February 23, 2007
South Bond gives priority to Venezuelan small and medium-size Investors

(Bolivarian News Agency (ABN) / Ministry of Communication and Information) - "Starting on February 26, the bond amounting to US$ 1.5 billion, issued by Venezuela and Argentina, can be acquired in public and private banks. Ecuador is interested in taking part in a similar operation in the mid term.

The Venezuelan Minister of Finance, Rodrigo Cabezas, pointed out that efforst are being made so that the second issue of the South Bond, amounting to US $ 1.5 billion, could be as democratic as possible.

'We want to call on the big, medium-size and small investors, savings banks, pensioners to participate,' pointed out Minister Cabezas.

The opening of books will take place from Monday 26 to March 1. According to the schedule, the Venezuelan Finance Minister will formally announce the issue of this bond.

On Monday 26, the Venezuelan minister of Finance will open the books in the Venezuelan Central Bank (BCV, Spanish acronym). In this regard, the Finance ministry will work together with a team of the BCV, whose technological platform will be used in order to make the operation more transparent.

The President of the Bolivarian Republic of Venezuela, Hugo Chávez, informed that Argentina will issue US $ 750 million and Venezuela will issue the same amount.

Cabezas reiterated that the minimal amount of money to acquire these bonds was set at one thousand dollars.

'The Republic gives the guarantee because it is an absolutely transparent operation and because the Republic supports the bond to be issued,' he expressed.

Regarding the visit of the Ecuadorian Minister of Finance, Ricardo Patiño, Venezuelan Finance Minister, Rodrigo Cabezas, stated: 'We talked about the South Bank issue and other financial operations that we could undertake with Ecuador.'

'The Bolivarian Republic of Venezuela is willing to contribute with our Ecuadorian brothers and sisters,' said the Venezuelan Finance minister.

'We have talked about the possibility of working on a US $ 500 million operation in 2007 and 2008. However, the Ecuadorian minister said that they do not need it right now. It is rather seen as a possibility to finance Ecuador's budget and fulfill Ecuador's commitments with foreign creditors,' said Cabezas".