Peru - The external public debt

EC-32 This report is not to be published nor may it be quoted as representing the Bank's views. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT THE EXTERNAL PUBLIC DEBT OF PERU March 29. 1954 Econom ic Staff Prepared by: James J. Lynch Reviewed by: Carel deBeaufort Table of Contents Page I. Outstanding External Public Debt 1 II. Status of the Service of Public Issues a) Historical 2 b) Annual service payments 4 III. Pledges of Revenues and Assets 6 Tables: A-1: External Public Debt A-2: Estimated Contractual Interest and Amortization Payments on External Public Debt B-),: Export-Import Bank Loans to Private companies B-2: Estimated Contractual Interest and Amortization Payments on Export-Import Bank Loans to Private Companies THE EXTERNAL PUBLIC DEBT OF PERU I. Outstanding External Public Debt 1. As of November 30, 1953, the external public debt (including undisbursed portions) of Peru plus obligations guaranteed,by the Peruvian Government stood at an estimated total amount of the equivalent of US$112.g million. This was composed as follows: (in thousands of US$ equiv.) Debt outstdg. Nov.30/53 U.S. DOLLAR DEBT Bonds 63,212 Other privately-held debt 19,600 IBRD loans 3,321 U.S. Government loans 5,795 91,92d CANADIAN DOLLAR DEBT (IBRD loans) 478 STERLING DEBT (bonds) 11,724 ARGENTINE PESO DEBT (intergovernment loan) 8,105 Total Debt 112,235 2. In February 1954 the Peruvian Government concluded agreements entitling it to receive the following assistance for currency stabilization: in the form of currency purchases $12.5 million from the International Monetary Fund and an equal amount fromthe U.S. Treasury, and in the form of a loan, $5 million, from the Chase National Bank of New York. If the stabilization measures of the government are successful, only a small part of these loans is expected to be utilized. Whatever part is utilized is to be repaid within three years from the date of drawing. These loans and their eventual service are not included in the statement of the debt and in the estimated contractual payments presented in this report. 3. Of the total debt of $112.2 million, 81.9% or $92 million is payable in U.S. dollars. Dollar bonds totalling $63.2 million form the major part of this group. These bonds are the subject of an adjustment offer which became effective on January 19, 1953. The offer is discussed in paragiaph 10 and footnote 2 of Table A-1. As of November 30, 1953 bonds with a total nominal value of $52.3 million were assented to the plan. The second portion of the dollar obligations is made up of two private loans to the government. One from Banque de Paris et des Pays Bas now outstanding in the amount of $9.6 million finances the construction of an iron and steel plant for the government-owned Santa Corporation, and one from the International Petro- leum Company for the financing of road construction is outstanding in the amount of $10 million. Together they account for 17.5% of the total external debt. Obligations due to the U.S. Government totalling $5.8 million consist chiefly of a Maritime Administration Loan and a Lend-Lease Credit on each of which almost $3 million is outstanding. -2- Peru cbntracted two loans with the IBRD, both during 1952. One is a 15-year 412% loan for $2.5 million equivalent to finance the improvement of the Port of Callao. The other one is a ?-year 4 1/8% loan for $1.3 million equivalent to finance the import of agricultural equipment. At the end of January 1954 $1.4 million remained undisbursed on the two loans. About $480,000 of the agricultural equipment loan was disbursed in Canadian dollars, the equivalent of US$112,h78 has been drawn down against the two loans in Swiss francs. 4. The Sterling debt amounting to 2.S million pounds sterling, equivalent to US$11.7 million, consists of three bond issues. One is the Guano loan of 1922 (secured by the tax on domestic sales of guano), outstanding in the amount of L297,000 (at rate of $2.80 equivalent, US$832,000). This loan is being regularly serviced. The other two issues totalling 2.2 million (at rates of $4.87 and $4.80 equivalent, US$10.9 million) are the subject of settlement negotiations which were recently concluded (see paragraph 13). 5. The remainder of Peru's external debt consists of an Argentine Peso loan granted in 1949,by the Argentinian Instituto de Promocion del Intercambk. The original principal amount of A$80.6 million has been reduced to A$32.5 million, equivalent to US$8.1 million. The loan was originally scheduled to be paid off entirely in 1954. The schedule may have been changed by a new agreement between the two governments, but no information is available on this account. 6. In addition to the amounts mentioned in paragraph 1 'above, the following non-guaranteed obligations 1/ were outstanding on January 31, 1953. Debt outstdg. Nov. 30,1953 (in thousands) Two Export-Import Bank loans (in US$) Disbursed and still outstanding 13,068 Undisbirsed 10,882 23,950 II. Status of the Service of Public Issues a) Historical 7. Apart from one of the sterling issues (the Guano Loan /), service on the whole of Peru's publicly-issued external debt was suspended in 1931 and re- mained in default until 1941. Y See_.Table Am, foetnote T for details. J -Dec.1, 1932 and June 1, 1933, 12% coupons paid at the rate of 5!%, Dec.1, 1933 paid at the rate of 20% of the face value, June and December 1934 and 1935 coupons paid at the rate of 50% of.the.face value, subsequent coupons to Jan.1, 1938 cancelled. Under a debt settlement plan of 1938, June 1 and all suksequent coupons paid at the rate of 4% per annum. Sinking fund payments from June 1932 and there- after were in default but bonds'have been purchased for redemption out of special remittances. Under the 1938 debt adjustment,plan s*nking fund payments were made regularly from accumulative sinking fund,of 2% either by purchase in the market or the drawing at par. The Council of the Corporation of Foreign Bondholders (British) felt that a somewhat higher rate of interest than the 4% arrived At in the 1938 debt adjustment plan was justified, especially in view of the special security and status oT the Guano Loan but recommended the offer to the bondholders as the best obtainable. - 3 - 8. In that year the Peruvian Government unilaterally offered to holders of defaulted dollar and sterling bonds a plan for resuming service. Under this plan there was no reduction in principal, the exchanie being made on a par for par basis. The 6-7i% coupons were reduced, however, to 1-2k%, with sinking fund set at 1/2% of the bonds outstanding. No provision was made.for arrears of interest which at that time amounted to $85 million. The two sterling issues were offered conversions to dollar issues (Series E) at'a rate of $4.03 = l. 9. The U.S. bondholders' representatives rejected the plan on two main groundsi namely, (a) because accruals of past interest were ignored and (b) because the max4mum rate of interest (2j%) was regarded as inadequate. 10. The British bondholders' representatives rejected the plan on the same grounds. But the British registered a further objection. It was their contention that the original contracts covering the bonds evidencing the two sterling issues ih default provided for service payments, at the bondholders' option, in either sterling or U.S. dollars, at a conversion rate of $4.866 = Ll for the sterling tranche of the Peruvian National 6%'s of 1928-61, and of $4.80 = 11 for the City of Lima 5's of 1911-65. The British Treasury refused its consent to the proposal to convert at $4.03 - b1. Subsequently, after the 1949 devaluation of sterling, the Peruvian Government adopted a conversion rate of $2.80 = El. The British bond- holders' representatives repeated their protest, and appealed again to the con- version rates provided for in the original contracts. 11. On November 14, 1951, the Peruvian Government publicly announced the terms of a readjustment plan negotiated-with the Foreign Bondholders Protective Council Inc. of New York. The plan provided for (a) raising the rate of interest from 21% to 3% from January 1, 1953 onwards, (b) conversion of interest arrears into non-interest bearing scrip certificates in the amount of $10 for each $100 of interest arrears, the certificates to be paid off in fifteen equal annual instal- lments beginning 1 January 1953, and (c) annual amortization of principal by the use of funds amounting to the difference between 31% of the face amount of bonds outstanding in 1947 and the amount required to pay 3% interest on outstanding bonds. This plan was approved by the Peruvian Congress in late 1952 and was put into opera- tion on January 19, 1953. By Presidential Decree of February 24, 1954 the terms of the plan were extended to Series "El bonds (dollar bonds issued in exchange for sterling bonds under the 1947 offer). Additional details may be found in Table A-1, footnote 2. 12. In November 1951, negotiations were begun in London with the Corporation of the Council of Foreign Bondholders with a view to reaching a mutually satisfa- ctory settlement of the two sterling issues. The Peruvian Government offered the sterling bondholders the terms agreed with the American Council and also offered to service the loans in dollars but at rates of 46.03 up to September 1949 and $2.80 thereafter, instead of the contractual rates of $4.80 and $4.8665 to the pound. The Council of Foreign Bondholders were prepared to accept the terms of the pro- posed offer provided full effect were given to the dollar option clauses. As no agreement could be reached on this point, these negotiations were adjourned. 13. Renewed negotiations in 1953 between the Council of the Corporation of Foreign Bondholders and the Peruvian Government resulted in an agreement for the settlement of the Peruvian Government's two London bond issues. The terms were similar to the dollar bond settlement discussed in detail above with the following additional factors: (a) the contractual dollar options were honored in respect to the principal, future interest and sinking fund by payment in sterling of 1.l74 on the national bonds and Ll.71 on the City of Lima bonds for each Ll nominal amount, (b) 10% of the arrears of interest up to the 31st of December 1946 will be funded into non-interest bearing sceip which will be repaid at the rate of 100 per 100 scrip in 15 equal annual installments - this has the effect of not recognizing the currency clause on back interest payments, (c) arrears of interest from January 1, 1947 to the 1st of October 1953 will be paid in sterling on the 1st of April 1954 at the same percentage rate as the dollar bonds but calculated at the original sterling face value of the bonds, (d) the maturity of the National loan will be extended to 2007 and of the City of Lima loan to 2008. For complete details of the settlement see Table A-1, page 6, footnote 9. b) Annual service payments 1. The following table shows yearly service charges on the external direct and guaranteed public debt of Peru in each of the years 1954 through 1978. A large total of $15.2 million for 1954 is caused by a scheduled payment of US$8.1 million on the Argentine peso loan and by the assumption that full assents to settlement plans for dollar and sterling bonds will require cash payments during 1954 totalling $1.7 million on account of interest arrears. Since funds for the payment of $1.6 million interest arrears on dollar bonds were already deposited with the Fiscal Agent in accordance with the 1947 readjustment offer, the actual cash outlays will be correspondingly lower. In 1955 service charges reach a more normal level of US$7.3 million. After reaching a peak of US$8.2 million in 1956 payments decline in subsequent years. Complete repayment of the private bank loan causes a sharp drop to USqP5.5 million in 1960. In 1974 payments will amount to US$386,000 continu- ing at that rate through 1978. Under the assumption that bonds and scrip will be retired by the Sinking Funds at an average price of 50, the only debt left out- standing in 1978 would be sterling bonds amounting to the equivalent of about US$5.2 million. For additional details see Table A-2. - 5 - Estimated Contractual Interest and Amortization Payments on the External Public Debt of Peru (in thousands of U.S.$) Total Debt VI Service payments by currency Debt out- Payments during year standing Amorti- Inter, 2/ 6 Argentine Swiss Year Jan.1 zation est, Total U.9.$ Can$ Sterl. pesos francs 1954 109,265 1/ 10,1?8 5,119 15,247 5,827 59 1,6 8,105 3/ 10 1955 104,431 3,919 3,351 7,270 6,608 98 549 15 1956 99,269 5,078 3,133 8,211 7,549 98 549 15 1957 92,799 5,169 2,885 $,054 7,392 98 549 15 1958 86,352 5,311 2,630 ,961 7,279 98 549 15 1959 79,610 5,453 2,374 7,827 7,165 98 549 15 1960 72,646 3,368 2,135 5,503 4,995 498 10 1961 67,689 3,416 1,984 5,400 4,987 403 10 1962 62,604 3,570 1,822 5,392 4,979 403 10 1963 57,276 3,727 1,656 5,383 4,970 403 10 1964 51,701 2,397 1,509 3,906 3,493 403 10 1965 47,357 2,415 1,385 3,800 3,387 403 10 1966 42,890 2,399 1,260 3,659 3,246 403 10 1967 38,330 2,390 1,135 3,5?5 3,117 403 5 1968 33,671 2,172 1,008 3,180 2,777 403 1969 29,329 2,280 881 3,161 2,777 3864 1970 24,757 2,417 744 3,161 2,777 384 1971 19,924 2,564 597 3,161 2,777 384 1972 14,796 2,715 446 3,161 2j777 384 1973 9,366 1,315 282 1,597 1,213 384 1974 6,737 182 202 384 384 1975 6,364 191 193 384 384 1976 5,992 205 179 384 384 1977 5,583 216 168 384 384 1978 5,152 230 154 384 384 11 Amount outstanding shown for 1954 is as of November 30, 1953. 2 Does not include the Lend-Lease Credit for which no repayment schedule is available. The loan was originally scheduled to be paid off entirely in 1954. The schedule may have been changed by a new agreement between the two governments, but no information is available on this account. - 6 - 15. Certain known private debts, all loans from the Export-Import Bank, were authorized in the amount of $2V million, (of which $13.1 million has been utilized as of November 30, 1953). Payments on these debts will amount to $1.6 million in 195h; they rise to a peak of $3.4 million in 1956. Thereafter payments will de- cline gradually to $2.2 million in 1965 with final payments of $1 million taking place in 1966. See B-1 and B-2 for additional details. III. Pledges of Revenuesand Assets 16. All of the public external bonds now outstanding were secured by pledges of governmental revenues or assets. The Bank has no complete details of the pro- visionsoof all the original contracts with regard to these pledges. The Debt Adjustment Plan of 1947 includes a reinstatement clause in the following terms: S....... in case of default in payment of principal, interest or sinking fund, all obligations of the Republic under the bond contracts relating to the old bonds shall be restored." The Debt Adjustment Plan offered on January 19, 1953, contained the following reinstatement clause: I...... in case default shall be made in the pay- ment of principal, interest or sinking fund on the New Bonds, each such New Bond s]all thereafter be entitled to the payment of service, to the enjoyment of securits and to the benefit of all of the other provisions of the original bond contracts relating to the bond or bonds in exchange for which the New Bond has been issued except that the Republic shall be the principal obligor on the City of Lima thirty year 62% Secured Sinking Fund Gold Bonds." Table A-1: PERU - EXTERNAL PUBLIC DEBT (Cont.) Pape 6 8} This loan is secured by a tax on guano and by a deposit with the bankersi agents of more than 50% of the.shares of the company through which guano is sold. These bonds originally paid interest at 7 1/2% and had a cumulative sinking fund of 1 1/2% p.a. In 1938 interest was reduced to W1 and the Government greed to pay Z 52,170 p.a. to cover interest and sinking fund. j/ These bonds were serviced regularly until 1931 when Peru suspended payments on external debt. In 1947 the holders of these bonds were offered Series E dollar bonds (see footnote 2). This offer was not approved by the Council of Foreign Bondholders because it did not recognize the dollar clauses (see footnote 10 and 11). Therefore, on December 17, 1953 Peru offered the following settlement: Peruvian Iational Loan Second Series 6%, 1928 and City of Lima 5%, 1911 1. The contractual dollar option will be honored in respect of principal, future interest and sinking fund instalments by payments in sterling of Z 1.74 for each Z 1 nominal amount for the National Loan and P 1.71 for Z 1 for the City of Lima. 2. Interest will be paid at 3% p,a. on the new par value beginning April 1, 1954. 3. A semi-annual cumulative sinking fund of 1/2% p.a. for purchase of bonds in the market or redemption at the new par. 4. Maturity to be extended to 2007 on the National Loan and to 200a on the City of Lima. 5. Interest arrears up .to Dec. 31, 1946 to be calculated on the original face value and funded at 10% into non-interest bearing scrip certificates which will be retired in 15 equal annual instalments beginning Oct. 1, 1954, 6. Arrears of interest from Jan. 1, 1947 to Oct. 1, 1953 will be satisfied by a sterling cash payment on April 1, 1954 representing interest at 1$ p.a. for 1947-48, 1 1/2% p.a. for 1949-50, 2% for 1951-52 and at 3% p.a. for the first 9 months of 1953 on the National Loan and for the first 6 months of 1953 on the CRty of Lima. These arrears are to be calculated on the original face value. .10o Payable in pounds sterling or U.S. dollars at Z 1 = $4.8665. 11] Payable in pounds sterling or U.S. dollars at Z 1 = $4.80 12J Converted to U.S. dllars at the contractual rate of $ 1 = Arg.$ 4,01. IBRD - STATISTICS SECTION March 2, 1954 Table A-1: PERU - EXTERNAL PUBLIC DEBT (Cont.) Pare 5 }/ The status of thisloan was as follows; Nov. 30, 1953 In currency In U.S. dollar of payment equivalent Total 1,298,900.50 a/ Disbursed and still outstanding 1,245,844.12 U.S. dollars - held by IBRD $675,172.32 675,172.32 sold with IBRD -uaran- tee $ 93,250.00 93,250.00 Canadian dollars Can$465,772.82 477,421.80 Swiss francs - Undisbursed 53,056.38 Jan. 31, 1954 In currency In U.S,. dollar of payment equivalent Total 1,301,234.36 aj Disbursed and still outstanding 1,292,966.52 UIS. dollars - held by IBED $620,172,32 -S20,172.32 sold with IBRD guarantee $173,250.00 173,250.00 Canadian dollars Can$465,772.82 479,732.03 Swiss francs Sw fr 124,989.81 26,812.17 Undisbursed 1,267.84 a/ This amount differs from the oriainal amount of the loan because the Canadian dollars 'and Swiss francs are converted at the current rate. 6/ Guaranteed by the Republic of Peru. 2] In addition the Export-Import Bank has made the following loans to private companies in Peru: November 30, 1954 Disbursed and still outstanding Undisbursed Total Total $13t067,653.88 $10,882,346,12 $2),950,000.0o Cerro de Pasco Corp. $11,500,000.00 $ 91300,000,00 $20,800,000.00 Fermin Malago S,e Hijos $ 567,653486 $ 8Z,346.12 $ 650,000.oo iiarcona Mining Co. $ 1,000,000.00 $ 1,500,000.00 i$ 2,500,ooo.0o Table A-1: PERU - EXTENTAL PUBLIC DEBT (Cont.) Page 4 2/ (Continued) also be made for the Series E dollar bonds. The bonds will have a sinking fund of $402,708.50 semi-annually plus an amount equal to six monthsl interest at 3 p.a. on new bonds retired through the sinkinz fund and on bonds issued under the 1947 offer which are retired after July 1, 1952. Semi-annual service will amount to $Y388,598.50. Depositors of bonds will also receive non-interest bearing scrip certificates in the following amounts per $1,000 bond: Peru 7s/1959 $ 103.83 Peru 2 1/2s/1997 Series A $ 103.83 Peru 6 /1960 $ 90.50 Peru 2 1P/1997 Series B $ 90.50 Peru 6s/1961 $ 91.50 Peru 2 1/2s/1997 Series 0 $ 91.50 Callao 7 1/2e/1944 $ 113,00 Peru 2 1/2s/1997 Series D $ 113.00 Lima 6 1/2s/1958 $ 135.42 The scrip certificates will be payable in 15 equal instalments on July 1 of each year from 1953 through 196. In addition, holders of the four issues which were exchangeable into Series A-r bonds under the 1947 plan will re- ceive a cash payment of $90, an amount identical to interest paid for the period 1947-1952 to holders whb accepted the 1947 offer. Holders of the Lima 6 1/21/ bonds will not receive this cash payment as this issue was not included under the 1947 plan4 / Estimated to be outstanding in this amount as of this date, An amount outstanding as of a recent date is not readily available. / The status of this loan was as follows; Nov. 30, 1953 Jan; 31, 1954 In currency In Ue$.dollar In currency In U.S.dollar of payment equifalent of payment equivalent Total 2.5001000,00 2,432,234.91 aj Disbursed and still Aitstanding 1;OS34574.8i 1,129,207.01 U.S.dollars - held by IBRD $912,574.81 912s574.81 $760,541.21 760,541.21 a/ sold with IB:RD guarantee $141,000.00 141,000400 $273,000-00 273,000.00 Swiss francs - - Sw fr4lO,'283450 95,665.80 Undisbursed 1,446,425.19 1,303,027.90 aJ A payment of principal of $68,000 was made to the IBRD on Jan. 1, 1954. Table A-1: PERU - EXTERNAL PTBLIC DEBT (Cont.) Page 3 Exchange rates: Except where otherwise indicated -.9 1 = $2.80; Can$ 1 = $1,02501 for Nov. 30, 1953 and Can$ 1 = $1.02997 for Jan. 31, 1954; Sw fr 1 = $0,23317. 1/ Does not include $30,000,000 of assistance'for currency stabilization which Peru is entitled to receive as follows: $12,500,000 from the International Monetary Fund $12,500,000 from the U.S. Treasury $ 5,000,000 from the Chase National Bank of N.Y. The first two will be in the form of currency purchases and the third in the form of a loan. The Chase National Bank loan, if drawn dowrii will require interest at 3 3/4% and commitment fee at 3/4 p.a. and will be repayable over a period of three years from each drawine. The service of this loan would be approximately $1.7 - 1.9 million p.a. 2/ The dollar bonds of Peru were fully serviced until 1931 when the Republic suspended service on external debt. Under offers in 1937 and 1938 partial payments were made on certain 1931 and 1932 coupons but no payments were made thereafter until the debt adjustment plan of 1947 went into operation. Under an exchange offer of June 26, 1947 Series A-D bonds were issued in exchange at par for Republic 6f Peru 7%, 1927-1959, Peruvian Yational Loan First Series 6 , 1927-1960, the U.S. dollar tranche of the Peruvian National Loan Second Series 6p, 1928-1961, and Province of Callao 7 1/2%, 1927- 1944 dollar bonds. The offer provided that interest arrears up to December 31, 1946 were to be cancelled, interest would be paid on the new bonds at 14 for 1947-1948, at 1 1/2o for 1949 and 1950, at 2' for 1951 and 1952 and 2 1/2% thereafter. Accumulative sinking fund of $382,307 p.a. was provided for as long as the exchange offer was open and thereafter there was speci- fied a cumulative sinking fund of 1/2% of the total amount of new bonds issued. Under an offer of Dec. 31, 1947, Series E bonds were issued in exchange for the sterling tranche of the Peruvian National Loan Second Series 6%, 1928-1961 and the City of Lima 5l, 1911-1965. Prior to December 31, 1949 exchange was made at $5 principal amount of Series ' bonds for Z 1 sterling of old bonds (plus a cash adjustment of $0.03 per 2 1 sterling). Since that date the offer was extended at the rate of $2.80 of Series E bonds for 4 1 sterling of old bonds. Interest rate provisions on Series E bonds are the same as for Series A-D bonds, A cumulative sinking fund of $48,842 p.a. was provided for the years during which the exchange offer was open and thereafter, there was provided a cumulative sinking fund of 1/2% p.a. of the total amount of Series E bonds issued. Neither of these offers -was recommended by the respective bondholderst councils. As a result on January 19, 1953 the Republic offered new bonds carrying interest at the rate of 3% p.a. from Jan, 1, 1953 in exchange for all of its outstandinp bonds (see above) including the Series A-D bonds and the bonds of the City of Lima on a par for par basis. This offer will Table A-1: ?ZRU - XTETPAL PUBLIC DEBT (Cont.) (In thousands) Page 2 Debt outstanding Nov. 30, 1953 Identification In currency In U. S. dollars of payment equivalent TOTAL EXTERNAL PUBLIC DLBT (Cont.) U.S. DOLLAR DEBT (Cont.) U.S. Government loans (Cont.) $4,100,000 Maritime Administration 3 1/2%, various maturities A/ $ 2,700 2,700 Lend-lease credit $ 2,970 $ 2,970 CANADIAN DOLLAR DEBT can$ 466 478 Loan from international organizations IBRD loan Canadian dollar portion of $1,300,000 loan to Republic of Peru 4 1/8%, 1952-1959 (agricultural loan) Can$ 466 .j 478 STERLING DEBT . 2,540 11,724 Bonds e 2,540 11,724 Z 1,250,000 Republic of Peru 4% (formerly 7 1/2%),1922 Guano Loan 8j . . ......3 Bonds eligible for 1953 plan 2/ J 2,000,000 Reoublic of Peru National Loan Ext. S.F. Gold 2nd Series 6%, 1928-1961 £ 1,833 10/ 8,929 E 600,000 City of Lima 5% Sterling Loan 1911-1965 £ 410 11/ 1,963 ARGLNTINE PESO DEBT Are$32,502 8,105 Argentine Government loan Arg$ 80,601,000 Instituto de Promocion del Intercambio Argentino loan, no interest, 1949-1954 Arg$32,502 121 8,105 SWISS FRANC DEBT Loans from international organization Swiss franc portion of $2,500,000 loan to Republic of Peru 4 1/2%, 1952-1967 (Port of Callao loan) Swiss franc portion of $1,300,000 loan to Republic of Peru 4 1/8%, 1952-1957 (agricultural loan) 3-. Table A-1: PERU - aTERTAL PLMLIC DEBT (In thousands) Page 1 Debt outstandine Nov.30, 1953 Identification In currency In U, S. dollars of ayment equivalent TOTAL EXTERNA.L PUBLIC DEBT 112,23 U.S. DOLIAR DEBT $ 991,928 Bonds / $ 63,212 63,212 $65,726,000 Republic of Peru S.F,3%, 1952-1997 $ 52,327 52,327 Unassented bonds $476,400 Republic of Peru Series E, 2 1/2ep 1947-1997 $ 476 476 $62,535,500 Republic of Peru Series A-D 2 1/2%, 1947-1997 $ 2,372 2,372 $15,000,000 Republic of Peru Sec. S.F. Gold 7%, 1927?.1959 $ 909 909 $50,000,000 Peruvian National Loan Ext. S.F. Gold 1st Series 60, 1927-1960 $ 4,233 4,233 $25,000,000 Peruvian National Loan Ext. S.F. Gold 2nd Series 6%, 1928-1961 $ 1,947 1,947 $1,500,000 province of Callao Guar. Sec. S.F, Gold 7 1/2%, 1927-1944 $ 99 99 $3,000,000 City of Lima Ext. Sec. S.F. 6 1/2%, 1928-1958 $ 849 849 Other privately-held debt. $19,600 19,600 $12,000,000 Corp. Peruana del Santa loan from Banque de Paris et des Pays Bas 5 1/4-6%, 1951-1959 (Chimbote steel loan) $ 9,600 31 9,600 $10,000,000 Rep. of Peru to National Petro- leum Co, 4 1/8%, 1953-1963 $ 10,000 J] 10,000 Loans from international orpanizations $ 3,321 3,321 IBRD loans U.S. dollar portion of $2,500,000 loan to Republic of Peru 4 1/2%, 1952-1967 (Port of Callao loan) $ 2,500 9] 2,500 U.S. dollar portion of 41,300,000 loan to Republic of Peru 4 1/8, 1952-1957 (agricultural loan) $ $21 _5j 821 U.S, Government loans 5,795 5,795 $444,158.84 Export-Import Bank loan to Corp. Peruana del Santa 4/o, 1945-1956 6 $ 125 2] 125 Table A-2 . PERU - ESTIMATED CONTRACTUAL INTEREST AND AMORTIZATION PAYMENTS ON EXTERN1AL PUBLIC DEBT (In thousands of U.S. dollar equivalent) Page 1 Total debt? Service payments by currency Year Debt n Payments during year U.S. Canadian Pounds Argentine Swiss Jan. 1 zation. terest Total dollarsgj dollars sterling pesos francs 1954 109,2651I 10,128 5,119 15,247 5,827 59 1,246 8,105 10 1955 104,431 3,919 3,351 7,270 6,608 98 549 15 3.956 99,269 5,078 3,133 8,211 7,549 98 549 15 1957 92,799 5,169 2,885 8,054 7,392 98 549 15 1958 *86,352 5,311 2,630 7,941 7,279 98 549 15 1959 79,610 5,453 2,374 7,827 7,165 98 549 15 1960 72,646 3,368 2,135 5,503 4,995 498 10 1961 67,689 3,416 1,984 5,400 4,987 403 10 1962 62,604 3,570 1,822 5,392 4,979 403 10 1963 57,276 3,727 1,656 5,383 4,970 403 10 1964 51,701 2,397 1,509 3,906 3,493 403 10 1965 47,357 2,415 1,385 3,800 3,387 403 10 1966 42,890 2,399 1,260 3,659 3,246 403 10 1967 38,330 2,390 1,135, 3,525 3,117 403 5 1968 33,671 2,172 1,008 3,180 2,777 403 1969 29,329 2,280 881 3,161 2,777 384 1970 24,757 2,417 744 3,161 2,777 384 1971 19,924 2,564 597 3,161 2,777 384 1972 14,796 2,715 446 3,161 2t777 384 1973 9,366 1,315 282 1,597 1,213 384 1974 6,737 182 202 384 384 1975 6,364 191 193 384 384 1976 5,992 205 179 384 384 1977 5,583 216 168 384 384 1978 5,152 230 154 384 384 W See footnotes at end of table Table A-23 PERU - ESTIMATED CONTRACTUAL INTEREST AND AMORTIZATION PAYMENTS ON EXTERNAL PUBLIC DEBT - Continued (In thousands of U.S. dollar equivalent) Page 2 U.S. dollar debt Total Bonds j W} Other privately-held debt Year Debt out- Payments during year Debt ut- Payments during year Debt out- Payments during year standing Amorti- In- standing Amorti- In- standing Amorti- In- Jan. 1 zation terest Total Jan. 1 zation terest Total Jan. 1 zation terest Total 1954 88,958 17 1,789 4,038 5,827 63,212 1/ 1,315 2,855 5/4,170 -/ 19,600 Aj - 941 941 1955 91,862 3,633 2,975 6,608 66,711 1,165 1,842 3,007 19,600 1,920 915 2,835 1956 87,o63 4,780 2,769 7,549 64,380 1,223 1,784 3,007 17,680 2,998 788 3,786 1957 81,059 4,857 2*535 7,392 61,933 1,284 1,723 3,007 14,682 3,042 638 3,680 1958 74,919 4,983 2,296 7,279 59,365 1,349 1,658 3,007 11,640 3,090 485 3,575 1959 68,588 5,113 2,o52 7,165 56,666 1,418 1,589 3,007 8,550 3,139 330 3,469 1960 62,053 3,168 1,827 4,995 53,829 1,491 1,516 3,oo7 5,411 1,271 199 1,470 1961 57,394 3,305 1,682 4,987 50,847 1,568 1,439 3,oo7 4,140 1,323 147 1,470 1962 52,520 3,453 14526 4,979 47,710 1,650 1,357 3,oo7 .4817 -1,380 90 1,470 1963 47,416 3,604 1,366 4,970 44,409 1,736 1,271 3,007 1,437 1,437 33 1,470 1964 42,074 2,269 14224 3,493 40,937 .1,828 1,179 3,007 1965 37,977 2,277 1,110 3,387 37,280 1,925 1,082 3,007 1966 33,773 2,256 990 3,246 33,-429 2,029 978 3,9007 1967 29,488 2,245 872 3,117 29,371 2,128 869 2,997 1968 25,114 2,024 753 2,777 25,114 2,024 753 2,-777 1969 21,066 29145 632 2,777 21,066 2,145 632 2,777 1970 16,766 2,274 503 2,777 16,766 2,274 503 2,777 1971 12,218 2,410 367 2,777 12,218 2,410 367 2,777 1972 7,398 2,555 222 2,777 7,398 2,555 222 2,777 1973 2,288 1,144 69 1r13 2,288 1,144 69 1,213 1974 1975 1976 1977 1978 See footnotes at end of table, Table A-2: PERU - ESTIMATED CONTRACTUAL INTEREST AND AMORTIZATION PAYMENTS ON EXTERNAL PUBLIC DEBT - Continued (In thousands of U.S. dollar equivalent) Page 3 U.S. dollar debt Canadian dollar debt IBRD loans 61 U.S. Government loans /(IBD) ./ Year Debt out- Payments during year Debt out- Payments during year Debt out- Payments d-oring Year standing_ Amorti- In- standing Amorti- In- standing Amorti- In- Jan. 1 zation terest Total Jan 1 zation terest Total Jan. 1. zation terest Total 1954 3,321 1 199 142 341 2,825 1/ 275 100 375 478 1] 39 20 59 1955 3,oo1 273 129 402 2,550 275 89 364 441 81 17 98 1956 2,728 285 117 402 2,275 274 80 354 359 85 13 98 1957 2,443 298 104 402 2,001 233 70 303 275 88 10 98 1958 2,146 311 91 402 1,768 233 62 295 187 92 6 98 1959 1,835 323 79 402 1,534 233 54 287 96 96 2 98 1960 1*512 173 66 239 1,301 233 46 279 1961 1,339 181 58 239 1,068 233 38 271 1962 1,158 190 50 240 835 233 29 262 1963 968 198 41 239 602 233 21 254 1964 769 208 32 240 368 233 13 246 1965 562 217 23 240 135 135 5 140 1966 344 227 12 239 1967 117 117 3 120 1968 1969 197G 1971 1972 1973 1974 1975 1976 1977 1978 See footnotes at end of tableT Table A-2: PERU - ESTIMATED CONTRACTUAL INTEREST AID AMORTIZATION PAYMENTS ON EXTRNAL PUBLIC DEBT - Continued (In thousands of U.S. dollar equivalent) Page 4 Sterlinp debt Total Guano loan -Bonds under 1953 Plan / Year Debt out- Payments during year Debt out- Payments during year Debt out- Payments during year standing Amorti- In- Total standing Amorti- In- Total standing Amorti- In- Total Jan. 1 zation terest Jan. 1 zation terest Jan. 1 zation terest 1954 11,724 1/ 188 1,058 1,246 832 113 33 146 10,892 1/ 75 1,025W-/ 1,100 1955 12,013 195 354 549 718 117 29 146 11,295 78 325 403 1956 -11,742 203 346 549 601 122 24 146 11,141 81 322 403 1957 11,371 214 335 549 479 127 19 146 l0t982 87 316 403 1958 11,163 224 325 549 352 132 14 146 10,811 92 311 403 1959 10,857 232 317 549 228 137 9 146 10,629 95 308 403 1960 10,533 193 305 498 92 92 3 95 10,441 101 302 403 1961 10,242 104 299 403 10,242 104 299 403 1962 10,038 109 294 403 10,038 109 294 403 1963 9,822 115 288 403 9,822 115 288 403 1964 9,596 120 283 403 9,596 120 283 403 1965 9358 129 274 403 9,358 129 274 403 1966 9,103 134 269 403 9,103 134 269 403 1967 8,837 14 263 403 8,837 140 263 403 1968 8,557 148 255 403 8,557 148 255 403 1969 8,260 135 249 384 8,260 135 249 384 1970 7,991 143 241 384 7,991 143 241 384 1971 7,706 154 230 384 7,706 154 230 384 1972 7398 160 224 384 7098 160 224 384 1973 7,078 171 213 384 7,078 171 213 384 1974 6,737 182 202 384 6,737 182 202 384 1975 6,364 191 193 384 6,364 191 193 384 1976 5,992 205 179 384 5,992 205 179 384 1977 5,583 216 168 384 5,583 216 168 384 1978 5,152 230 154 384 5,152 230 154 384 See footnotes at end of table. Table A-2: PERU - ESTIMATED CONTRACTUAL INTEREST AID AMORTIZATION PAYMENTS ON EXTERNAL PUBLIC DEBT - Continued (In thousands of U.S. dollar equivalent) Pane ( Arventine neso debt Swiss franc debt (IBRD) V Year Debt out- Payments during year Debt out- Payments during year standing Amorti- In- standing Amorti- In- T Jan. 1 zation terest Ja.1 zation terest 1954 8,105 jf 8,105 - 8,105 - ij 7 3 10 1955 115 10 5 15 1956 105 10 5 15 1957 94 10 5 15 1958 83 12 3 15 1959 72 12 3 15 1960 60 7 3 10 1961 53 7 3 10 1962 46 8 2 10 1963 38 8 2 10 1964 31 8 2 10 1965 22 9 1 10 1966 14 9 1 10 1967 5 5 2/ 5 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 See footnotes on Page 6. Table A.2: PERU - ESTIMATED CONTRACTUAL INTEREST AND AMORTIZATION PAYMENTS ON EXTERNAL PUBLIC DEBT - Continued Page 6 l/ Amount outstanding shown for 1954 is as of November 30, 1953. 2 D foes not include the Lend-lease credit for which no repayment schedule is available. 3/ It was assumed that bonds would be retired by purchases in the open market at an average price of 50.. A/ Includes scrip certificates to be issued for interest arrears through 1947. We have estimated that $6,129,629 in scrip will be issued. Since the amount of scrip issued in 1953 is not readily available, it was assumed that no scrip was retired in 1953 and that the 1953 payment for retirement of scrip, will be made in 1954. It was estimated that this payment will amount to $204,o00. - j . Includes $959,000 for interest arrears 1947-1953 due on unassented bonds. / This schedule is based on the status of the loan as of January 31, 1954. 2Z Includes scrip certificates to be issued for interest arrears through 1947. We have estimated that 6197,000 ($551,600) will be issued. 8/ Includes E249,000 ($697,200) for interest arrears 1947-1953 due on unassented bonds. j/ Less than $500. IBRD - Statistics Section March 1, 1954 Table B-1: PERU - EXPORT-IMPORT BANK LOANS TO PRIVATE COMPANIES (In thousands) Debt outstanding I November 30., 1953 Identification In currency U.S. dollars of payment equivalent TOTAL $ 23,950 23,950 U.S. DOLLAR DEBT $20,800,000 Cerro de Pasco Corp, 4 1/2%, 1950-1966 $ 20,80 20,800 $650,000 Fermin Malaga S.e. Hijos 5%, 1951-1956 $ 6502/ 650 $2,500,000 Marcona Lining Company 6%, 1953-1956 & 2,500 3/ 2,500 Of this amount $9,300,000 was undisbursed. 2 Of this amount *82,346.12 was undisbursed. Of this amount $1,500,000 was undisbursed. IBRD - Statistics Section March 4, 1954 Tabl B-2: PERU . ESTIMATED CONTRACTUAL INTEREST AND AMORTIZATION PAYMENTS ON EXPORT-aMPORT BANK LOANS TO PRIVATE C011PANIES (In thousands of U.S. dollars) Total Year Debt outstanding Payments during year January 1 knortization Interest Total 1954 23,950 500 1,119 1,619 1955 23,45o 1,325 1,074 2,399 1956 22,125 2,365 997 3,362 1957 19,760 2,080 866 2,946 1958 17,680 2,080 772 2,852 1959 15,600 2,080 679 2,759 1960 13,520 2,080 593 2,673 1961 11.,40 2,080 491 2,571 1962 9,360 2,080 398 2,478 1963 7,280 2,080 304 2,384 1964 5,200 2,080 211 2,291 1965 3,120 2,080 117 2,197 1966 1,0L0 1,0O0 23 1,063 IBRD - Statistics Section March 4, 1954