Odds Of Venezuela Turning Around Economy Approaching Zero
The Venezuelan economy contracted by an estimated -10.6% in 2017 and -12.6% in 2018, according to forecasts by Fitch Solutions. In 2019, GDP is projected to shrink by -13.9%. Having looked to Russia and China for economic support in the midst of the crisis, Venezuela’s CITGO is now largely dominated by Russia’s Rosneft, taken as collateral for loans which will not likely be paid back. Now, aside from some kind of regime change, forecasts on the odds off a recovery or turnaround in the economic situation are approaching zero. And with the extensive coup-proofing measures being enacted by Maduro, the army and the political opposition have been set on weaker grounds, making any future challenges more difficult.