIN ALPHA MASTER: Placed Under Voluntary Wind-Up
TARAH HOLDINGS: Commences Liquidation Proceedings
YUAN ZHU: Commences Liquidation Proceedings


C O S T A   R I C A

BANCO NACIONAL: Moody's Lowers LT LC Deposit Ratings to Ba2


D O M I N I C A N   R E P U B L I C

CBI BANK: Accounts Under Scrutiny, Closed


M E X I C O

CREDIVALORES: S&P Assigns 'B' Rating on New $100MM Unsec. Notes
MEXICO: Presidential Hopeful Wins Support With Trump Stance


P A N A M A

MOSSACK AND FONSECA: Partners Arrested Amid Scandal


S T.  L U C I A

ST. LUCIA: IMF Says to Experience Positive Albeit Moderate Growth


                            - - - - -


=================
A R G E N T I N A
=================


LA RIOJA: S&P Assigns 'B-' Issue Level Rating on $200MM Notes
-------------------------------------------------------------
S&P Global Ratings assigned its 'B-' issue-level rating to the
province of La Rioja's (B-/Stable/--) notes for up to
$200 million.  The amortizing notes will be denominated in U.S.
dollars, and the province intends to use a majority of the
proceeds to finance the development of wind energy projects run by
its state-majority-owned corporation (SAPEM) Parque Arauco, and
the remainder to finance public-works projects.

S&P doesn't believe the new debt will hurt the province's
financial profile.  La Rioja's solid fiscal balances have
prevented the accumulation of significant debt levels in previous
years.  Only moderate financing needs, along with several years of
double-digit inflation, have reduced La Rioja's debt relative to
operating revenue to around 10% of expected 2016 operating
revenues as of Sept. 30, 2016.  S&P expects the new issuance,
which is the province's first international issuance, to
contribute to an increase of the debt -- still at low levels -- to
close to 35% of the province's operating revenue by the end of
2017.  At the same time, S&P believes that La Rioja's debt burden
is potentially volatile due to its exposure to market risk. As of
Sept. 30, 2016, approximately 31% of the province's debt was
denominated in U.S. dollars, and S&P expects this ratio to
increase to close to 70% after the notes' issuance.  While this
risk will be partially hedged by the expected income that the
province will receive form the electricity produced by the wind
farm, the size of the hedge will depend on national price dynamics
and is subject to the pace of facility's expansion and electricity
production.

The 'B-' ratings and 'b-' stand-alone credit profile (SACP) on the
province reflect its individual credit worthiness and the
institutional framework in which it operates.  (SACP is a means of
assessing the intrinsic creditworthiness of La Rioja under the
assumption that there's no rating cap.) La Rioja, like all local
and regional governments in Argentina, operates under a very
volatile and underfunded institutional framework.  At the same
time, La Rioja's very weak economy and budgetary flexibility, weak
financial management, and high contingent liabilities are rating
constraints.  On the other hand, the province's average budgetary
performance, adequate liquidity, and moderate debt burden support
its creditworthiness.

The stable outlook on La Rioja mirrors the one on the sovereign.
Given that S&P doesn't believe that the province could meet the
conditions to have a higher rating than the sovereign, S&P would
only consider raising its ratings on La Rioja in the next 12
months if S&P was to raise Argentina's foreign and local currency
ratings, along with the transfer and convertibility assessment
(T&C).  Such an upgrade would have to be accompanied by stronger
and more formalized financial planning -- with an adequately-
managed revenue and expenditure balance -- an enhanced local tax
base, less rigidity in the province's spending structure --
allowing for greater budgetary flexibility -- or a lower
contingent liability risk stemming from an improvement in the
outlook on SAPEMs.  At the same time, structural improvements in
the institutional framework in which the province operates could
help strengthen its creditworthiness.  On the other hand, S&P
could lower the ratings on La Rioja during the same period if
Argentina's T&C assessment weakens, if S&P was to lower the
sovereign local or foreign currency ratings, if S&P perceives that
the province's financial commitments are unsustainable, or that it
faces a near-term payment crisis.

RATINGS LIST

New Rating

La Rioja (Province of)
Senior Unsecured                       B-


MEINL BANK: Regulator Removes Directors Implicated in Scandal
-------------------------------------------------------------
Caribbean News Now reports that the Antigua and Barbuda Financial
Services Regulatory Commission, in exercise of its powers under
the law, has removed three of the directors from the board of
Meinl Bank (Antigua) Ltd and appointed Cleveland Seaforth,
managing partner, KPMG Eastern Caribbean, as the official
administrator of the bank.

In addition to assuming control of the bank, the official
administrator will investigate the operations of the bank and
submit a report to the Commission on the results of his
investigation, the report notes.  On completion of the
investigation, the Commission will review the report from the
official administrator and take the appropriate actions to protect
the interest of depositors and creditors, along with the integrity
of the international financial sector, the report relays.

The Commission assured the depositors and creditors of the bank
that the regulatory action being taken is intended to protect and
to safeguard their interest and the official administrator will
work along with the bank's stakeholders during the period of his
appointment, the report notes.

The Commission also reassured all stakeholders of its commitment
to ensuring the safety and soundness of all licensed financial
institutions under its regulatory and supervisory purview within
the jurisdiction of Antigua and Barbuda, the report discloses.

In the largest foreign bribery case in history, Brazilian
multinational, Odebrecht SA, along with a Brazilian petrochemical
company, Braskem SA, pleaded guilty last December and agreed to
pay a combined total penalty of at least $3.5 billion to resolve
charges with authorities in the United States, Brazil and
Switzerland arising out of their schemes to pay hundreds of
millions of dollars in bribes to government officials around the
world, the report says.

According to its admissions, Odebrecht engaged in a massive and
unparalleled bribery and bid-rigging scheme for more than a
decade, beginning as early as 2001, the report relays.  During
that time, Odebrecht paid approximately $788 million in bribes to
government officials, their representatives and political parties
in a number of countries in order to win business in those
countries, the report notes.

The criminal conduct was directed by the highest levels of the
company, with the bribes paid through a complex network of shell
companies, off-book transactions and offshore bank accounts, the
report notes.

Odebrecht SA purchased Meinl Bank (Antigua) Ltd in or about 2010
or 2011 and used the bank as part of Odebrecht's complicated
scheme to bribe government officials in various countries, the
report relays.

Last month, the ruling Antigua and Barbuda Labour Party (ABLP)
called on the leader of the parliamentary opposition, former prime
minister Baldwin Spencer, and the current political leader of the
opposition United Progressive Party (UPP), Harold Lovell, to
explain their role in the Meinl Bank purchase by Odebrecht that
occurred during their administration from 2004 to 2014, the report
notes.

The ABLP called for disclosure by Spencer and Lovell of any and
all links to the Odebrecht saga, including the purchase of Meinl
Bank in 2010, the report recalls.

Luiz Franca was one of three Brazilians who fronted the purchase
of Meinl Bank in 2010 and he continued as managing director during
his appointment by Spencer as honorary consul in Brazil, the
report notes.  He was also known to have a close relationship with
Lovell, having collaborated with him on several projects, the
report relays.  The ABLP said it believes that Spencer must have
had discussions with Franca prior to appointing him as honorary
consul to Brazil, the report notes.

According to a Brazilian newspaper account of a trial in Brazil,
Vinicius Borin, one of Franca's associates, said that Antigua
Overseas Bank was the first bank used by Franca to facilitate
bribes on behalf of Odebrecht, before he, Franca and Marco
Bilinski fronted the purchase of Meinl Bank, the report relays.

The ABLP noted that this purchase was known to Lovell as then
minister of finance.

"Spencer has a public duty to explain why he appointed Franca and
the relationship between him, Franca and Harold Lovell,
particularly as it been alleged that hundreds of billions of
dollars were laundered through Meinl Bank while Spencer was prime
minister and foreign minister, Lovell was finance minister and
Franca was, at one and the same time, their honorary consul to
Brazil and the managing director of Meinl Bank," the ABLP said,
the report adds.



===========
B R A Z I L
===========


BANCO DO NORDESTE: S&P Affirms 'BB/B' ICRs; Outlook Negative
------------------------------------------------------------
S&P Global Ratings affirmed its global scale 'BB/B' and its
national scale 'brAA-' issuer credit ratings on Banco Do Nordeste
(BNB).  The outlook remains negative.  The bank's stand-alone
credit profile (SACP) is 'bb'.

The ratings on BNB are based on its large market share in the
country's northeast region, S&P's forecasted risk-adjusted capital
(RAC) ratio of 7.5% for the next two years, and S&P's belief that
the bank will continue to be exposed to riskier segments than the
industry on average (such as loans to small- to mid-size
enterprises [SMEs] and microcredit).  S&P also incorporates the
bank's long-term and stable funding base and sound liquidity
metrics in S&P's analysis.  In addition, S&P believes BNB has a
very high likelihood of receiving extraordinary support from the
government of Brazil, if needed.

Under S&P's bank criteria, it uses its BICRA's economic risk and
industry risk scores to determine a bank's anchor, the starting
point in assigning an issuer credit rating.  S&P's anchor for a
commercial bank operating only in Brazil is 'bb+', based on the
country's economic risk score of '7' and an industry risk score of
'5'.


HYPERMARCAS SA: Moody's Withdraws Ba2 Corporate Family Rating
-------------------------------------------------------------
Moody's Investors Service has withdrawn Hypermarcas S.A.'s Ba2
Corporate Family Rating (CFR), which carried a negative outlook,
for its own business reasons. The company has no rated debt
outstanding.

RATINGS RATIONALE

Hypermarcas, founded in 2001 and headquartered in Sao Paulo,
Brazil, is one of the largest pharmaceutical companies in the
country, enjoying leading positions in the domestic OTC, generic,
branded generic, and branded prescription markets. In the last
twelve months ended September 2016, the company reported total
revenues of BRL 3.2 billion (approximately USD 888 million
considering the average exchange rate for the period) and adjusted
EBITDA margin of 44%, figures considering continued operations.


QGOG CONSTELLATION: S&P Raises CCR to 'B+'; Outlook Negative
------------------------------------------------------------
S&P Global Ratings raised its corporate credit and issue-level
ratings on QGOG Constellation S.A. to 'B+' from 'B-'.  The '3'
recovery rating on the issue-level rating is unchanged.  The
outlook is negative.

The upgrade reflects the revision of the SACP on Petrobras to
'bb-' from 'b-', as a material counterparty of its assets offtake
agreements, accounting for around 99% of the consolidated revenues
as of Sept. 30, 2016.  In S&P's view, QGOG continues to present
strong operational performance among the operators in the country.
However, QGOG's improvement in its credit quality due to a
stronger rated counterparty is partially offset by potential
constraints on the company's financial flexibility related to
contingent liabilities under the terms of its project financing
agreements.

Under the terms of its financing agreement, the parent guarantee
provided to the Alpha Star balloon payment becomes effective six
months prior to the final maturity date of the project financing,
unless the charter and services contract was duly renewed on terms
acceptable to the lenders.  Even though this additional liability
at the holding company level does not change its absolute leverage
ratios, it reduces its financial flexibility.  The group also has
similar contingent provisions covering project financing at
operating assets closed after the Alpha Star agreement from April
2011, totaling approximately $500 million.

Despite not being a rating limitation to QGOG anymore, S&P
continues to view the SACP on Petrobras as a cap, as the latter is
a material counterparty.  S&P could envision stress scenarios for
Petrobras under which the sovereign provides extraordinary support
to the company; however, S&P believes that this extraordinary
support won't necessarily occur on a timely basis to meet the
liabilities of drilling units suppliers.  Therefore, for S&P's
analysis, it takes into account the SACP but not the rating on
Petrobras.

S&P continues to assess QGOG's liquidity as adequate.  As of
Sept. 30, 2016, QGOG had approximately $471 million in cash and
cash equivalents, of which approximately $300 million was
unencumbered cash, already net of the dividend payment announced
in June 2016.

S&P views that the company has financial flexibility to absorb the
short-term maturities at the holding level of $75 million in 2017,
considering that it was able to extend the maturity of the
$225 million bank loan with Bradesco to August 2018.  Even
considering the potential execution of the parent guarantee
provided for the net balloon payment of Alpha Star, estimated at
$100 million in July 2017, sources of liquidity (including cash
and internally generated cash flow) exceed uses by at least 1.2x
over the next 12-18 months.

Principal liquidity sources:

   -- Unencumbered cash position of $300 million as of Sept. 2016;
      and
   -- Funds from operations (FFO) of about $100 million in the
      next 12 months, resulting from top-level distributions net
      of interest expenses.

Principal liquidity uses:

   -- $175 million holding debt maturities in the next 12 months.

In addition, there are no financial covenants that could cause an
event of default or acceleration of payment of the bonds.

The negative outlook incorporates the risk of additional
contingent liabilities in the next 12 months under the terms of
the project-level financings if the company fails to renew charter
and services contracts on acceptable terms to the lenders in a
timely manner, which could impair not only top level
distributions, but also its financial flexibility in case of
execution of these liabilities and guarantees.  In addition, it
reflects the risk of further deterioration of leverage, if the
group is not able to secure new contracts for its drilling units,
resulting in lower top level distributions in the next 12 months.
Additional enforced guarantees that economically link the parent
to the subsidiary holding companies could cause S&P to reassess
the separateness between the two, and could result in
consolidating subsidiaries to the parent.

S&P could stabilize or raise the ratings if the company is able to
secure contracts to the assets beyond the maturities of the
respective project finance credit agreements.



==========================
C A Y M A N  I S L A N D S
==========================


AES OCEAN: Commences Liquidation Proceedings
--------------------------------------------
The shareholders of AES Ocean Springs, Ltd. on Dec. 14, 2016,
resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Tina Wang
          c/o Maples and Calder
          Attorneys-at-law
          P.O. Box 309, Ugland House
          Grand Cayman KY1-1104
          Cayman Islands


ALLSEASONSPTL GLOBAL: Commences Liquidation Proceedings
-------------------------------------------------------
The sole shareholder of Allseasonsptl Global Diversified Trends
Ltd., on Dec. 19, 2016, resolved to voluntarily liquidate the
company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Walkers Liquidations Limited
          Cayman Corporate Centre
          27 Hospital Road George Town
          Grand Cayman KY1-9008
          Cayman Islands
          Telephone: +1 (345) 949 0100


ALLSEASONSPTL GLOBAL MASTER: Commences Liquidation Proceedings
--------------------------------------------------------------
The sole shareholder of Allseasonsptl Global Diversified Trends
Master Ltd, on Dec. 19, 2016, resolved to voluntarily liquidate
the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Walkers Liquidations Limited
          Cayman Corporate Centre
          27 Hospital Road George Town
          Grand Cayman KY1-9008
          Cayman Islands
          Telephone: +1 (345) 949 0100


ALLSEASONSPTL LIMITED: Commences Liquidation Proceedings
--------------------------------------------------------
The sole shareholder of Allseasonsptl Limited, on Dec. 19, 2016,
resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Walkers Liquidations Limited
          Cayman Corporate Centre
          27 Hospital Road George Town
          Grand Cayman KY1-9008
          Cayman Islands
          Telephone: +1 (345) 949 0100


AQR GLOBAL: Placed Under Voluntary Wind-Up
------------------------------------------
The sole shareholder of AQR Global Asset Allocation Offshore Fund
(USD) Ltd., on Dec. 21, 2016, resolved to voluntarily wind up the
company's operations.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          AQR Capital Management, LLC
          c/o Joanne Huckle
          Telephone: +1 (345) 949 9876
          Facsimile: +1 (345) 949-9877
          89 Nexus Way Camana Bay
          Grand Cayman KY1-9009
          Cayman Islands


ASTWIRELESS CORPORATION: Placed Under Voluntary Wind-Up
-------------------------------------------------------
The sole shareholder of Astwireless Corporation, on Dec. 20, 2016,
resolved to voluntarily wind up the company's operations.

Only creditors who were able to file their proofs of debt by
Jan. 25, 2017, will be included in the company's dividend
distribution.

The company's liquidator is:

          Chen, Heng-Chen
          No. 1, Dusing 1st Rd.
          Hsinchu Science Park
          Hsinchu City
          Taiwan 30078
          Telephone: +886 3 567 0766
          Facsimile: +886 3 579 0942


BLUESHIFT ENERGY: Commences Liquidation Proceedings
---------------------------------------------------
The sole shareholder of Blueshift Energy Offshore Fund, Ltd., on
Dec. 19, 2016, resolved to voluntarily liquidate the company's
business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Blueshift Capital Group, LP
          416 W 13th Street Suite 205
          New York
          New York 10014
          United States of America
          Telephone: +1 (212) 524 9692


CHEM CAPITAL: Commences Liquidation Proceedings
-----------------------------------------------
The sole shareholder of Chem Capital, on Dec. 19, 2016, resolved
to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Sean Tierney
          Lowtax Limited Accountant & Tax Advisers
          Telephone: 01268 669100
          Weir Cottage
          2 Laindon Road Billericay
          Essex, CM12 9LD
          Cayman Islands


CHESAPEAKE PARTNERS: Commences Liquidation Proceedings
------------------------------------------------------
The sole shareholder of Chesapeake Partners International Ltd., on
Dec. 20, 2016, resolved to voluntarily liquidate the company's
business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Chesapeake Partners Management Co., Inc
          Mark Lerner, Vice President
          2800 Quarry Lake Drive Suite 300
          Baltimore MD 21209
          United States
          Telephone: 410-602-0195


CONSECTOR PARTNERS: Commences Liquidation Proceedings
-----------------------------------------------------
The sole shareholder of Consector Partners Offshore, Ltd., on Dec.
20, 2016, resolved to voluntarily liquidate the company's
business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Consector Capital, LP
          c/o Timothy J. Stewart
          712 5th Avenue, 17th Floor
          New York
          New York 10019
          United States of America
          Telephone: +1 (212) 235 0347


CORUM FUND: Commences Liquidation Proceedings
---------------------------------------------
The sole shareholder of The Corum Fund Inc., on Dec. 20, 2016,
resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Taco Van Der Mast
          c/o Cate Barbour
          Walkers (Europe)
          6 Gracechurch Street
          London EC3V 0AT
          Telephone: +44 (0)20 7220 4970


EXELION ESTATE: Commences Liquidation Proceedings
-------------------------------------------------
The sole shareholder of Exelion Estate Fund resolved, on Dec. 20,
2016, to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Taco Van Der Mast
          c/o Cate Barbour
          Walkers (Europe)
          6 Gracechurch Street
          London EC3V 0AT
          Telephone: +44 (0)20 7220 4970


LIFE PREMIUM: Creditors Hold Meeting
------------------------------------
The creditors of Life Premium Fund SPC met on Jan. 26, 2017, and
elected members to establish a liquidation committee.

The company's liquidator is:

          Andrew Morrison
          Sandipan Bhowmik
          FTI Consulting (Cayman) Limited
          Suite 3212, 53 Market Street
          Camana Bay
          P.O. Box 30613 Grand Cayman KY1-1203
          Cayman Islands


OPRAH-IS FUND: Creditors' Proofs of Debt Due March 6
----------------------------------------------------
The creditors of Oprah-Is Fund, SPC are required to file their
proofs of debt by March 6, 2017, to be included in the company's
final dividend distribution.

The company's liquidator is:

          Matthew Wright
          c/o Daniel McGrath
          P.O. Box 897 Grand Cayman KY1-1103
          Windward 1 Regatta Office Park
          Cayman Islands
          Telephone: (345) 949 7576
          Facsimile: (345) 949 8295


RAINBOW PROPERTIES: Commences Liquidation Proceedings
-----------------------------------------------------
The sole shareholder of Rainbow Properties Limited, on Dec. 20,
2016, resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Taco Van Der Mast
          c/o Cate Barbour
          Walkers
          190 Elgin Avenue George Town
          Grand Cayman KY1-9001
          Cayman Islands
          Telephone: +1 (345) 914 4970


SILVERPATH INVESTMENTS: Placed Under Voluntary Wind-Up
------------------------------------------------------
The sole shareholder of Silverpath Investments Ltd., on Dec. 21,
2016, resolved to voluntarily wind up the company's operations.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Silverpath Capital Management LLC
          c/o Paul Ebanks
          Telephone: +1 (345) 949 9876
          Facsimile: +1 (345) 949-9877
          Ogier
          89 Nexus Way Camana Bay
          Grand Cayman KY1-9009
          Cayman Islands


SORIN ALPHA: Placed Under Voluntary Wind-Up
-------------------------------------------
The sole shareholder of Sorin Alpha Real Estate Offshore Fund
Ltd., on Dec. 20, 2016, resolved to voluntarily wind up the
company's operations.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Sorin Capital Management, LLC
          c/o Daniella Skotnicki
          c/o Ogier
          89 Nexus Way Camana Bay
          Grand Cayman KY1-9009
          Cayman Islands
          Telephone: +1 (345) 949 9876
          Facsimile: +1 (345) 949-9877


SORIN ALPHA MASTER: Placed Under Voluntary Wind-Up
--------------------------------------------------
The sole shareholder of Sorin Alpha Real Estate Master Fund Ltd,
on Dec. 20, 2016, resolved to voluntarily wind up the company's
operations.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Sorin Capital Management, LLC
          c/o Daniella Skotnicki
          c/o Ogier
          89 Nexus Way Camana Bay
          Grand Cayman KY1-9009
          Cayman Islands
          Telephone: +1 (345) 949 9876
          Facsimile: +1 (345) 949-9877


TARAH HOLDINGS: Commences Liquidation Proceedings
-------------------------------------------------
The sole shareholder of Tarah Holdings, on Dec. 20, 2016, resolved
to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Walkers Liquidations Limited
          Cayman Corporate Centre
          27 Hospital Road George Town
          Grand Cayman KY1-9008
          Cayman Islands
          Telephone: +1 (345) 949 0100


YUAN ZHU: Commences Liquidation Proceedings
-------------------------------------------
The sole shareholder of Yuan Zhu Co., Ltd., on Dec. 20, 2016,
resolved to voluntarily liquidate the company's business.

Creditors are required to file their proofs of debt to be included
in the company's dividend distribution.

The company's liquidator is:

          Walkers Liquidations Limited
          Cayman Corporate Centre
          27 Hospital Road George Town
          Grand Cayman KY1-9008
          Cayman Islands
          Telephone: +1(345)949-0100



===================
C O S T A   R I C A
===================


BANCO NACIONAL: Moody's Lowers LT LC Deposit Ratings to Ba2
------------------------------------------------------------
Moody's Investors Service has downgraded the long-term local
currency deposit and foreign currency senior unsecured debt
ratings of Banco Nacional de Costa Rica (BNCR) and Banco de Costa
Rica (BCR) to Ba2 from Ba1, with a negative outlook. At the same
time, Moody's downgraded the banks' long-term foreign currency
deposit ratings to Ba3 from Ba2, also with a negative outlook.

The rating action follows Moody's downgrade of Costa Rica's
government bond rating to Ba2 from Ba1, with the negative outlook
maintained. For details on this rating action please refer to
Moody's press release "Moody's downgrades Costa Rica's government
bond rating to Ba2, continued negative outlook", dated 9 February
2017.

BNCR's and BCR's ba2 baseline credit assessments (BCA) and
adjusted BCAs are unaffected by this action, as are their Ba1(cr)
and Not Prime(cr) long and short term counterparty risk
assessments.

The following ratings were downgraded, with the negative outlook
maintained:

Banco Nacional de Costa Rica and Banco de Costa Rica:

Long term local currency deposit ratings, to Ba2 from Ba1

Long term foreign currency deposit ratings, to Ba3 from Ba2

Long term foreign currency senior debt ratings, to Ba2 from Ba1

RATINGS RATIONALE

Moody's downgrade of Banco Nacional de Costa Rica's and Banco de
Costa Rica's long-term deposit and debt ratings is in line with
the downgrade of Costa Rica's government bond rating to Ba2 from
Ba1 on February 9. The key driver behind the downgrade in the
sovereign rating is the continued weakening of Costa Rica's fiscal
profile, reflected in its rising government debt burden and
persistently high fiscal deficit, which was 5.2% of GDP in 2016.
The continued negative outlook on the sovereign rating reflects
Moody's expectation that a lack of political consensus to
implement measures to reduce the fiscal deficit will result in
further pressure on the government's debt ratios.

Both banks' local currency deposit and foreign currency debt
ratings are now in line with their ba2 BCAs, still incorporating
Moody's assumption of full support from the government. This
assumption is based on the government's 100% ownership, its
guarantee of the banks' senior obligations under Article 4 of the
Banking Law, the banks' public policy mandate, and the importance
of their deposit and loan franchise within the Costa Rican
financial system. The banks' Ba3 foreign currency deposit ratings
are constrained by Costa Rica's sovereign ceiling for foreign
currency deposits. Should Costa Rica's government bond rating be
downgraded further and its foreign currency deposit ceiling, which
is one notch below the sovereign bond rating, be lowered, BNCR's
and BCR's deposit and debt ratings would face additional downward
pressure.

The ba2 BCAs for both issuers capture their modest consolidated
capitalization. The BCAs are also limited by their moderate
profitability, owing to high operating costs and mandatory
transfers to government related entities. Asset quality at both
banks remains relatively strong, though pressures may arise from
rising interest rates and from a continued depreciation in the
colon, given the significant portion of foreign currency lending
to local currency earners.

In addition, "the government's deteriorating finances may cause it
to rely more heavily on both BCR and BNCR to help finance public
sector deficits and lend to public infrastructure programs, which
could compress profit margins, as these loans are usually
relatively low yield" according to Moody's analyst Georges
Hatcherian.

WHAT COULD CAUSE THE RATINGS TO MOVE UP OR DOWN

Upward pressures on the banks' ratings is limited given the
negative outlook on the two issuers and on the sovereign ratings
of the Government of Costa Rica. However, the outlook on the
banks' ratings could stabilize if the sovereign outlook
stabilizes. Should Costa Rica's government bond rating be
downgraded further, BNCR's and BCR's deposit and debt ratings,
coupled with their standalone assessments and long-term CRAs,
would also face downward pressure.

The last rating action on Banco Nacional de Costa Rica was on
April 7, 2016 when Moody's assigned a rating to a new foreign
currency senior debt issuance.

The last rating action on Banco de Costa Rica was on February 9,
2016 when Moody's changed the outlook on the bank's deposit and
debt ratings to negative from stable, in line with a similar
rating action on the sovereign ratings.

The principal methodology used in these ratings was Banks
published in January 2016.

Based in San Jose, Costa Rica, Banco Nacional de Costa Rica
reported total consolidated assets of about US$11 billion (CRC 6.3
trillion) and shareholders' equity of US$1 billion (CRC 581
billion), as of September 2016.

Based in San Jose, Costa Rica, Banco de Costa Rica reported total
consolidated assets of around US$10 billion (CRC 5.5 trillion) and
shareholders' equity of US$947 million (CRC 522 billion), as of
September 2016.



===================================
D O M I N I C A N   R E P U B L I C
===================================


CBI BANK: Accounts Under Scrutiny, Closed
-----------------------------------------
Ken Richards at Caribbean News Now reports that although there has
been no official word, either from foreign banks in Dominica or
the Roosevelt Skerrit administration, that government citizenship
by investment (CBI) accounts have been closed, there is however
speculation in Roseau and elsewhere that the banks are becoming
wary that some of the CBI funds held in government bank accounts
could be tainted.

Regional broadcaster Jerry George is among those addressing that
matter.

Mr. Richards said the diplomatic passports issue and the CBI funds
concerns can lead to further trouble for Caribbean banks losing
their corresponding banks status with international banks intent
on implementing de-risking policies, according to Caribbean News
Now.

"I said that we are playing with our corresponding banking
relations, I said it.  I made the point that all of this is
happening with Dominica and the CBI program, could well accelerate
or bring back to the fore this whole question of our corresponding
banking relations.  Well, Dominica is beginning to feel it,
because I have been reliably informed that the three foreign banks
in Dominica have closed the government's investment accounts.  Any
account that is bringing monies in from these citizenship by
investment programs, have been closed.  The foreign banks are
protecting their corresponding banking relations," the report
quoted Mr. George as saying.

However as indicated, there has been no official confirmation that
the foreign banks in Dominica have acted against CBI accounts, the
report notes.

Reliable sources indicated, though, that the concern appears to
have been raised among CBI agents who met this week, pointing to a
possible trend that the accounts that deal with CBI funds are
being scrutinized with suspicion, the report relays.

WINN FM understands that in at least one case an agent has been
informed that the financial institution concerned is not happy
with CBI funds being lodged in that individual's account with the
bank, the report notes.

WINN FM understands too that, in relation to another foreign bank
in Roseau, funds sent to the government CBI account there have
been returned to the applicant without any notice to the agents
serving that applicant, the report discloses.

Those concerns appear to be growing in Dominica following the
arrest by Interpol of Iranian Alireza Monfared, the report relays.

The Iranian, who had a Dominica diplomatic passport until a year
ago, is accused of helping to embezzle billions of dollars while
Iran evaded international oil sanctions, the report notes.

Monfared's sanction busting activity, while allegedly holding a
Dominica diplomat passport, is reported to have led US authorities
to initiate an investigation of Dominica's prime minister,
Roosevelt Skerrit, the report relays.

Mr. Skerrit has brushed aside the talk of such a probe while
denying claims that his government sells diplomatic passports to
foreigners of ill repute or shady characters, the report relays.

The report notes that financial crime analyst Kenneth Rijock, in
his latest blog, quotes from what he says is advice directed at
agents of the citizenship by investment program in Dominica. It
says in part: "Please take notice of persistent rumors, involving
the actions, by both local and international banks located in the
Commonwealth of Dominica, that are reportedly notifying customers,
who have funds on deposit that were profits from the tainted
diplomatic passport program, that those funds will no longer be
welcome, means that substantial amounts of dollars will probably
soon be in transit, looking for a safe haven elsewhere. Your risk-
based compliance program requires that you decline such deposits,"
the report discloses.

It says further, "Should your bank, or non-bank financial
institution, accept these funds, which may be later designated as
the proceeds of crime, you run the risk of involvement in a money
laundering prosecution, for willful blindness, given the recent
disclosures about the likely criminal source of funds of a number
of individuals who obtained diplomatic passports, outside the
citizenship by investment (CBI) program operated by Dominica, and
who allegedly paid clearly excessive fees to obtain them," the
report adds.



===========
M E X I C O
===========


CREDIVALORES: S&P Assigns 'B' Rating on New $100MM Unsec. Notes
---------------------------------------------------------------
S&P Global Ratings assigned its 'B' issue-level rating to
Credivalores - Crediservicios SAS' (Credivalores; B+/Stable/B)
proposed senior unsecured notes for up to $100 million.  The
tenure of the notes will be two or three years and will bear a
fixed rate.

"Our 'B' rating on the proposed debt is one notch below the long-
term issuer credit rating.  The debt rating reflects the lender's
secured debt that represented more than 30% of adjusted assets as
of Sept. 30, 2016, and its unencumbered assets will cover 2.0x the
maximum amount of the rated unsecured debt.  We expect priority
debt to remain above 30% of the firm's adjusted assets at least
for the next 12 months.  We expect the issuance to be fully hedged
against currency exchange fluctuations.  The derivative hedge will
be made during the first months of the issuance date and will
cover the complete notes' amount during the total tenor of the
issuance.  We expect Credivalores to use 67% of the proceeds to
refinance its existing unsecured debt and the remainder to expand
its loan portfolio.  In our view, the new issuance doesn't reflect
a significant debt increase that could jeopardize Credivalores'
financial position," S&P said.

Credivalores' funding assessment will remain unchanged.  The
funding structure will continue to be concentrated in banking
lines through various vehicles; nevertheless, it will gradually
diversify.  As S&P mentioned in its last press release, the lender
has made efforts to reduce the high amount of encumbered assets
(by decreasing overcollateralization levels) as well as its
funding costs.  Nevertheless, S&P continues to believe that this
type of funding mix could limit Credivalores' financial
flexibility, and during market turmoil, erode its funding profile.
During the next two years, S&P expects the issuer to continue
diversifying its funding structure, which should decrease the
encumbered assets.

The ratings on Credivalores continue to reflect S&P's business
position assessment which benefits from a diversified business mix
and good market position; its capital and earnings underpinned by
S&P's forecast risk-adjusted ratio of about 8.2% for the next 12
months; and a risk position assessment that is mainly driven by
its lending and underwriting standards, which are stronger than
those of other nonbank financial institutions (NBFIs) S&P rates in
the region.  The ratings are constrained by S&P's view of
Credivalores' funding mix, which has a concentrated structure and
lower financial flexibility than other NBFIs S&P rates in Latin
America, and a sufficient liquidity to support all operations.
The stand-alone credit profile remains at 'b+'.

RATINGS LIST

Credivalores - Crediservicios SAS
  Issuer credit rating                      B+/Stable/B


Rating Assigned

Credivalores - Crediservicios SAS
  Sr. unsec. notes                          B


MEXICO: Presidential Hopeful Wins Support With Trump Stance
-----------------------------------------------------------
Santiago Peez and Juan Montes at The Wall Street Journal report
that Leftist presidential hopeful Andres Manuel Lopez Obrador is
gaining momentum in the race to lead Mexico, tapping into a
nationalist backlash against the U.S. as President Donald Trump
upends bilateral relations.

The former Mexico City mayor, narrowly beaten in Mexico's two
previous presidential elections, is now widening his lead in
opinion polls ahead of next year's contest, according to The Wall
Street Journal.

A poll recently conducted by El Financiero newspaper gave Mr.
Lopez Obrador, the founder and leader of Mexico's National
Regeneration Movement, 33% voter support, up 4 percentage points
since November and 6 percentage points ahead of former first lady
Margarita Zavala, a leading presidential contender within the
conservative National Action Party, the report notes.

On Feb. 12, Mr. Lopez Obrador, who hasn't officially declared his
candidacy, addressed hundreds of Mexicans, migration activists and
supporters gathered at Olvera Street Square in downtown Los
Angeles, in the first of what he said would be visits to seven
U.S. cities over the next two months, the report relays.  There
are an estimated 35 million people of Mexican descent in the U.S.

The visit comes as the new U.S. administration ramped up an
immigration crackdown and launched deportation raids of
undocumented immigrants in several U.S. cities over the past week,
the report notes.  Mr. Trump also has shocked Mexicans with his
insistence that Mexico will pay for a new border wall, and his
attacks on U.S. companies that open factories in Mexico, the
report discloses.

"We must confront this campaign of hate and human-rights
violations," Mr. Lopez Obrador said, adding that the crackdown on
migration is the result of unrest, unemployment and low income
that fueled a nationalist backlash in the U.S, the report notes.
"Low income and unemployment isn't the result of hiring Mexican
workers, but of flawed government policies," he added.

Mr. Trump's complaints about the U.S. trade deficit with Mexico
are misleading, he said, since most Mexican exports to the U.S.
have significant U.S. components, the report relays.  "If Mexico
was unfairly benefitting from [the North American Free Trade
Agreement], then Mexico wouldn't suffer economic stagnation and
emigration, as it is right now," the report says.

In Mexico City, thousands took to the capital's central
thoroughfare to protest the border-wall plan, while criticizing
Mexican President Enrique Pena Nieto and the ruling PRI party, the
report notes.

Mr. Pena Nieto faces rising political pressure to defend Mexico's
national pride, even as both countries get ready to renegotiate
Nafta, the report adds.

The WSJ discloses that Mr. Lopez Obrador's visit to the U.S.
appears to be designed to send a clear message: He will stand up
to Mr. Trump, who he has called arrogant and autocratic, and
branded his plans as foreign aggression.

"No one believed Mr. Trump's campaign promises at first, but you
can now feel the tension," said Israel Robles, a truck driver from
Puebla state who migrated to Los Angeles 25 years ago.  "The
Mexican community in the U.S. is now waking up and beginning to
organize as his administration steps up deportations."

Like Mr. Trump, the Mexican politician has cast himself as a
political outsider challenging a corrupt and incompetent political
"mafia," the report relays.  Both men also share a mistrust of
globalization, with Mr. Lopez Obrador calling on Mexico to focus
on its domestic economy rather than exports, the report notes.

The visceral personality of Mr. Lopez Obrador has often been
compared with that of Mr. Trump, the report notes.  "His weakest
point is his intolerance and arrogance. Whoever doesn't agree with
him is his enemy. He is in the tradition of the Latin American
strongman," said Fernando Belaunzaran, a lawmaker with the leftist
Democratic Revolution Party, which Mr. Lopez Obrador abandoned in
2012 to create his own party, the report relays.

Yet this time around, he is also adopting a more moderate tone in
the hopes of broadening the appeal of his nationalist movement. He
recently appointed Mexican businessman Alfonso Romo to prepare his
campaign platform and economic-policy proposals, the report notes.

"The goal is to generate trust, we don't want to trigger
instability nor harm rule of law," said Mr. Romo, the owner of
local Vector brokerage firm, the report discloses.

The author of more than a dozen books on Mexican politics and
history, Mr. Lopez Obrador has promised to triple growth rates to
an annual 6% and broaden welfare plans, the report notes.  He also
wants to lower Mexico's high dependency on U.S. corn and gasoline
imports, goals that have been criticized as unrealistic and
protectionist, the report relays.

Mr. Romo said Mr. Lopez Obrador won't upend economic stability nor
interfere with markets should he become a candidate and win the
presidency. That includes preserving central bank independence and
open capital markets, the report notes.

One of Mr. Lopez Obrador's policy proposals is a referendum to
overturn Mexico's historic 2013 opening of the oil industry to
private investment, the report relays.  Mr. Romo said existing
contracts wouldn't be canceled, but said they would be
renegotiated.

"We can't breach contracts. I don't see a new government imposing
itself unilaterally," Mr. Romo added.

Mr. Lopez Obrador has been on a long campaign since 2005, ahead of
his first bid for the presidency, which he narrowly lost the
following year, the report notes.  He refused to concede defeat
and declared himself Mexico's legitimate president, blocking the
capital's Paseo de La Reforma boulevard for weeks with his
supporters. In 2012, he lost to Mr. Pe┬ža Nieto by 7 percentage
points, the report relays.

Not everyone is convinced the third time will be a charm for the
leftist politician.

"What surveys show at this stage is how well-known a politician
is, because there are no formal presidential candidates yet," said
Ulises Beltran, head of local polling firm BGC.  "Mr. Lopez
Obrador always begins the race up high because of this factor, and
also because of his populist rhetoric. But then his lead tends to
narrow as the election nears," he added.



===========
P A N A M A
===========


MOSSACK AND FONSECA: Partners Arrested Amid Scandal
---------------------------------------------------
Caribbean News Now reports that Jurgen Mossack and Ramon Fonseca,
the founding partners of the law firm at the epicenter of the
Panama Papers documents leak scandal, have been arrested by
Panamanian authorities on suspicion of money laundering.

Panama attorney Edison Teano, another partner at the firm of
Mossack and Fonseca, was also detained for questioning by the
authorities, according to Caribbean News Now.  Mr. Teano is said
to have been involved in the use of Panamanian corporations to
hide bribes received by members of a Brazilian political party,
the report notes.  He is also being investigated for money
laundering, according to published reports in Panama.

A judge has ordered pre-trial detention for all, to prevent their
flight out of the country to avoid prosecution, the report
relates.

The role played by a number of lesser known attorneys at the
Mossack Fonseca firm has thus far escaped media attention, the
report notes.  Many of the firm's lawyers are seeking to avoid
scrutiny by quietly moving to Panama City law firms, apparently
hoping to escape being charged with money laundering, the report
discloses.

Whether Panamanian authorities will move against them is not
known, but there are no real disciplinary agencies in Panama to
control attorney misconduct, unless prosecutors arrest them, the
report relays.

In the meantime, additional search warrants have been executed by
investigators, including at law firms that now employ former
Mossack Fonseca attorneys that have already left the firm, the
report notes.

In what has been described as possibly the most extreme example of
tax haven hubris, the staff of Mossack and Fonseca, exposed by the
Panama Papers as a global facilitator of drug money laundering,
corruption, tax evasion, and every type of financial crime
imaginable, were out in the streets, protesting the arrest,
detention and interrogation of the firm's partners, the report
discloses.

On another front, an independent commission has been set up with a
mandate to investigate Panamanian President Juan Carlos Varela
regarding allegations of corruption in the expanding Odebrecht SA
scandal, the report relays.

The report notes that Mr. Varela is now believed to have accepted
many millions of dollars to approve major government contracts for
the Brazilian construction giant.

Finally, the Superintendent of Banking has taken over the Panama
office of the Brazilian bank, FPB Bank, Inc., over allegations
that the bank was involved in the Brazilian Lava Jato (Car Wash)
scandal, in which lucrative contracts for the government oil
entity, Petrobras were obtained through bribery, the report
discloses.

More than 50 Brazilian politicians, including those at the highest
level, have been implicated, the report notes.  In the bank's
Panama operation, there was reportedly a total and complete lack
of any 'know your customer' procedures regarding accounts opened
for foreigners, and that FPB was a conduit for laundering corrupt
payments, the report adds.



===============
S T.  L U C I A
===============


ST. LUCIA: IMF Says to Experience Positive Albeit Moderate Growth
-----------------------------------------------------------------
An IMF mission visited St. Lucia during January 16-27, 2017, for
the annual Article IV consultation discussions on economic
developments and macroeconomic policies.

Despite weak tourism activity, unemployment continued to fall in
2016 and the economy is expected to experience positive albeit
moderate growth in 2017. The authorities are designing a bold
program of economic reforms, which they intend to outline in the
forthcoming budget. A credible medium-term fiscal consolidation
plan and a rapid implementation of the reform agenda are needed to
reduce policy uncertainty and ensure the success of the
authorities' economic program.

1. Weakness in tourism activity continues to dampen growth. Strong
   employment growth in agriculture and construction led to a
   significant reduction in unemployment in the first three
   quarters of 2016. Nonetheless, weak activity in tourism,
   transport, and manufacturing hampered GDP growth, which is
   estimated to have reached 0.8 percent in 2016. Declining
   exports are widening the current account deficit after
   improvements in recent years mainly owing to lower oil prices.

2. The short-term outlook is mildly positive, but presents some
   risks. Moderate growth is expected in 2017, primarily on
   account of continued strong performance in construction and
   agriculture. The overall outlook appears uncertain as positive
   developments in tourism -- the expected increase in the number
   of hotel rooms and the opening of new direct flights from the
   U.S.-- may be stifled by the impact of the new airport tax.

3. The medium-term outlook remains subdued as structural
   weaknesses impinge on competitiveness and potential growth.
   Risks are tilted to the downside, as low global growth would
   negatively affect tourism inflows; U.S. dollar appreciation
   would reduce competitiveness, and tighter global financial
   conditions could compress fiscal space by increasing interest
   costs on the high public debt. Upside risks are related to
   stronger-than-projected foreign direct investment inflows,
   especially if the authorities are successful in implementing
   economic reforms that address structural vulnerabilities.

4. The new administration is launching an ambitious program of
   economic reforms, but key policies are still being shaped ahead
   of the forthcoming budget . The broad pro-growth reform agenda
   is focused on lowering the tax burden, enhancing the efficiency
   of the tax system, and reducing tax compliance costs;
   reorganizing the public sector to rationalize functions and
   increase efficiencies; reviewing the Citizenship by Investment
   Program (CIP) to make it more competitive; and enacting
   structural reforms to improve the business climate and
   encourage foreign direct investment. This program addresses
   many areas that are critical to strengthening St. Lucia's
   growth potential, but details of the policies are still pending
   and many of the reforms will take time to yield results. In the
   meantime, the fiscal package announced by the government under
   the "Five to Stay Alive" initiative, which includes a reduction
   of the VAT rate from 15 percent to 12.5 percent, will weaken
   the fiscal position unless measures are taken to mitigate its
   impact; and, by shifting the tax burden onto the tourism
   sector, risks having undesirable effects on competitiveness and
   growth.

5. A multi-year fiscal consolidation plan is necessary to
   stabilize the projected debt dynamics and attain the 2030 debt
   target of 60 percent of GDP. The high public debt - currently
   exceeding 82 percent of GDP - and a delicate fiscal situation
   need to be addressed promptly. A fiscal consolidation plan
   would help the authorities clarify their intentions, confirm
   their commitment to fiscal responsibility, and reduce risks
   while the economic program is being defined. By mapping the
   path to the debt target, the authorities would minimize the
   risk of sudden corrections, which typically involve cuts to
   capital projects, thereby gaining control over expenditure
   composition while improving its quality. The plan should be
   adopted as soon as possible and measures should be included in
   the FY2017/18 budget currently being prepared.

6. The adjustment effort should focus on broadening the tax base,
   controlling expenditure, and improving financing terms. Further
   cuts in tax rates should be preceded by a reduction of the
   extensive exemptions that undermine the efficiency of the tax
   system. Consideration should also be given to reducing the very
   high taxes and charges on imports, which are particularly
   harmful to external competitiveness. In view of the importance
   of the public sector wage bill, continued control of wage
   dynamics and intensified attrition in the context of a
   functional assessment of employment needs are key. Social
   spending should be preserved and gradually refocused from
   temporary work programs and non-targeted subsidies to targeted
   social assistance. Much needed investment in infrastructure,
   renewable energy, and natural disaster resilience should be
   financed with concessional lending rather than costly bond
   issuance, and partnerships with the private sector should be
   used when feasible.

7. The consolidation plan should address the need to prepare for
   the inevitable recurrence of natural disasters. St. Lucia, like
   other countries in the region, is extremely vulnerable to
   natural disasters, which entails significant costs in terms of
   lower investment, lower GDP, higher poverty, and a more
   volatile revenue base. Costs can be significantly reduced by
   preparing for these events with adequate domestic policies
   aimed at increasing resilience and reducing risks. These
   policies should be integrated into investment, debt, and public
   financial management frameworks. Financing should be arranged
   ahead of time through a combination of fiscal buffers,
   contingent financing plans, and risk transfer arrangements.

8. The implementation of the medium-term fiscal framework could be
   supported by an appropriate fiscal rule. Enshrined in a fiscal
   responsibility legislation, the fiscal rule would define
   appropriate institutional arrangements; the coverage of
   government and fiscal aggregates, with due consideration for
   capital spending; implementation procedures -including links
   with the budget process and escape clauses-; automatic
   correction mechanisms; and sanctions and supporting mechanisms
   for enhanced fiscal transparency and accountability.

9. Monitoring of the public sector should be extended to further
   limit fiscal risks. The definition of central government debt
   should be reviewed to comply with GFS guidelines. In addition,
   the authorities should consider expanding their definition of
   debt to the consolidated non-financial public sector to make
   sure that all public debt is monitored. A rapid approval of new
   legislation on public financial management and a new chart of
   accounts would also be important steps in improving the quality
   of fiscal statistics.

10. CIP revenues should be used primarily to reduce debt, and
    limits should be placed on amounts used to finance high-
    priority expenditure. After receiving relatively few
    applications in 2016, the authorities expect that the recent
    easing in the requirements and lowering of the costs to
    qualify for this program will encourage an increase in
    revenues. To minimize the risks of fiscal dependence on these
    revenues, which can be volatile and subject to sudden stops,
    and to reduce the impact of globally rising interest rates on
    public finances, priority should be given to amortizing
    existing debt. A capped amount could be used for investment
    projects of primary importance if public investment management
    can be strengthened further to ensure high quality investment.
    Transparency, appropriate governance, and careful due
    diligence remain paramount to reduce risks of sudden stops.

11. Banks are still burdened by nonperforming loans (NPLs) and the
    cost of corresponding bank relationships (CBRs) has increased.
    Swift resolution of NPLs is critical to revive credit and
    economic growth. Authorities should give renewed priority to
    the establishment of the regional asset management company
    (ECAMC). The Insolvency Act needs to be urgently adopted and
    legislative work to reform the resolution framework initiated
    to facilitate foreclosures and debt restructuring. The
    authorities have made significant progress in increasing
    compliance with international standards to mitigate the impact
    of reduced CBRs. Nonetheless, banks continue to suffer from
    increasing costs with correspondent banks owing also to the
    low volume of transactions.

12. Structural reforms to improve the business climate and address
    the skills mismatch should be implemented rapidly. The
    authorities have made significant progress in designing a
    reform strategy under the Caribbean Growth Forum aimed at
    addressing as immediate priorities: (i) skills and
    productivity; (ii) logistics and connectivity; and (iii)
    investment climate. In addition, a six-pillar Long-Term
    National Development Plan has been designed in the areas of
    building human and physical capital, strengthening
    institutions, improving social resilience, and mitigating and
    adapting to climate change. These efforts need to be supported
    by the elaboration of specific policies and timelines for
    their implementation, which the authorities intend to do in
    the forthcoming budget presentation. In light of the
    persistent skills mismatch and the large costs associated with
    the public education system, a review of the sector is
    overdue.

13. Statistics are among the most comprehensive in region and
    adequate for surveillance. However, a lack of resources is
    hampering quality in several areas. Data are subject to large
    revisions, which often reflect pre-existing weaknesses as
    methodological improvements are introduced. As St. Lucia
    intends to subscribe to the Special Data Dissemination
    Standard, these improvements need to be sustained by providing
    adequate resources to the Central Statistics Office for data
    collection and compilation. The timeliness of data provision
    by government agencies also needs to be enhanced.


                            ***********


Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Monday
Bond Pricing table is compiled on the Friday prior to publication.
Prices reported are not intended to reflect actual trades.  Prices
for actual trades are probably different.  Our objective is to
share information, not make markets in publicly traded securities.
Nothing in the TCR-LA constitutes an offer or solicitation to buy
or sell any security of any kind.  It is likely that some entity
affiliated with a TCR-LA editor holds some position in the
issuers' public debt and equity securities about which we report.

Tuesday's edition of the TCR-LA features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets.  A company may establish reserves on its balance sheet for
liabilities that may never materialize.  The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.

Submissions about insolvency-related conferences are encouraged.
Send announcements to conferences@bankrupt.com


                            ***********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
Fernandez, Valerie U. Pascual, Julie Anne L. Toledo, Ivy B.
Magdadaro, and Peter A. Chapman, Editors.

Copyright 2017.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$775 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Peter A. Chapman at 215-945-7000 or Nina Novak at
202-362-8552.


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