Puerto Rico files for bankruptcy in last-ditch attempt to sustain public services

Experts applaud decision that could protect vulnerable and return public debt of more than $70bn to manageable levels, but creditors cry foul

Puerto Rico has filed for a form of bankruptcy in a desperate bid to stave off creditors and maintain essential services to its 3.4 million citizens, nearly half of whom live in poverty.

Analysts lauded the decision by the insolvent US territory, which owes more than $70bn (54bn) in public debt, as a way for the island to "bring the debt back to sustainable levels, protect vulnerable communities and promote transparency".

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