Puerto Rico will be allowed access to $8.2 billion in delayed disaster-aid funding by the U.S. Department of Housing and Urban Development (HUD), the island’s non-voting member of the U.S. Congress said, Reuters reported. Jennifer Gonzalez announced the disbursement of another chunk of funds the U.S. territory’s recovery from Hurricanes Maria and Irma in 2017 after hundreds of earthquakes and aftershocks rattled the island since Dec. 28, collapsing hundreds of homes. However, Puerto Ricans in the United States demonstrated outside HUD offices in several U.S. cities on Wednesday, demanding the U.S. government release all of the $44 billion in disaster and hurricane relief funding allocated to Puerto Rico. To date, only $15 billion of that money has been distributed. Read more.
In related news, retired government workers in Puerto Rico are bracing for a possible cut to their monthly checks even as the already financially strained island faces one of its most difficult moments with recent earthquakes, NBCMiami.com reported. In the last three years, Puerto Ricans have experienced multiple crises including a deadly hurricane, a government corruption crisis and now a rare seismic sequence — all while grappling with a decade-long economic recession then financial crisis that has led to bankruptcy for the U.S. territory. Puerto Rico’s central government is nearly $70 billion in debt, while the retirement system has at least a $55 billion shortfall. As part of the plan to restructure and repay the Puerto Rico Retirement System’s debt, the Financial Oversight Management Board suggested cuts to pensioners. The fiscal plan submitted on Sept. 27 proposed an 8.5% reduction to all government retirees who receive more than $1,200 per month. Meanwhile, the cost of living in Puerto Rico is increasing, causing uncertainty among pensioners. Read more.
ABI supports Puerto Rico, and looks forward to the upcoming Caribbean Insolvency Symposium at the El San Juan Hotel, February 3-5, 2020. From the time that Hurricane Maria devastated the island in September 2017 through the recent series of earthquakes that damaged Guánica, some two hours to the southwest of San Juan, ABI has remained committed to supporting its many friends and members on the island, as well as the wider Puerto Rico community affected by these natural disasters. The Caribbean Insolvency Symposium will go on as planned and registration remains open and active. At a time when Puerto Rico faces many challenges, among them a fragile economic situation, one of the best ways to support the island is through events like our upcoming Symposium. Register here.
