After the Venezuelan government devalued the official exchange rate peg against the dollar in January of both 2010 and 2011, speculation has been mounting that it will do so again soon. But while devaluation at some point this year seems inevitable, we suspect that it will be delayed until after October’s crucial presidential election. We therefore expect the exchange rate to end the year some 20% lower at 5.5/$.
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