Puerto Rico does not have enough cash flow to meet its upcoming Public Finance Corp. payment of $169.60 million due on Aug. 1, the Governor's Chief of Staff, Victor Suarez, said Monday.
Suarez added that the commonwealth's government is considering raising between $400 and $500 million through Puerto Rico's gas tax as a repayment source.
He also said the Puerto Rico Infrastructure Financing Authority (PRIFA) is abandoning its original plan of raising nearl $3 billion to refinance a $2.2 billion loan its Government Development Bank made to the Highways and Transportation Authority (HTA).
"It is not being contemplated as a $3 billion transaction, there is no market for it," said Suarez. "We are trying to achieve a smaller transaction, with reasonable terms, of some $400 to $500 million."
Puerto Rico without enough cash for Aug 1 payment: Government
Suarez added that the commonwealth's government is considering raising between $400 and $500 million through Puerto Rico's gas tax as a repayment source.
He also said the Puerto Rico Infrastructure Financing Authority (PRIFA) is abandoning its original plan of raising nearl $3 billion to refinance a $2.2 billion loan its Government Development Bank made to the Highways and Transportation Authority (HTA).
"It is not being contemplated as a $3 billion transaction, there is no market for it," said Suarez. "We are trying to achieve a smaller transaction, with reasonable terms, of some $400 to $500 million."
Puerto Rico without enough cash for Aug 1 payment: Government