BUDGET STATEMENT 2014
9
SUSTAINING GROWTH, SECURING PROSPERITY
savings is an ongoing activity. First, we will
take steps as soon as it is appropriate to make
an Initial Public Offer of a newly established
company into which the National Gas Company
of Trinidad and Tobago will transfer the
39.0 percent shareholding in Phoenix Park
Gas Processors Company Limited, which it is
purchasing from ConocoPhillips.
Second, as soon as the technical work on the
restructuring of the Home Mortgage Bank and
the Trinidad and Tobago Mortgage Finance
Company Limited is completed, we will make an
initial public offering for the Trinidad and Tobago
Mortgage Bank.
There are a number of State Enterprises
whose requirements for expanding trade and
for securing specialist skills, technology and
finance can be met by the private sector. Those
enterprises with scale and technology intensive
activities needing capital to expand would be
exposed to strategic investors.
To that end, Government has identified 4 state
enterprises with commercial remits which
operate under market conditions, have become
mature and can now transition to another
stage of development. During the course of the
coming year, we will begin the process of seeking
strategic investors for:
• the Vehicle Maintenance Company of
Trinidad and Tobago;
• the National Helicopter Services Limited;
• the National Flour Mills Limited; and
• the Point Lisas Industrial Port Development
Corporation Limited.
3. PUBLIC OFFERINGS PROGRAMME
Mr. Speaker, while our financial system has
become much more modern and sophisticated,
both in terms of its institutional mix and the
range of available financial institutions, activities
in the domestic capital market component
have been less than encouraging. The number
of listed companies had stagnated at about 34
between the period 2003 and 2008; the number
is now 32.
Mr. Speaker, in January 2013 we commenced
our efforts to galvanise the local stock exchange
with the launch of the CLICO Investment
Fund. New investors were introduced into the
domestic stock market with the opening of
4,500 brokerage accounts.
The Initial Public Offer of First Citizens
Bank Limited in August 2013 continued the
expansionary process. Indeed, the offer has
been an outstanding success with the entire
issue of 19.3 percent of the total issued share
capital of the bank or 48.5 million shares being
3.12 times oversubscribed.
The allocation of 15.0 percent reserved for
individual investors was 6 times oversubscribed.
This allocation has since been increased to
26 percent. The participation of individual
investors continued as 12,000 new brokerage
accounts were opened in 2013, pointing to the
expansion in the domestic capital market.
OTHER PUBLIC OFFERS
Mr. Speaker, our capital market policy for
generating high levels of savings and for
promoting the efficient allocation of those
