Increased central bank aid to Venezuelan state companies
The Central Bank of Venezuela (BCV) allocated some USD 222.64 million to the state industries in just one month
Data from the BCV reveals that by December 2012 the financial assistance given to public firms amounted to USD 2.46 billion. In other words, some USD 222.64 million was given to public institutions by the BCV in just one month, up 9%.
Such behavior reveals that the central bank is printing more bills to meet the needs of state-owned companies. Analysts pointed out that the financial assistance given by the BCV aims at bridging gaps in the public sector.
Sources have reported that the deficit in the public sector may amount to 11-15% of the gross domestic product.
While the central bank aid to public companies soars, Pdvsa is reducing its liabilities to the financial institution.
BCV's data shows that the oil giant has paid a portion of its liabilities, thus reducing its debt by 4%.
By the end of December 2012, financial aid accounted for USD 26.30 billion and ended in January at USD 25.27 billion. However, since 2010, the oil company has been paying and taken on further credits.
Translated by Jhean Cabrera
"Cocoa is to Venezuelans what wine is to the French," says Alejandro Prosperi, head of the Venezuelan Chamber of Cocoa, using this simile to express the paramount importance or the cocoa industry for the country. Often times heralded as "the best cocoa in the world," a passion for quality dating back to the sixteenth century has made Venezuelan cocoa growers to enjoy high prestige at international level and their product to be among the most sought-after in the world.