Guarantee coming for Caribbean-936 loans
The Government Development Bank for Puerto Rico (GDB) is working on a new initiative to help guarantee 936 loans to the rest of the Caribbean.
Under the program, which should be ready by the end of the year, the GDB will join international lending organizations, namely the Inter-American Development Bank (IDB) and the World Bank, in providing guarantees for loans made or arranged by financial institutions in Puerto Rico using 936 funds. The latter are the profits of local subsidiaries of mainland-based corporations operating under Section 936 of the U.S. Internal Revenue Code.
For years, observers have been …