RBC Royal Bank yesterday announced that it successfully disbursed a $190 million consortium loan to the Bahamas government to assist with Hurricane Dorian recovery and reconstruction efforts on the Abacos and Grand Bahama.
RBC said it provided the lion’s share of the loan, $100 million, with the remaining $90 million provided by four other local banks.
“This marks the second time that a transaction of this nature has been undertaken by RBC. The bank also led a BSD$130 million consortium loan following Hurricane Matthew in 2016,” the bank noted in a statement yesterday.
“This loan is the latest example of how RBC has assisted the government of The Bahamas with a number of key infrastructure and development projects over the years, including the Arawak Cay Port development, the Princess Margaret Hospital Critical Care Block, the Lynden Pindling International Airport development, the Harry C. Moore Library and the Franklyn R. Wilson Graduate School of Business at the University of The Bahamas.”
At the start of the year the government announced it would need to an additional $587.9 million to cover the revenue shortfall and expenditure increase following Hurricane Dorian.
Deputy Prime Minister and Minister of Finance Peter Turnquest said in the statement yesterday that the government appreciates the strong participation of representatives of the domestic banking community in its capital raising initiatives.
“Hurricane Dorian imposed significant fiscal costs on the government as we seek to provide social and economic support to residents of Abaco and Grand Bahama and restore key public infrastructure,” he said.
RBC’s Vice President of Corporate Banking Brian Knowles and Managing Director for RBC in The Bahamas LaSonya Missick heralded the bank’s ability to facilitate the loan.
“In addition to providing the bulk of the financing, RBC was pleased to lead the coordination efforts to help make this loan a reality. Support for rebuilding and recovery is essential to help get life back to normal for thousands of Bahamians and it is something we are proud to be a part of,” Knowles said.
Missick added, “Hurricane Dorian brought unprecedented levels of destruction and damage to communities on the Abacos and on Grand Bahama. As an Abaconian myself, I am proud of RBC’s continued commitment to helping our clients thrive and our communities prosper. I know that this loan will go a long way in rebuilding the lives of our impacted fellow Bahamians.”