What U.S. territory recently filed for bankruptcy?
Unlike that time you spent way too much money on pizza, Puerto Rico’s debt crisis is no laughing matter. As a result of a more than decade-long recession and a mass of debt, the Commonwealth filed for bankruptcy in May 2017. At the time, the territory’s bond debt was up to $72 billion, and funds owed to pensions reached $49 billion. From Wall Street hedge funds to mom-and-pop investors, Puerto Rican governments couldn’t stop borrowing, so here we are. This situation could be a warning to other states about what could come (cough, cough, Illinois, cough, cough). Source: The New York Times
Puerto Rico is a Caribbean island and unincorporated U.S. territory with a landscape of mountains, waterfalls and the El Yunque tropical rainforest. In San Juan, the capital and largest city, the Isla Verde area is known for its hotel strip, beach bars and casinos. Its Old San Juan neighborhood features colorful Spanish colonial buildings and El Morro and La Fortaleza, massive, centuries-old fortresses.
Capital: San Juan