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Barbados Clashes With Creditors in Talks to Cut Greece-Like Debt

  • Prime Minister Mottley ‘will not compromise’ on debt targets
  • Creditors warn ‘unilateral’ government offer will be rejected

Barbados’ prime minister is butting heads with creditors over how to cut one of the world’s largest sovereign debt loads, creating a sticking point in the year-long negotiations to restructure the Caribbean nation’s defaulted dollar bonds.

Talks with foreign creditors have dragged on since last June, when Prime Minister Mia Mottley said she would restructure the island’s “unsustainably high” debt burden. While both sides said they are open to continued negotiation, they appear far from consensus.