Puerto Rico’s Governor Alejandro Garcia Padilla enacted an emergency legislation authorizing the government to cease debt payments, a move seeking to thwart the financial downfall of the Caribbean island.
The US territory’s legislature passed the bill earlier. It allows Garcia Padilla to institute a moratorium on any debt payment he considers unnecessary, which could reorganize the Government Development Bank’s structure.
In a statement, the governor said the measure provides the needed instruments to serve the best interests of Puerto Ricans without any fear of retaliation.
Puerto Rico is contending with a $70 billion debt load, which it cannot settle, not to mention the island’s 45% poverty rate.
The material has been provided by InstaForex Company – www.instaforex.com
Puerto Rico’s Governor Alejandro Garcia Padilla enacted an emergency legislation authorizing the government to cease debt payments, a move seeking to thwart the financial downfall of the Caribbean island.
The US territory’s legislature passed the bill earlier. It allows Garcia Padilla to institute a moratorium on any debt payment he considers unnecessary, which could reorganize the Government Development Bank’s structure.
In a statement, the governor said the measure provides the needed instruments to serve the best interests of Puerto Ricans without any fear of retaliation.
Puerto Rico is contending with a $70 billion debt load, which it cannot settle, not to mention the island’s 45% poverty rate.
The material has been provided by InstaForex Company – www.instaforex.com