Post-Chavez Venezuela Economy Gets Messier
Kenneth Rapoza
Venezuela may be soon longing for the early years of Hugo Chavez. The staunch socialist passed away this year after a bout with cancer, but left Venezuela in worse shape.
These aren’t the worst of times for the South American oil giant, but they are far from the best. With inflation running rampant, as in 27.3% this year, according to the International Monetary Fund, Venezuelans can’t quite figure out how much bread and rice are going to cost them from one month to the next. But one thing is for sure, it will cost them more.
To add insult to injury, the country is now heading into a recession.
Economic activity in Venezuela ground to a halt in the first quarter. The economy will contract this year. Although Venezuela does not have an open equity market, the country’s sovereign bond market is something many investors watch closely. Today, that’s especially true for distressed asset fund managers. Read more »»»
