The Fiji Sugar Corporation (FSC) has restructured its debt following the failure to repay bonds of $15 million and $10 million to the Fiji National Provident Fund, which were due on September 30, 2019, and November 4, 2019, respectively. This information was presented in the FSC’s 2023 Annual Report, which was submitted to Parliament in October.
To address its financial needs, the FSC secured a $50 million loan from the Fiji National Provident Fund, backed by a government guarantee. This loan has a term of 15 years and will commence repayments in January 2025, consisting of two equal installments of $1.1 million per year.
The Annual Report also detailed that total borrowings from the government have reached $173.8 million, attracting an interest rate of five percent per annum. As part of a Loan Repayment Agreement established on July 15, 2015, this amount was restructured into a long-term, unsecured optionally convertible loan. The Ministry of Economy retains the discretion to convert all or part of the loan into fully paid shares in the Fiji Sugar Corporation Limited.