Summary of “How Puerto Rico’s Debt Created A Perfect Storm Before The Storm”

How Puerto Rico’s Debt Created A Perfect Storm Before The Storm For years, the nation’s largest banks made millions off Puerto Rican debt as the island approached financial ruin.
Before Hurricane Maria hit last September, Puerto Rico was battered by the forces of another storm – a financial storm.
Banks involved in Puerto Rican finances declined NPR and Frontline’s requests for an interview but said in statements that they have done nothing but try to help Puerto Rico when it was in need of money.
You can listen to part one of the NPR investigation, which details how Puerto Rico descended into financial ruin before the storm even hit, at the top of this page or here.
“Fund managers, they will not admit this now, but when Puerto Rico was selling debt like pancakes, they loved Puerto Rico debt,” Marxuach said.
“All the major banks in New York would come to Puerto Rico on a regular basis to pitch deals,” said Capacete, a former branch manager for UBS, the largest broker-dealer in Puerto Rico.
In statements, banks said that they fully disclosed their financial stake in the deal and did not influence how Puerto Rico used the money.
Fifteen months later, Puerto Rico announced it couldn’t pay its debt.

The orginal article.