Municipal Bonds Agency revamp could see cut to borrowing costs

摘要

The company overseeing the restructuring of the Municipal Bonds Agency (MBA) believes it can play a role in reducing the cost of borrowing for the sector as a whole. PFM Financial Advisors, a public sector advisory firm, has been drafted in to revise the structure of the MBA in an effort to attract more councils after four years without issuing a bond. MBA chairman, Sir Merrick Cockell, admitted the terms had proved to be a barrier in the past and that the new format meant no council could be singled out to cover the liability in the event another defaulted.