Sen. Bernie Sanders visits Puerto Rico amid debt crisis
SAN JUAN, Puerto Rico (AP) — Democratic presidential candidate Bernie Sanders warned of a humanitarian crisis in Puerto Rico Monday, calling on the U.S. government to support a debt restructure in the territory.
Addressing a crowd in San Juan ahead of Puerto Rico's June 5 primary, Sanders called upon the U.S. Federal Reserve to authorize emergency loans and use its authority to allow for a restructuring.
The Vermont senator also said hedge funds that hold a significant portion of the island's $70 billion public debt should take what he called a "massive" haircut as the island continues to default on multimillion-dollar bond payments.
The island is mired in a decade-long economic crisis and smothered by a public debt load that the governor has said is unpayable and needs restructuring.
Sanders said he would alleviate Puerto Rico's economic woes in part by rebuilding local infrastructure to create jobs and establish a clean economy by harnessing the island's solar and wind resources.