Puerto Rico’s total public debt reaches $55 billion!!!!!!!!!!!!!!



Puerto Rico continues to be a colonial entity of the United States. Currently Puerto Rico Independence movement is under FBI intimidation and ruthless procedures that harm the people to declare for self-determination on the island. The United States continues to prevent Puerto Rico from trading with any other nation. At the same time it refuses the people to become independent or acknowledges that Puerto Rico is even a colony. Sept 23 has just passed and it marks a historical day in Puerto Rico. Where the people moved towards the streets to reclaim their independence.

Please support Puerto Rico Independence and call congress and demand you want Puerto Rico to determine their status already. Please inform you congress that you want them to have the two option on the table. Independence or statehood so that we can all finally solve this dilemma that has been going on for years. Again Thank You All
Intro
You must enter an Intro for your Diary Entry between 300 and 1150 characters long.

Puerto Rico continues to be a colonial entity of the United States. Currently Puerto Rico Independence movement is under FBI intimidation and ruthless procedures that harm the people to declare for self-determination on the island. The United States continues to prevent Puerto Rico from trading with any other nation. At the same time it refuses the people to become independent or acknowledges that Puerto Rico is even a colony. Sept 23 has just passed and it marks a historical day in Puerto Rico. Where the people moved towards the streets to reclaim their independence. Please support Puerto Rico Independence and call congress and demand you want Puerto Rico to determine their status already. Please inform you congress that you want them to have the two option on the table. Independence or statehood so that we can all finally solve this dilemma that has been going on for years. Again Thank You All


* Famoso116lex's diary :: ::
*

Caribbean Business prints out to thirteen letter size pages. It is comprehensive and should be read by everyone interested in the economic health of Puerto Rico. To access full report, click on link above.]

Puerto Rico’s total public debt reaches $55 billion this month for generations and generations of taxpayers to come. - Borrowing frenzy

Commonwealth public debt surges 11.6% in the past 10 months, yet officials assurethere are ironclad sources of repayment, and credit-rating agencies confirm ‘stable’ outlook

As of June 30, Puerto Rico’s total outstanding debt stood at $52.948 billion, according to official Government Development Bank (GDB) figures (see chart). Add to that the $250 million in general obligation bonds (GOs) issued two weeks ago; the $1.5 billion the government borrowed from various banks in advance of the tax revenue anticipation notes (Trans), and another $300 million in special bond notes that that the GDB lent the central government to help with its cash-flow problems and you get a grand total of $54.998 billion; $5.746 billion more than the $49.252 billion in total public debt as of Dec. 31, 2007.

In fact, Puerto Rico’s public debt is rapidly approaching the size of the island’s entire economy. In fiscal year 2007—the most recent year for which the Puerto Rico Planning Board has numbers—the island’s annual gross product (GP) was $58.7 billion. Currently, the total public debt represents 93.7% of the GP and 104% of the island’s annual Personal Income of $53.1 billion (FY ’07).

The relation of total debt to Gross Product (GP) and total debt to Personal Income (PI) are more relevant indicators than just total nominal debt. They measure the rate of increase of the debt to the productive capacity and the income of the island.

Debt to GP ratio is a measure of the degree of indebtedness and an indicator that helps to assess the debt situation and debt carrying capacity of the overall economy. Its relevance is that the ratio measures the outstanding obligations in relation to the broadest measure of the income generating power of the economy. The higher the ratios of level of debt relative to the overall economy, the less flexibility the island has for sustained economic development. While there are no simple rules of what constitutes an unreasonable burden, 60% is widely accepted as the maximum allowed.