BANKING SECTOR BEING RESTRUCTURED.

The Central Bank of Suriname, as part of the ongoing initiative to strengthen and modernize the country's financial sector, on February 18 announced the formation of an independent Merger Committee to oversee the restructuring of the country's State-owned banks:

This constitutes

the second stage in the implementation of the Action Plan for State-owned Banks, which was announced by the Government in August of 1999, after careful study by the Central Bank and with the help of the Interamerican Development Bank and the International Monetary Fund. The Merger Committee, along with the support of the accounting and management consulting firm Deloitte Touche Tohmatsu, will play a pivotal role in implementing the reforms that are planned for the country's financial sector;

The Action Plan was generated in response to the rapid change in the international financial marketplace and is intended to create a more efficient and competitive financial infrastructure in Suriname. It calls for the introduction of new banking laws and regulations, the reorganization of State-owned banks and the divestiture of the Government's ownership stake in the commercial banking sector. Armand Zunder, a former Minister of Planning and Development of Suriname, has been named Chairman of the Merger Committee. The total process will last from two to three years. Details: Central Bank of Suriname, Ronald van Exel (597) 473.741, Kenny Wong A. Tsoi (597) 473.741, Jaime de Pinies (212) 697.9191, Alan Smith (212) 697.9191, Avi Sharon (212) 697.9191.