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Report: Puerto Rico makes $1.9 billion debt payment due today

By Laura Lorenzetti
Puerto Rico Teeters On Edge Of Massive Default
SAN JUAN, PUERTO RICO - JULY 01: A for sale sign is seen hanging from a balcony next to a Puerto Rican flag in Old San Juan as the island's residents deal with the government's $72 billion debt on July 1, 2015 in San Juan, Puerto Rico. Governor of Puerto Rico Alejandro García Padilla said in a speech recently that the people of Puerto Rico will have to make sacrifices and share the responsibilities to help pull the island out of debt. (Photo by Joe Raedle/Getty Images)
Photograph by Joe Raedle–Getty Images

Puerto Rico dug up enough cash to pay all of its $1.9 billion debt due Wednesday, according to a CNBC report.

The island’s governor, Alejandro Garcia Padilla, recently claimed that the nation wouldn’t be able to meet its obligations, raising concerns among investors and bond insurers. The payment means Puerto Rico avoided a July 1 default.

CNBC also reported that Puerto Rico’s power utility, PREPA, and other institutions met their debt service payments Wednesday, according to the National Public Finance Guarantee Corporation.

PREPA is still working on a long-term restructuring with its creditors, which loaned the beleaguered utility more cash to make the payment. Padilla is also pursuing a wide-reaching restructuring of the island’s overall $72 billion debt.