“Venezuela’s CDS Is Now At The Same Level As Greece’s Three Months Before Its Default”

In addition to being a hyperinflating, socialist banana republic with a devastated economy Venezuela has another problem: debt,  of which it has some $70 billion with $9.5 billion due this year. It also has $15.4 billion in foreign reserves, of which two-thirds or around $10 billion, are held in gold bars, which as we said last week, “limits President Nicolas Maduro’s government’s ability to quickly mobilize hard currency for imports or debt service.”

Furthermore, with Venezuela oil prices in the low $20s, it is unclear if PDVSA can even cover its costs, let alone save up cash for debt repayment.

“Venezuela’s CDS Is Now At The Same Level As Greece’s Three Months Before Its Default”

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