251222.mbx

251222.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 Monday, December 22, 2025, Vol. 26, No. 254 Headlines B R A Z I L MARFRIG GLOBAL: Moody's Affirms 'Ba2' CFR, Outlook Remains Stable D O M I N I C A N R E P U B L I C DOMINICAN REPUBLIC: Will Exceed US$5BB in Foreign Investment E C U A D O R ECUADOR: IMF OKs Withdrawal of USD630M After 4th Review of EFF Deal J A M A I C A JAMAICA: BOJ Sees High Demand for $36MM Certificate of Deposit JAMAICA: No Shortage of Eggs, Chicken or Pork P U E R T O R I C O VILLA DEL MAR: Hires Homel Mercado Justiniano as Legal Counsel T R I N I D A D A N D T O B A G O HERITAGE PETROLEUM: Moody's Affirms Ba3 CFR, Alters Outlook to Neg. X X X X X X X X LATIN AMERICA: ECLAC Reaffirms Projected 2.4% GDP Growth - - - - - =========== B R A Z I L =========== MARFRIG GLOBAL: Moody's Affirms 'Ba2' CFR, Outlook Remains Stable ----------------------------------------------------------------- Moody's Ratings affirmed Marfrig Global Foods S.A.'s ("Marfrig") Ba2 corporate family rating and the Ba2 senior unsecured rating of BRF S.A. (BRF). At the same time, Moody's have withdrawn the Ba2 corporate family rating of BRF. The outlook for all ratings remains stable. The withdrawal of BRF's corporate family rating incorporates the changes in ownership. With the merger of Marfrig and BRF, completed in September 2025, Marfrig has full ownership and control of BRF, forming a new entity called MBRF (legal entity remains Marfrig Global Foods S.A.). RATINGS RATIONALE The affirmation of Marfrig and BRF Ba2 ratings balances the enhanced business profile with the strain in consolidated metrics reflecting primarily weak margins of the US beef segment (National Beef) and the overall high leverage at Marfrig. Moody's anticipates that the integration of both companies will enhance operational performance through synergies and will lead to a more efficient capital structure, with lower leverage and a more comfortable debt amortizations schedule. Fewer restrictions to moving cash flows between companies improves financial flexibility and liability management alternatives and allows MBRF to reduce absolute debt levels, in particular debt issued at Marfrig. The Ba2 ratings continue to reflect the company's scale and leading positions in global beef, poultry, pork, as well as processed foods in Brazil. Moreover, the Ba2 reflects the good geographic footprint and diversification in terms of raw material sourcing, which reduce weather-related risks and animal diseases. Offsetting these positive attributes are Marfrig's exposure to the cyclical beef and poultry industry, which is characterized by volatile earnings, and the exposure to grain prices and currency volatility, given the large share of exports in revenues. Marfrig has adequate liquidity, supported by a consolidated cash balance of BRL22.6 billion (BRL13.9 billion at BRF) at the end of September 2025 –- which covers all debt maturities through the end of 2026. Liquidity is further enhanced at National Beef by its revolving credit facility of up to $1.1 billion, of which around 50% was available at the end of September 2025. In October, the facility was upsized to $1.5 billion. The stable outlook indicates that Moody's anticipates that credit metrics will not show a significant improvement in the next 12-18 months, as the strong performance in the poultry segment will continue to be offset by challenges in the beef segment. The stable outlook also incorporates Moody's assumptions that Marfrig will maintain adequate liquidity over the next 12-18 months, supported by financial discipline in capital allocation relative to dividend distribution and growth strategy. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS An upward rating movement would require the company to maintain strong liquidity, demonstrate a track record of financial discipline, and strengthen its financial flexibility by reducing its debt levels as such that even in periods of a market downturn, leverage would stay at or below Moody's total adjusted debt/EBITDA of 3.5x and interest coverage, measured by EBITDA/interest expense, sustained at 5.5x and above. Additionally, Marfrig would need to display a resilient performance even during market downturns and irrespective of the underlying animal cycle, macroeconomic environment, and consumption and trade patterns in key markets, particularly in the US, Brazil and Halal markets. Quantitatively, an upgrade would require the maintenance of strong operating performance, with RCF/Net Debt sustained at 20% or above. An upgrade of BRF's senior unsecured rating would be dependent on the relative positioning to the rating of Marfrig as long as BRF remains controlled by Marfrig. It is unlikely that BRF would be positioned above Marfrig's rating, since it is a wholly-owned subsidiary of Marfrig, with intrinsic operational, financial, strategic and legal links between BRF and Marfrig. Marfrig's ratings could be downgraded if the company's operating performance weakens, its financial policy becomes more aggressive, or its liquidity deteriorates. Quantitatively, Moody's could downgrade the rating if total debt/EBITDA remains above 4.0x for a prolonged period; EBITDA/interest expense stays below 4.0x, and RCF/Net debt is consistently below 15%. BRF's rating could be downgraded if Marfrig's (the parent) is downgraded. MBRF, headquartered in Sao Paulo, is among the largest protein and food companies in the world, formed through the merger of Marfrig Global Foods S.A and BRF S.A. The combined business includes a portfolio of frozen products, in natura proteins — beef, poultry and pork — margarines, cold cuts, lunch meats, ingredients and animal feed, including a large portfolio of value-added products. Marfrig is the second largest beef producer globally and the largest beef patty producer; it owns 81.73% of National Beef, which is the fourth largest north American beef processor. BRF has a broad portfolio of poultry and processed foods, operates 45 plants, 101 distribution centers, and two innovation centers, and is a major global poultry exporter with strong exposure to Halal and Asian markets. MBRF operates a diversified production footprint across the Americas, Middle East, Turkey, and China. For the twelve months ended September 2025, MBRF reported consolidated revenue of BRL161.9 billion (approximately $28.4 billion) and an EBITDA margin of 8.4%. The principal methodology used in these ratings was Protein and Agriculture published in October 2025. BRF's Ba2 rating is two notches below the Baa3 indicated by Moody's Protein and Agriculture rating methodology scorecard as of September 2025. This is due to earning volatility and the inherent exposure of protein producers to risks related to animal diseases, climate, environmental regulations and trade barriers. The rating is also dependent on the relative positioning of BRF's rating to the rating of Marfrig, as it is unlikely that BRF's rating would be positioned above Marfrig's rating. =================================== D O M I N I C A N R E P U B L I C =================================== DOMINICAN REPUBLIC: Will Exceed US$5BB in Foreign Investment ------------------------------------------------------------ Dominican Today reports that the Minister of Industry, Commerce and MSMEs (MICM), Víctor "Ito" Bisono, projected that the Dominican Republic will close 2025 with more than US$5 billion in foreign direct investment (FDI), driven by the country's political, social, and economic stability under President Luis Abinader's administration. According to the minister, this performance places the Dominican Republic among the most attractive investment destinations in Latin America and the Caribbean. According to the report, Bisono highlighted that the country ended last year with nearly US$4.8 billion in FDI and is on track to surpass that figure in 2025, reflecting growing international confidence in the Dominican economic model. He explained that sustained investment growth is the result of clear rules, legal certainty, and public policies that have strengthened the business climate and encouraged long-term capital inflows, the report relays. Key Sectors Driving Foreign Investment The MICM minister noted that investment growth has been fueled by strategic sectors such as free trade zones, tourism, renewable energy, commerce, and creative industries, as well as ongoing efforts to promote reindustrialization, the report says. These initiatives have reinforced the country's position as a regional hub for business, logistics, and trade, the report discloses. Bisono also pointed to projections from the Economic Commission for Latin America and the Caribbean (ECLAC), which forecast that the Dominican Republic will lead economic growth in the region by 2026, the report says. He reaffirmed the MICM's commitment to strengthening competitiveness, supporting micro, small, and medium-sized enterprises (MSMEs), attracting foreign capital, and generating quality jobs that improve the living conditions of Dominican families, the report adds. About Dominican Republic The Dominican Republic is a Caribbean nation that shares the island of Hispaniola with Haiti to the west. Capital city Santo Domingo has Spanish landmarks like the Gothic Catedral Primada de America dating back 5 centuries in its Zona Colonial district. Luis Rodolfo Abinader Corona is the current president of the nation. TCR-LA reported in April 2019 that Juan Del Rosario of the UASD Economic Faculty cited a current economic slowdown for the Dominican Republic and cautioned that if the trend continues, growth would reach only 4% by 2023. Mr. Del Rosario said that if that happens, "we'll face difficulties in meeting international commitments." An ongoing concern in the Dominican Republic is the inability of participants in the electricity sector to establish financial viability for the system. Standard & Poor's credit rating for Dominican Republic was raised to 'BB' in December 2022 with stable outlook. Moody's credit rating for Dominican Republic was last set at Ba3 in August 2023 with the outlook changed to positive. Fitch, in December 2023, affirmed the Dominican Republic's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-' and revised the outlook to positive. ============= E C U A D O R ============= ECUADOR: IMF OKs Withdrawal of USD630M After 4th Review of EFF Deal ------------------------------------------------------------------- The Executive Board of the International Monetary Fund (IMF) completed the fourth review of the EFF arrangement for Ecuador. The Board's approval of the review enables the authorities to immediately draw an amount of SDR 438.4 million (about US$630 million), bringing total disbursements to date under this arrangement to about SDR2.4 billion (about US$3.3 billion). Ecuador's 48-month EFF arrangement was approved by the Executive Board in May 2024, and augmented in July 2025, providing access equivalent to SDR 3.75 billion (about US$5 billion) to support policies aimed at strengthening fiscal and debt sustainability, protecting vulnerable groups, rebuilding liquidity buffers, safeguarding macroeconomic and financial stability, and advancing the structural reform agenda for sustainable, inclusive, and stronger growth benefiting all Ecuadorians. The authorities' program has also catalyzed additional financial support from multilateral partners. Program performance continues to be strong. The authorities met all quantitative performance criteria (QPCs) for end-October 2025 for the fourth review and all indicative targets (ITs) are on track. They have also made substantial progress on the implementation of structural benchmarks and remain committed to further advancing their reform agenda. The authorities have taken firm actions to strengthen fiscal sustainability and liquidity buffers, while protecting the most vulnerable. Government deposits and liquidity conditions have improved, and sovereign spreads have substantially narrowed. In addition, the authorities continued advancing their ambitious structural reform agenda to safeguard financial stability, enhance governance, and boost private investment and job-rich growth. Continued progress in the reform agenda is expected to achieve significant growth dividends over the medium term. The ongoing economic recovery continues to surpass expectations amid low inflation, driven by domestic demand and record nonoil exports. The current account (CA) balance keeps on recording sizable surpluses, supporting a sustained rise in international reserves. Liquidity in the financial system continues to support credit growth. The economy has shown remarkable resilience but is still subject to significant risks, including volatility in oil prices and international financial markets. The authorities' decisive policy steps and continued strong commitment to reforms and program performance help mitigate these risks. Effective implementation of the authorities' plan of fiscal consolidation and economic reforms, supported by the EFF arrangement, is projected to maintain public debt on a firm downward trend, supporting the authorities' objective of further lowering sovereign spreads and regaining access to capital markets. Following the Executive Board's discussion, Mr. Nigel Clarke, Deputy Managing Director and Acting Chair, issued the following statement: "The Ecuadorian authorities continue to make significant progress in implementing their economic program supported by the Extended Fund Facility (EFF) arrangement. All quantitative performance criteria for the fourth review were met, and all indicative targets are on track. The implementation of structural reforms is also progressing well, with all structural benchmarks for this review achieved. Real GDP has rebounded strongly amid low inflation, driven by a recovery in domestic demand and buoyant nonoil exports. The current account balance continues recording sizable surpluses, supporting a steady improvement in international reserves. Sovereign spreads have substantially narrowed and liquidity in the financial system continues to facilitate higher credit growth. The poverty rate is also declining. Maintaining these accomplishments will require sustained prudent policies and implementation of the authorities' reform program. Continued support from international partners and bilateral creditors and robust contingency planning are also critical. "The authorities are taking firm policy actions to strengthen fiscal sustainability and liquidity buffers, while protecting the most vulnerable. They have implemented high-quality revenue and expenditure reforms and remain committed to continue strengthening the fiscal position and placing public debt on a firm downward path, which would eventually facilitate reentry into capital markets. "The authorities also remain committed to further enhancing the social safety net. They have implemented measures to mitigate the impact of reforms on vulnerable groups, and they continue expanding the coverage of the social safety net for lower-income households, surpassing program targets. "Efforts to advance the financial sector policy agenda and develop domestic capital markets continue. These include enhancing regulation, oversight, and resolution tools; gradually improving the interest rate system; and launching auctions for domestic bonds and treasury notes. Enhancing the integrity of the financial system is also paramount. "Structural reforms to boost competitiveness and create jobs are advancing. The authorities are working to attract private investment in high-potential sectors such as mining, hydrocarbons, and energy. They are also working to enhance governance, and to strengthen energy resilience by expanding electricity supply and improving preparedness for natural disasters. Decisive progress on these reforms will deliver substantial medium-term growth for the benefit of all Ecuadorians." ============= J A M A I C A ============= JAMAICA: BOJ Sees High Demand for $36MM Certificate of Deposit -------------------------------------------------------------- RJR News reports that the Bank of Jamaica said market participants were willing to absorb more funds than the central bank intended to withdraw during the 6% per annum fixed rate certificate of deposit auction, underscoring strong demand for the instrument as authorities seek to contain inflation. According to the BOJ, a total 334 bids amounting to $42.6 billion were submitted, the report notes. However, the central bank accepted 305 bids, valued at $36 billion, in line with the amount it had targeted to remove from circulation, the report says. About Jamaica Jamaica is an island country situated in the Caribbean Sea. Jamaica is an upper-middle income country with an economy heavily dependent on tourism. Other major sectors of the Jamaican economy include agriculture, mining, manufacturing, petroleum refining, financial and insurance services. On Feb. 21, 2025, Fitch Ratings affirmed Jamaica's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-', with a positive rating outlook. In October 2023, Moody's upgraded the Government of Jamaica's long-term issuer and senior unsecured ratings to B1 from B2, and senior unsecured shelf rating to (P)B1 from (P)B2. The outlook has been changed to positive from stable. In September 2024, S&P affirmed 'BB-/B' longterm foreign and local currency sovereign credit ratings on Jamaica and revised outlook to positive. JAMAICA: No Shortage of Eggs, Chicken or Pork --------------------------------------------- RJR News reports that despite the devastation left behind by Category 5 Hurricane Melissa, Jamaicans can breathe a sigh of relief this Yuletide season, as officials in the poultry industry confirm there will be no shortage of chicken, pork or eggs. Seven weeks after the monster storm battered the island, damaging farms and claiming thousands of birds, the poultry industry has shown remarkable resilience, according to RJR News. In the immediate aftermath, concerns were raised about potential shortages and rising prices, the report notes. Vice President of the Hi-Pro Division of the Jamaica Broilers Group (JBG), Colonel Jaimie Ogilvie says replacement stock has already been secured, allowing production levels to bounce back in time for the holiday rush, when demand for poultry products traditionally peaks, the report relays. "There's going to be no shortage of chicken meat and pork for the Christmas because Jamaica's pig and chicken farmers are already rebounding on the back of Hurricane Melissa. Inventory on hand, current production schedules are going to ensure that demand is met over the holiday, the report says. "Just for some context, in the two weeks immediately following Melissa, Hi-Pro gave away over 360,000 baby chicks to farmers across the island. A lot of it went to central and eastern parishes, to farmers who had the capacity to make up for the loss in production that was experienced in the West. Those in the West who could take, we are able to provide some there, but this is just to show that we wanted to make sure that there is not going to be a shortfall in available chicken meat for the holidays," he highlighted, the report adds. Colonel Ogilvie said the self-sufficient table egg industry lost more than 450,000 layers, or half of its productive capacity, describing the impact as by far the most devastating blow to the sector, the report notes. He noted that nearly 20% of the birds lost during the hurricane have already been replaced and returned to the market, the report relays. Acknowledging the continued demand for birds, the Vice President said additional farmers have been contracted to help meet local needs. But he explained that while rebuilding of the domestic industry is ongoing, the importation of eggs has already begun to stabilise supply, the report discloses. "In the interim, while we rebuild the local sector, we can access table eggs in a safe way, in a sustainable way to fill the gap and to satisfy the demand created here. And because of the work by the VSD and the US Department of Agriculture, we are now on the cusp of seeing where those table eggs are going to be starting to come in. I believe the first shipment of table eggs is due to leave the US, minister. We are going to have eggs in the market before Christmas, and we have a steady train of table eggs coming in weekly," said Colonel Ogilvie, the report adds. He said the Egg Farmers Association will be distributing the imported eggs to its customers as part of efforts to rebuild their businesses, the report relays. About Jamaica Jamaica is an island country situated in the Caribbean Sea. Jamaica is an upper-middle income country with an economy heavily dependent on tourism. Other major sectors of the Jamaican economy include agriculture, mining, manufacturing, petroleum refining, financial and insurance services. On Feb. 21, 2025, Fitch Ratings affirmed Jamaica's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-', with a positive rating outlook. In October 2023, Moody's upgraded the Government of Jamaica's long-term issuer and senior unsecured ratings to B1 from B2, and senior unsecured shelf rating to (P)B1 from (P)B2. The outlook has been changed to positive from stable. In September 2024, S&P affirmed 'BB-/B' longterm foreign and local currency sovereign credit ratings on Jamaica and revised outlook to positive. ===================== P U E R T O R I C O ===================== VILLA DEL MAR: Hires Homel Mercado Justiniano as Legal Counsel -------------------------------------------------------------- Villa Del Mar, LLC seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to hire Homel Mercado Justiniano as its counsel. The firm will render these services: a. examine documents and other necessary information to submit schedules and statement of financial affairs; b. prepare the disclosure statement, plan of reorganization, records and reports as required by the Bankruptcy Code and the Federal Rules of Bankruptcy Procedures; c. prepare applications and proposed orders; d. identify and prosecute claims and causes of action assertable by the Debtor; e. examine proof of claims filed and to be filed in the case; f. advise the Debtor and prepare documents in connection with the ongoing of Debtor's business; g. advise the Debtor and prepare documents in connection with the liquidation of the assets of the estate; and h. provide other legal services. The firm will be paid at these hourly rates: Attorneys $250 Associates $125 Paralegal $50 Homel Mercado Justiniano received a retainer in the amount of $7,000, plus $1,738 filing fee. As disclosed in court filings, Homel Mercado Justiniano is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Homel A. Mercado-Justiniano, Esq. Homel Mercado Justiniano Calle Ramirez Silva #8 Ensanche Martinez Mayaguez, PR 00680-4714 Tel: (787) (831) 2577 (787) (808) 2945 Email: hmjlaw2@gmail.com About Villa Del Mar, LLC Villa Del Mar, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No, 25-05526) on December 5, 2025, listing $500,001 to $1 million in both assets and liabilities. Homel A. Mercado-Justiniano, Esq. serves as the Debtor's counsel. ===================================== T R I N I D A D A N D T O B A G O ===================================== HERITAGE PETROLEUM: Moody's Affirms Ba3 CFR, Alters Outlook to Neg. ------------------------------------------------------------------- Moody's Ratings has taken rating actions on several non-financial companies operating in Trinidad and Tobago. These actions follow Moody's rating action on the Government of Trinidad & Tobago, where Moody's affirmed the Ba2 ratings and revised the outlook to negative from stable. These rating actions follows Moody's affirmation of the Government of Trinidad & Tobago's ("TT" or "Trinidad & Tobago") rating of Ba2 and outlook change to negative from stable. Heritage Petroleum Company Limited's (Heritage) b2 baseline credit assessment (BCA), Ba3 Corporate Family Rating (CFR) and Ba3 rating of the backed senior secured notes were affirmed, and the ratings outlook was changed to negative from stable. National Gas Company of Trinidad and Tobago's ("NGC") ba2 BCA, Ba2 CFR and Ba2 senior unsecured notes rating were affirmed, and the ratings outlook was changed to negative from stable. Port of Spain Waterfront Development Limited's (POSWDL) caa2 BCA, Ba2 CFR and Ba2 senior secured rating of the global notes were affirmed, and the ratings outlook was changed to negative from stable. RATINGS RATIONALE The change in Trinidad & Tobago's outlook to negative reflects heightened external vulnerability following a sharp decline in foreign exchange reserves, which have fallen well below prior projections, despite ongoing current account surpluses. Persistent foreign exchange shortages reported among economic agents and the reduced coverage of upcoming external maturities increase balance of payment and government liquidity risks during the transition period before new hydrocarbon projects are expected to bolster reserves and growth from 2027/28. Accordingly, the change in the companies' outlook to negative reflects the heightened government liquidity risks, which directly constrain the potential support available to Heritage, NGC, and POSWDL. Heritage Petroleum Company Limited Heritage's b2 BCA reflects the company's small oil and gas production and asset base; adequate reserve life although relatively small in scale compared to peers; and developing corporate governance. The company's BCA is constrained by the fact that in order to maintain an annual reserve replacement rate of above 100% to protect cash generation, Heritage will have to manage its operating costs prudently and work with Joint Venture partners to grow efficiently. Additionally, Heritage's execution risk is high because of the operating challenges inherent to underground natural resources, besides the capital intensity and the commodity nature of the oil and gas E&P business. Heritage's Ba3 ratings take into consideration Moody's joint default analysis, which includes the rating agency's assumptions of high government support in case of need and high default correlation between Heritage and the Government of Trinidad & Tobago, resulting in two notches of uplift from the company's b2 BCA. The negative outlook on Heritage coincides with the negative outlook on Trinidad & Tobago given the importance of the sovereign's credit strength to the company's ratings. National Gas Company of Trinidad and Tobago NGC's Ba2 ratings and ba2 BCA reflect its long track record as a profitable and conservatively managed company responsible for the aggregation, purchase, sale, transmission and distribution of natural gas from Trinidad & Tobago's offshore gas fields to the domestic petrochemical, electrical power generation, steel, and light industrial and commercial sectors in the country. In addition, the ratings incorporate Moody's assumptions that NGC and the Government of Trinidad & Tobago will remain committed to maintaining the company's solid balance sheet, avoiding an increase in debt to transfer funds to the government. Moody's assumes a high default correlation between NGC and the sovereign, its sole shareholder, and a high support probability from the government to the company, in case of need. The high level of dependence on credit factors, such as the oil and gas industry dynamics, that could cause stress to both the government and the company simultaneously, hinders the government's ability to provide extraordinary support. The negative outlook on NGC coincides with the negative outlook on Trinidad & Tobago given the importance of the sovereign's credit strength to the company's ratings. Port of Spain Waterfront Development Limited POSWDL's Ba2 ratings and caa2 BCA reflect that its primary income source is the semiannual fixed rent paid by the Government of Trinidad & Tobago under the Sub-Lease Agreement, which will cover the leasehold interest in the land and improvements. The rent payment was structured to cover the debt service and the operational and transactional expenses of POSWDL. POSWDL's Ba2 ratings take into consideration of Moody's joint default analysis, which includes the rating agency's assumptions of fully government's support in case of need and very high default correlation between POSWDL and the Government of Trinidad & Tobago, resulting in six notches of uplift from the company's caa2 BCA. The negative outlook on POSWDL coincides with the negative outlook on Trinidad & Tobago given that its credit quality is closely linked to that of the Government of Trinidad & Tobago. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Heritage Petroleum Company Limited Given the current negative outlook, an upgrade of Heritage's ratings is unlikely in the near term. However, if Trinidad & Tobago's sovereign outlook stabilizes, Heritage's outlook could also be revised to stable. Heritage's ratings could be upgraded if the company increases production and reserve life efficiently, while maintaining strong financial metrics. Specifically, if total debt per proved and developed reserves remains consistently below $6 per barrel and EBITDA/interest expense stays above 5x on a sustained basis. Although improbable at present, an upgrade of Trinidad & Tobago's government ratings would exert upward pressure on Heritage's ratings. Conversely, Heritage's ratings could be downgraded if retained cash flow (funds from operations less dividends)/total debt declines to around 15%, interest coverage falls below 2.5x with limited prospects of recovery, or liquidity deteriorates alongside slow execution of growth plans. In addition, a downgrade could result from reduced likelihood of extraordinary government support or a downgrade of the Government of Trinidad & Tobago's Ba2 rating. National Gas Company of Trinidad and Tobago Given the current negative outlook, an upgrade of NGC's ratings is unlikely in the near term. However, if Trinidad & Tobago's sovereign outlook stabilizes, NGC's outlook could also be revised to stable. NGC's Baseline Credit Assessment (BCA) could be upgraded through increased size and scale, combined with sustainably low leverage and satisfactory returns. Although improbable at present, an upgrade of Trinidad & Tobago's government ratings would exert upward pressure on NGC's ratings. NGC's ratings could be downgraded if margins or cash flow weaken materially, government interference increases through higher taxation or dividends that strain liquidity, or if the company is diverted from core gas pipeline operations into public policy programs, such as extending special credit terms to less profitable state entities. In addition, a downgrade could occur if the likelihood of extraordinary government support decreases or if the Government of Trinidad & Tobago's Ba2 rating is downgraded. Port of Spain Waterfront Development Limited Because debt payments depend on the government's ability and willingness to continue budgeting and appropriating obligations annually, POSWDL's rating is closely linked to the sovereign rating. As a result, an upgrade would occur only if the Government of Trinidad & Tobago's rating is upgraded. The rating could be downgraded if the sovereign rating falls below Ba2 or if the government fails to honor any payment obligations on time. POSWDL's BCA could also be downgraded if the company issues unsecured debt or if changes to the transaction structure weaken enhancements, such as removing cross-default clauses. The principal methodologies used in rating Heritage Petroleum Company Limited were Independent Exploration and Production published in December 2022. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. =============== X X X X X X X X =============== LATIN AMERICA: ECLAC Reaffirms Projected 2.4% GDP Growth -------------------------------------------------------- Dominican Today reports that the Economic Commission for Latin America and the Caribbean (ECLAC) has reaffirmed its forecast of 2.4% regional GDP growth in 2025, slightly above the 2.3% recorded in 2024, according to its report Preliminary Balance of the Economies of Latin America and the Caribbean 2025, presented at its headquarters in Santiago. For 2026, the United Nations agency continues to project 2.3% economic growth, warning that the region remains caught in a low-growth trap amid persistent global uncertainty, according to Dominican Today. ECLAC noted that four consecutive years of growth rates near 2.3% confirm the region's limited capacity for sustained economic expansion, the report notes. Low Growth Slows Poverty Reduction and Job Creation ECLAC Executive Secretary Manuel Salazar-Xirinachs warned that prolonged low growth is having a direct social impact, the report relays. Regional GDP per capita is only slightly higher than a decade ago, while poverty reduction has stalled, job creation remains weak, and progress in reducing labor informality has also slowed, the report discloses. Latin America, considered the most unequal region in the world, rebounded strongly after the pandemic with 6.9% growth in 2021, but momentum faded to 3.7% in 2022 and 2.3% in 2023, highlighting ongoing structural challenges, the report relays. Venezuela Leads Growth; Haiti Lag Behind According to ECLAC's country-by-country outlook for 2025, Venezuela is expected to lead regional growth with 6.5%, followed by Paraguay (5.5%), Argentina (4.3%), and Costa Rica (4%), the report discloses. Mid-range growth is projected for Guatemala (3.9%), Honduras (3.8%), Panama (3.8%), El Salvador (3.5%), Nicaragua (3.5%), Peru (3.2%), and Ecuador (3.2%)%), the report says. Further down the list, but still showing positive performance, are the Dominican Republic (2.9%), Colombia (2.6%), Chile (2.5%), Brazil (2.5%), and Uruguay (2.2%)%), the report notes. The Caribbean region is projected to grow by an average of 1.9% in 2025, excluding Guyana, which is expected to post a remarkable 15.2% expansion driven by its oil boom. Cuba (-1.5%) and Haiti (-2.3%) are the only Caribbean economies forecast to contract next year%), the report adds. ********* 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, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A. Chapman, Editors. Copyright 2025. 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. . * * * End of Transmission * * *