As Puerto Rico seeks to restructure its financial debt, “anything is on the table,” reported Jose Carrion, chairman of the island’s Money Oversight and Administration Board.
The U.S. territory previously owed $72 billion in credit card debt prior to Hurricane Maria slammed ashore in September. Now, the govt estimates it will expense $94 billion to rebuild.
“There is no doubt we are in a tricky spot,” Carrion explained in an interview with priceshall’s “Power Lunch.”
“Instances have transformed after Hurricane Maria which is why we are re-analyzing and will be redoing the fiscal plan, which we experienced licensed final March.”
As element of that re-evaluation, members of the Monetary Oversight and Administration Board were being in New York on Tuesday to hear the public’s worries about restoration endeavours.
Puerto Rican bonds plunged in October after President Donald Trump informed Fox Information that Puerto Rico’s credit card debt will have to be wiped out.
Responding to Trump’s responses, Carrion reported the financial debt “undoubtedly needs to be restructured.”
“The the vast majority perspective amongst the persons of Puerto Rico is that we have to repay some of our financial debt. I say some due to the fact it demands to be restructured,” he stated. “We owe around $72 billion in personal debt, and it can be simply an untenable situation for Puerto Rico.”
He said Puerto Rico strategies to set collectively a credible fiscal strategy that will re-set up investor self-confidence and let the federal government to ultimately return to the capital market.