Competitive forex rate needed to boost industries
The Venezuelan Confederation of Industries (Conindustria) suggested a foreign exchange rate at VEB 7.8 per US dollar to stabilize the domestic industrial sector
The Venezuelan currency has been overvalued with respect to other currencies since 2003 upon the implementation of foreign exchange controls. Overvaluation is attributed to the gap between the country's inflation and price fluctuation in other nations.
Overvaluation is said to hamper the industrial sector as imports turn out to be cheaper than domestic products. Carlos Larrazábal, the president of the Venezuelan Confederation of Industries (Conindustria), said that bringing the fixed foreign exchange rate up to VEB 7.68 per US dollar would help reverse the loss of competitiveness.
Translated by Jhean Cabrera
Hundreds of thousands of demonstrators took to the streets of Brazil on March 13 to demand the ouster of embattled President Dilma Rousseff, carrying banners expressing anger at bribery scandals and economic woes. A banner read "We don't want a new Venezuela in Brazil."