Background primer
Puerto Rico's Economy: Pharma, Tourism, and Recovery
Puerto Rico's economy is shaped by several overlapping forces: a large pharmaceutical and medical device manufacturing sector, a growing tourism industry, and the long shadow of a decade-long fiscal and debt crisis that culminated in a 2017 Title III bankruptcy filing under the federal PROMESA law.
Background written · what’s happened since
Key points
- Pharmaceuticals and medical devices are the backbone of Puerto Rico's manufacturing economy: the island makes a large share of the prescription drugs sold in the U.S.
- Tourism has grown significantly, and San Juan is a major cruise port.
- PROMESA (2016) and La Junta oversaw restructuring of ~$70 billion in debt; a confirmed debt plan reduced obligations substantially.
- Act 60 incentives have attracted tech entrepreneurs, crypto investors, and remote workers, boosting some sectors while pressuring housing supply and affordability.
- Puerto Rico's GDP and population have both declined over the past two decades, driven by emigration, fiscal austerity, and hurricane recovery challenges.
Since this was written
See also: Vital signs: the island's key numbers · Act 60, explained
- Regular Gasoline Rises About Three Cents per Liter, DACO Says
- Puerto Rico Chamber of Commerce Convenes Sports Business Summit to Boost Sports Tourism
- Puerto Rico's Cost of Living Squeezes Families and Businesses as Fuel and Transport Prices Surge
- Puerto Rico's Energy Czar, Senate and House Probe LUMA Smart Meters Over Reported Bill Increases
- Puerto Rican Roast Pork Prices Hold Steady as Christmas Season Begins
Authoritative sources
This is a plain-English background primer to help the news make sense, not a substitute for the authoritative sources linked above. Spotted something out of date? Let us know.