The recovery in global oil prices, coupled with a possible restructuring of debt repayments to China will help to ease some of the pressure on Venezuela’s economy but does not alter the bigger picture: the government faces an unpalatable choice between further import compression and default on its external debt. The decision to date to opt for the former over the latter is pushing the country to the brink.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services