The new government in Nauru says it's signed a refinancing deal for its trust debts,
The chairman of Nauru Phosphate Royalties Trust is confident that it'll be acceptable to the receivers.
Fabian Ribauw says the cabinet agreed to a new refinancing deal yesterday, and the proposal will be put to the receivers for the General Electric Capital Corporation, this week.
The trust owes General Electric Capital, US$165 million, and one asset, the Mercure hotel in Sydney, was sold by the receivers to recover some of the debt.
Mr Ribauw would'nt give details of who the financiers are or what terms and conditions have been imposed, saying that a confidentiality clause was part of the agreement.
But, he says the deal will definitely cover all of the trust's debts.
"It is more than sufficient. That is why we are confident that GE will support the proposal that we will be putting forward to them. And, we hope to do that some time this week."
Mr Ribauw says he's also confident that the eviction of tenants in Nauru house can be halted.
He says the president, Ludwig Scotty, asked GE to suspend the sale of assets while it presented the new deal - but there's been no agreement on that.
The deal is expected to be tabled in the house this week.