CARACAS, Friday September 20, 2013 | Update

Econométrica estimates Venezuela's inflation next year at 44%

Official forex rate at the Foreign Exchange Administration Commission might be adjusted to VEB 10-12 against one US dollar

Friday September 20, 2013  03:33 PM
Within the framework of the Economic Perspective Forum 2014 recently held by Econométrica, its director, Economist García Banchs, stressed Venezuela's economic prospective in 2013-2014 is bleak.

In the view of García Banchs, Venezuela's gross domestic product was likely to suffer a downturn calculated at -1.7% if oil prices averages USD 105 per barrel.

Further, inflation might hit some 44% expressed in the National Consumer Price Index. Such a result would actually be below the forecast for 2013, estimated at 47%, the Econométrica's director hinted.

Other estimates point to a drop in private consumption and a rise in the forex rate at the Foreign Exchange Administration Commission. This may even happen as of 2013 upon the local election of December 8, when the forex rate may be adjusted to VEB 10-12 against one US dollar.
Ailing healthcare system seeking a cure

The news marked an ominous beginning, health-wise, of the year 2015: the Cardiovascular Surgery Unit at Hospital Clínico Universitario, one of the country's largest teaching hospitals, was to close completely on January 5 due to lack of medicines and surgical supplies. All patients who were waiting to be operated on were sent home. More than 10 patients waiting for surgery reportedly died there from lack of basic medical supplies in the two months prior to the closure.

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