Puerto Rico’s governor has a message for Washington D.C: change the law, we want the right to declare bankruptcy.
On the brink of default, Governor Alejandro García Padilla demanded that the U.S. government allow Puerto Rico, a commonwealth, access to chapter 9 bankruptcy. That’s what Detroit used when it went belly up. At the moment, only cities, towns and other municipalities are able to declare bankruptcy.
“We cannot allow them to force us to choose between paying for our police, our teachers, our nurses, and paying our debt,” Padilla said in a televised announcement Monday night in Spanish. “We have to act now.”
Puerto Rico is running out of time. The island owes $73 billion that it can’t pay. Its debt is already junk grade and has one of the lowest possible ratings.
Debt is slavery. As the world is finding out.