For Immediate Release
Puerto Rico Government Meets with Debt Holders in New York
WASHINGTON - Puerto Rico's Government Development Bank is meeting with advisers of some of the finance firms that own Puerto Rico's debt. The Bank says it will present a proposed plan to comprehensively resolve the island's debt crisis. A December 1 deadline looms for Puerto Rico to make a $355 million debt payment or enter a partial default. The US territory owes $72 billion in debt.
"It's important to find a solution that can deal with Puerto Rico's total debt," said Eric LeCompte, Executive Director of the religious development coalition Jubilee USA Network. "Puerto Rico's people face a humanitarian crisis. Puerto Rico's government and bond holders have the ability to work out a voluntary solution that protects Puerto Rico's people."
The Puerto Rico public utility company, PREPA, also reaches a deadline to re-negotiate its $8 billion debt. Congress currently considers legislation to grant Puerto Rico's public utilities access to US bankruptcy protection. In October, the Obama Administration proposed a more comprehensive bankruptcy plan that covers all of Puerto Rico's public debt. The Senate Judiciary Committee holds a hearing on December 1 to discuss those proposals.
"Every day that this crisis drags on means more hardship for Puerto Rico's people," said LeCompte.
Read the Puerto Rico Government Development Bank's meeting announcement.
Read a timeline of Puerto Rico's debt crisis.