Reuters logo
Puerto Rico tax agreement 'positive' for new bond deal - source
May 15, 2015 / 9:27 PM / 3 years ago

Puerto Rico tax agreement 'positive' for new bond deal - source

NEW YORK, May 15 (Reuters) - An agreement by Puerto Rico lawmakers on new revenue-boosting tax measures is a “positive development” for a financing deal of up to $2.95 billion, a source close to Puerto Rico’s general obligation bondholders said Friday.

Lawmakers of Puerto Rico’s governing Popular Democratic Party (PDP) agreed to raise the sales tax to 11.5 percent from 7 percent in a meeting late on Thursday. Officials said the measure, which still needs to be ratified by the legislature, will boost revenues by $1.2 billion.

The source, who spoke on condition of anonymity as the deal is still tentative, said a bond sale would take at least a month to bring to market following ratification of the tax measures. (Reporting by Edward Krudy)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below