July 10 Puerto Rico's willingness and ability to
honor its debts "should be unquestioned" in light of actions the
U.S. commonwealth's government has taken in the last 18 months
to address its ailing financial and economic condition, the
heads of the island's Treasury and Government Development Bank
said on Thursday.
The two officials also said they stand behind the recent
passage of Puerto Rico's "Recovery Act," a law enacted last
month that paves the way for the island's power, water and
highway authorities to restructure their debts through a
bankruptcy-like process. The law has been challenged by Puerto
Rico bondholders in court.
In a joint statement, Treasurer Melba Acosta Febo and GDB
Chairman David Chafey said they would defend the law as
reasonable and necessary.
(Reporting by Dan Burns; Editing by James Dalgleish)