The Chapala municipal government will apply for a loan from the Banco Nacional de Obras y Servicios Públicos (Banobras) as spelled out in an debt restructuring initiative approved by a majority vote at the October 28 session of the city council.
The credit line for up 97 million pesos will allow the city to refinance the outstanding bank loans incurred by previous administrations and pay off hefty debts owed to the state pension fund, various suppliers, and former city hall employees involved in labor suits.