Government has negotiated a $200 million three-year loan facility with Butterfield Bank, Premier and Finance Minister Paula Cox announced this morning.Ms Cox said the cash will cover an expected $145 million new borrowings, with the remaining $55 million refinancing outstanding short-term debt.The borrowings reflect the $147 million Budget deficit for 2011/12 the Premier announced in February.Government’s total debt outstanding was at $1.05 billion in February but is expected to grow to $1.19 billion by the end of this fiscal year.That does not include guarantees such as the $200 million Butterfield Bank preference share issue, which no longer count against Government’s debt ceiling.For the full story, see tomorrow’s Royal Gazette.