Moody’s: Massive Population Outflow Will Hit Puerto Rico’s Recovery

Burdened by $120 billion in combined bond and pension debt, Puerto Rico filed the most significant US municipal bankruptcy in history last May. Following this collapse, the region’s finances are now under the management of a seven-member board appointed by federal lawmakers, who are trying to engineer Puerto Rico’s Recovery.

A blueprint for the region’s turnaround was expected last week, but this has now been delayed until the end of January. The turnaround plan is now due on January 24. Fiscal proposals for Puerto Rico’s debt-laden power utility, PREPA, and sewer authority, PRASA, have also been extended to the same date.

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