AMERICA/PUERTO RICO - Cuts in health care, education and pensions in order to pay creditors

Friday, 18 March 2016 area crisis poverty politics economy

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San Juan (Agenzia Fides) - Puerto Rico fails to meet foreign debt payments, so the island is facing legal actions by creditors (see Fides 4,5,11/12/2015). Puerto Rico, free state associated with the United States of America, is facing a tough financial crisis which has already led to increased poverty and unemployment. Now it has began cutting services to pay its debt, including funding for health care, for special education, election services and pensions.
The governor of Puerto Rico, Alejandro García Padilla, said that the US Congress should consider legislative action on the crisis of Puerto Rico within March 31.
"Puerto Rico needs to be able to get back on its feet as soon as possible" said Eric LeCompte, executive director of the coalition of non-profit development "Jubilee USA Network". In a congressional hearing, according to the note sent to Fides, LeCompte offered solutions to the crisis. "The lawsuits will only increase the pressure on Puerto Rico and its most vulnerable citizens", he stressed. (CE) (Agenzia Fides 18/03/2016)