In a town hall session, the aldermen and the president of the City Council of Guadalajara they approved turning over to the Finance Commission the restructuring of the municipality’s debt for its analysis and study. This would save more than 100 million pesos a year.
The councilor and promoter of the initiative, Tonatiuh Bravo, pointed out that it seeks reduce the monthly interest paid by the municipality and thus have more resources for investment, improvement in public services and urban equipment.
Currently, the municipality has two bank loans for which pays approximately 20 million pesos monthly.
What is proposed is convene a new public tender, analyze different bank proposals and refinance the debt with a lower rate, which would allow the municipality to save approximately more than 120 million pesos per year.
With this, Bravo explained, it is proposed to authorize the Municipal President, together with the Municipal Trustee, the Secretary of the City Council and the Municipal Treasurer, as well as the Municipal Finance and Heritage Commission to start work for the restructuring or refinancing of the public debt from Guadalajara.
“This is so that the banks can participate in the proposals, that the Finance Commission approves the guidelines and methodology for the minimum rules, that once the offers from the credit institutions are received, the Commission makes the proposals for an opinion so that this City Council and its plenary may be in a position to approve the best and authorize the steps to register the initiative in Congress so that it is authorized,” he said.