Puerto Rico's Governor Ricardo Rosselló has filed for bankruptcy in federal court.
The island's economic crisis has been looming with it seeking refuge from $73 billion in bond debt and nearly $50 billion of unfunded pension obligations to restructure.
Given the deficit that we have inherited, it is my responsibility to guarantee the best interests of the Puerto Rican people.
The island has been in an economic recession for about a decade and the unemployment rate is 11.5%, meaning more than one in 10 adults can't find work.
Rosello's request of a Title III means is an in-court debt restructuring process akin to U.S. bankruptcy protection.
It would allow Puerto Rico to impose excessive discounts on creditor recoveries, but also prolong the island's lack of access to debt markets.
