John Myers Jr., Business Reporter

( L - R ) Brady, Samuda

Government and First-Caribbean International Bank (FCIB) are in talks over funding of a large-scale plan to redevelop Kingston's downtown industrial belt into a major financial and trade centre, Wednesday Business has learned from top officials.

Industry and Commerce Minister Karl Samuda indicated that talks were progressing, but declined to confirm FCIB as the dealmaker.

"It is a major investment (that will be) funded through the multilaterals, because there are lending institutions that are very keen on it and are capable of packaging investments of that kind," Samuda told Wednesday Business.

Large portfolio

While avoiding naming the house that would structure financing or the plan, Samuda said: "This is a large bank that operates locally, but has a large international portfolio."

However, when pressed about FCIB, he responded: "You seem to have good ears."

FirstCaribbean Jamaica's Milton Brady also refused to confirm or deny being involved in negotiations with Government regarding the financing of this project, saying the bank does not discuss client information with the public.

Still, such deals, he added, were not unusual for FirstCaribbean.

"We are the fastest-growing bank in Jamaica," said Brady. "It would be nothing out of the ordinary."

FCIB is a regional bank with assets of US$12 billion and is operational in 17 markets. The bank is more than 90 per cent owned by CIBC of Canada.

Transform kingston

Samuda said only last week he and the representatives of the bank structuring the deal held discussions on packaging the funding for the development, which he said was "going to transform the city of Kingston" and make it "the most exciting period in which to live and do business in the Corporate Area and environs."

Giving more details of the plan, Samuda said: "We are going to have between Fort Augusta coming back around to the ports one of the most sophisticated and elaborate free-trade areas that will be better than Panama because we are geographically more advantageously sited in terms of access to the great markets of the world."

While this elaborate transformation, for the most part, is not entirely the brainchild of the new Jamaica Labour Party administration, the Industry, Commerce and Investment Minister outlined further that Caymanas had been identified as the relocation site for the Tinson Pen aerodrome to make way for the expansion of the Kingston port.

Samuda declined to specify the indicative cost of the waterfront pro-ject, but said it would be in the "hundreds of millions of US dollars".

It was, he said, part of the programme to create new jobs and spur economic growth.

Samuda also re-emphasised the Bruce Golding administration's commitment to the redevelopment of downtown Kingston, noting that Cabinet had recently taken a decision for all government offices and agencies now located downtown to remain there.

"In fact, some which are uptown may well find that, as we develop downtown, they will be moved back downtown ... to restore Kingston to its former glory," he said.

john.myers@gleanerjm.com