Puerto Rico Bankrupt
World Economy

Puerto Rico Bankrupt

Puerto Rico’s economy is collapsing, US Treasury Secretary Jacob Lew said as he announced a visit to the US territory two weeks after its debt default, AFP reported. In a letter to Congress, Lew urged passage of bankruptcy legislation for the Caribbean island weighed down by $70 billion in debt and the effects of a decade of recession. “Although there are many ways this crisis could escalate further, it is clear that Puerto Rico is already in the midst of an economic collapse,” Lew said in the letter, addressed to Speaker of the House of Representatives Paul Ryan. “In order to assist the 3.5 million Americans living in Puerto Rico, Congress must pass legislation for the president to sign into law before the end of March.” He noted that Puerto Rico’s government is now shifting funds away from one creditor to pay another, and has stopped payments altogether on some of its bonds. After it missed $37 million in payments early this month, and pulled another $163 million from escrow for some bonds to service government debt, creditors have filed suit, complicating the situation.

Short URL : http://goo.gl/2g5KSO
  1. http://goo.gl/iej9wP
  • http://goo.gl/IfOQ9M
  • http://goo.gl/QWisUh
  • http://goo.gl/v0eCaz
  • http://goo.gl/dFSWzc

You can also read ...

 An overwhelming 86% of Germans believe their economy is doing well, up from 75% last year.
Conditions for investors around the world are getting worse....
South Korea’s jobless rate has risen steadily in recent years.
South Korea’s unemployment rate has risen steadily in the past...
Greece Remains Under Supervision
Greece will remain under supervision after it exits its...
Britons have been borrowing heavily through personal loans and credit cards over the last 18 months.
Consumer borrowing grew at almost 10% in August, official...
Tax Reform  Can Boost  US Economy
The American electorate is more than ready for Washington...
China Rust Belt Opens Doors
Trucks carrying hi-tech car components rumble in and out the...
Pak GDP Growth Predicted at 10% Over 10 Years
Researchers from Harvard University’s center for international...
Jordan Economy Continues to Grow
While the public sector continues to play a prominent role in...